CONTENT Report On Zara Global Strategy 1.0 Background Zara is a subsidiary of the Spanish Inditex Group‚ which are a fashion apparel brand and a flagship chain store. It is the third clothiers in the world and the first in the Spain ranking. In 1975‚ the founder-Amancio Ortega opened the first retail stores in the Spain. (PANKAJ and JOsé‚ 2006).The brand founder Amancio Ortega saw a movie that called Zorba the Greek and he decided to use the movie name for their brand name. But‚ there
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Executive Summary Spanish Inditex’s most successful retail clothing store Zara is known all across the world for its trendy apparel (Mcafee‚ Dessain‚ & Sjoman‚ 2004). The company has been very successful throughout the years but management has recently decided that the IT infrastructure may need updating. The store currently runs off of a POS system supported by DOS‚ which has not been supported by Microsoft for several years (Ferdows‚ Lewis‚ & Machuca‚ 2004). The POS system has been working flawlessly
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implementing the new POS networking system is beneficial for Zara because 1) it creates a more robust and scalable system that is more responsive to Inditex’s supply chain network‚ 2) it removes the risk of the system becoming obsolete and no longer compatible with vendor’s machine upgrade‚ and 3) it helps to maintain and improve efficiency of decentralization because information flow can be improved between stores‚ DC‚ and plant. Competition Analysis Zara’s main competitors are multinational clothing
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of Zara Zara specializes in inexpensive fashions for women and men between the ages of 16 and 35. In keeping with the spirit of that demographic‚ Zara moves quickly. Like many apparel retailers‚ it has two seasons—fall/winter and spring/summer—but selections change frequently within those periods. Items spend no more than two weeks on the shelf before making way for new merchandise‚ and stores are replenished twice a week. With annual growth of around 20 percent in both sales and number of
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caused stock to be overinflated to real earnings expectations. The growth rate of 20% is being passed down from the Board’s estimates. * Increased Consumer variation- Within Western Europe there are instances of country separation of important product factors. Consumers have differing tastes locally. * Steep competition- Firms like the Gap and Benetton were eagerly awaiting a chance to move on Inditex market share * High unemployment- High unemployment in their home markets makes it difficult
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evolving to deliver customers satisfaction. Zara‚ the most profitable brand of Spain clothing retail group Inditex‚ has leveraged its unique strategy to achieve success and will be expected to maintain a sustainable growth in the fashion industry. Zara’s core competencies can be divided into four areas: process development‚ distribution‚ marketing and integrated business structure (referred to Appendix 1). Zara’s unique process development allowed Zara to produce in a shorter cycle time and more
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Case Number One - Subway Sandwich Shops Situation Analysis Subway Sandwich‚ as presented in the Case Study presented in the Marketing Management MGT 551 class‚ is an undisputed market leader in a segment that is “firmly established as a nationwide food item for which there is plenty of room in all areas” (University of Phoenix‚ 2008). However‚ with a growing competition‚ changing consumer trends and increased product specialization‚ Subway’s real strategic marketing challenge is to be able to develop
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Zara is a very big clothing chain from Spain. The chain was founded in 1975 by Mr. Ortega‚ and it now has more than 1.000 stores in approximately 63 countries – so it is a very big chain. However Zara has its biggest market in Spain‚ where they have 364 stores in total. They sell fashion clothes of a fairly good quality to reasonable prices – this also means that they have a broad target group‚ which we believe to be from kids to adults younger than 50‚ both men and women. Over the years Zara has
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Princessa Beauty Products is a retailer of beauty products catered to the black community that has been around for more than 20 years. Princessa is one of the oldest beauty stores serving the black community in Montreal and is located on the western side of the island. George Richards managed Princessa for two years and purchased the store from the original owners using his life savings. Between the years of 2002 and 2006 the store showed growth in sales from $453‚156 to $605‚249‚ but between 2005
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global situation‚ the brands often encounter challenges about how and where to source the products. Besides‚ in recent years‚ the emergence of fast fashion has changed the global apparel industry‚ shortening the attention span of clothing consumers. Traditionally‚ retailers were used to deliver four fashion collections a year; but now‚ they are under growing pressure to deliver ten collections a year. Zara and H&M both are leading companies in retail clothing industry. Although both of them are
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