ZARA in Indian and Chinese market Zara is a very renowned brand for its latest designs and is among the top 100 best global brands in 2010 and its unusual strategy of zero advertising and instead invests the revenue in opening new stores across the world. The middle-aged mother buys clothes at Zara chain because they are cheap‚ while her daughter aged in the mid 20’s buys Zara clothing because it is fashionable. Clearly Zara is riding two of the winning retail trends firstly‚ being in fashion and
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Industry Analysis: Within the global apparel chain‚ profits are derived from “unique combination of high-value research‚ design‚ sales‚ marketing‚ and financial services that allow retailers‚ brand marketers‚ and branded manufacturers to act as strategic brokers in linking overseas factories” with markets (Gary Gereffi). Barriers to entry are fairly low. Not much capital is needed to enter the industry‚ as franchises and joint ventures are popular methods of establishing retail stores while keeping
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Company Name Zara International Objective for a warehouse management is fully utilize the space‚ improved the productivity of operations flow and reduce the inventory carrying cost. From the case of Zara‚ I found that they arranging the cross-dock rather then typical storage function. Because they have the commitment about the order fulfillment time from warehouse to stores‚ for examples 24 hours to European countries‚ 48 hours to American and within 72 hours to Japan. So Zaras warehouse needs
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PEST Analyses: The PEST analysis is an important tool that can be used to analyze the external environment. It takes into account the political‚ economic‚ social and technological factors within the environment. Each element of the PEST will be explained in detail below. Political: The political element in UAE‚ compasses different aspects such as legal and government policies‚ safety regulations‚ trade regulations‚ and employment laws of the environment. The legal and government policies within the
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PEST analysis Philips Philips is an multinational company who operates all over the world. They can choose where they operate and anticipate on each situation. This PEST analysis is about the Netherlands because the Headquarters are in the Netherlands. Political Factors The political situation is stable from 1990 till 2010 there has not changed much. When you look at the taxes and the benefits Philips have in the Netherlands. In the Netherlands multinational companies have benefits on
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PEST considers four macro environmental factors; political‚ economic‚ social and technological (Abdullah & Shamsher‚ 2011; Gupta‚ 2013; Ward‚ 2005; Koumparoulis‚ 2013; Nunes & Peng‚ 2007). The framework investigates the external environmental factor of a business to examine a business’s position in an industry or environment and feasibility of the business venture in that environment (Nunes & Peng‚ 2007). PEST assumes that the success of companies is dependent
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Zara Thrives by Breaking All the Rules - BusinessWeek Page 1 of 2 INNOVATION October 9‚ 2008‚ 5:00PM EST Zara Thrives by Breaking All the Rules How the Spanish apparel chain gets new designs into stores in two weeks while keeping costs low by Kerry Capell ARTEIXO‚ SPAIN Many U.S. apparel retailers are choking on slow-moving inventories as consumers hold back on spending. But Spain’s Inditex‚ whose Zara chain pioneered cheap chic‚ is zipping ahead. The $13.8 billion company‚ which
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Question No1.Advantages of responsive supply chain of Zara? A responsive supply chain of Zara works collaboratively among the stakeholders to exchange information in a feedback loop in order to produce enough of a product to satisfy uncertain demand. Zara has greater visibility into the supply chain which makes it responsive to the current market. This allows Zara to sense and respond quickly to capitalize on new opportunities. The information systems are the heart of the business model which enables
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colonialism. However this indomitable nation is now rapidly developing. Since the 21st century when globalization swept the world‚ India has gotten the chance to move. India is rising. The paper will use PEST political environment‚ economic environment‚ sociocultural environment and technological environment analysis to examine whether International Business activities have increased or decreased in the past 10 years in India. The summaries will study International Business contributed or not to the economic
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PEST Analysis for Royal Danish Bearings (RDB) PEST analysis provides a framework for decision makers to consider factors in the external business environment that affect business operations. These factors can be categorised into four sections: political‚ economic‚ social and technological factors which can present opportunities and threats as outlined in the case study. Political * International quality standards to enhance the ease of exporting to different regional trading blocs
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