strategic

market economy is an important factor , greatly affecting businesses , including apparel industry . Economic situations of the world for many years are constantly variable and tend strong recession . Although the businesses are serious impacted , Zara has succeeded in dominating the market and will not be impacted so much by the extraordinary variety of the global economy . The main reason is that Zara is the fashion brand of Spanish , which do not use monetary fluctuation as dollars and use the currency is relatively safe as Euro. Moreover, when recession of economic has occured, individual income also will be restricted, leading consumers will reduce amount of expenditure, including spending on clothes. Fortunately, Zara operates mainly at a country, which is seen as somewhat stable about economic and can be anticipated consumption demand in market.
In term of policy, goverment in a country are responsible for developing political environment. The political factors affecting Zara are when goverment control economy and establish laws to change all things are done in country. Goverment can easily vary its policy to control operation of business. They can impact dramatically on business like changing the interest rate. As a result, Zara should know clearly the entire system and already prepared for any potential problems, which can happen from changing policy by goverment.
Considering technology, technological revolution has expanded on over the world, so almost companies have to enforce and improve their technology become the lastest ones. Therfore, Zara have to make sure that they update all the lastest version techonology and are innovative their process. More improving techonoly is producing more quality products. If Zara do not follow the speed of development of technology, their rivalry will get a head start of them. In addition, Zara has broken their manufacturing process into easy and simple tasks, then done by machines and final assembly are done by