Q. What advantage does Zara gain against the competition by having a very responsive supply chain? A. In an industry where the customer demand is unpredictable‚ Zara having a responsive supply chain has enabled it to enjoy greater customer turnover due to its 5 to 6 weeks cycle time leading to more profits as mostly the products are then sold at full price. Moreover being responsive has also enabled Zara to reduce its inventories and also the forecast error. Q. Why has Inditex chosen to have
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expansion Zara has always focused more on the European market than other markets for its profit save‚ and because of its closeness to consumer tastes. This can be seen in the figures below. In the course of time this situation has not changed but in recent years Zara is trying to concentrate on the Asian market and especially on the American market. In fact in 2010 many of the 400 stores that Zara will open during the year‚ will be established in New York‚ California and Florida. Zara had originally
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the classical management approaches evident at Zara? Zara used two components of the classical approaches: scientific was hire workers with the right abilities and administrative principles that states by Henri Fayol. According to Fayol’s studies‚ there are identifies five “rules” or “duties” of management in respect to foresight‚ organization‚ command‚ coordination‚ and control. Foresight‚ which is making plans for the organization‚ and Zara plan “go fast” and to double in size in the coming
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Business Plan Evaluation: Zara Restaurant & Lounge (Revision) After completing my first evaluation of Zara’s business plan I could not help but feel that I had missed something in my analysis. It was over the next week that I realized that I had failed to thoroughly evaluate the plan. At a glance‚ I thought the Zara concept was intriguing and as a bonus‚ aligned with my own dream to open a restaurant. I wanted to believe in the plan so much that I missed its weaknesses. Having time to review
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References: 1. Jim Riley‚ 23 September 2012‚ Competitive Advantage http://www.tutor2u.net/business/strategy/competitive_advantage.htm 2. Market Entry Strategy: Case Study of Zara Internationalization in China http://ivythesis.typepad.com/term_paper_topics/2009/11/market-entry-strategy-case-study-zara-internationalisation-in-china.html 3. Zara Official Website http://www.zara.com/webapp/wcs/stores/servlet/home/hk/zt/
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The philosophers Zara Yacob‚ a seventeenth-century Ethiopian philosopher‚ and René Descartes‚ a seventeenth-century French philosopher‚ mathematician‚ and scientist‚ were two very important religious intellectuals of their time. Yacob and Descartes were similar in many ways despite never meeting but also differed considerably in that they both believed in God but arrived at that conclusion in very different ways. They also had profoundly different ways of thinking. The two extraordinary philosophers
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level of satisfaction on components of SERVQUAL model and marketing mix (7Ps) with regard to Thailand’s hotel industry. The study used quantitative research method. Questionnaire survey was the tool used to collect primary data from 400 guests of hotels in CBD zone in Bangkok. The study found impressive results for the Thai hotel sector. Overall‚ international tourists are satisfied with all components of SERVQUAL and 7Ps. They are satisfied with price of services‚ hotel’sproduct (reputation
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oriented on people who not willing to spend a lot of money however in love with fashion and instead of selling them two standard collections per year making them come back to shop and buy clothes every two weeks as collection changes and rarely repeated. Zara‚ H&M and Benetton are three of the most major fast fashion brands‚ however some of their steps from the “supplier of raw materials to the end-customer” in this case these steps are designing‚ manufacturing‚ distribution and retailing not always same
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CASE STUDIES CASE: Tom’s of Maine: “Doing Business” Means “Doing Good” Questions: 1. Does the Tom’s of Maine experience prove that one can “do business with principles‚” or are there business realities that make it hard for others to copy this principled management model? Yes‚ because what Tom’s of Maine did is that they made their employees appreciate and apply the principles that Tom and Kate believed in. Despite some of the mistakes that they did‚ they were not afraid to try
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Zara Case: Vertical integration and outsourcing 1. How is Zara organized with respect to its vertical integration and outsourcing decisions? What governance structure does it appear to follow? Support your conclusions with reference to details of the Zara case and the Ferdows reading. Answer: Very well organized to facilitate its strategic competency: speed and flexibility. Decentralized governance structure fully supports the company core competency. The above supply chain mapping
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