Financial analysis Inditex group is not affected by the economic crisis : There is an increase in profits in the past 5 years ; Spain is totally affected by the crisis but Inditex is number one in the sector of fashion with 8‚1 billions € of sales from the beginning of the year (2014). And the almost nonexistence of debt since the creation of the group shows that Inditex group is a strong company that is right with its longterm strategy. MidSeptember 2014‚ it was noticed a decrease in the benefits of 2
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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 to entice customers to spend. At this point Inditex is not acting in a manner consistent with slowing growth. * Seasonal boost- Due to increased sales‚ July and January historically marks increased costs of hiring hundreds
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career of a Fashion Director Intro: The fashion industry is something I’ve always wanted to be involved in since I was young‚ and I knew I had no choice but to make a career out of it. Many people are skeptical of any career within the fashion industry‚ well‚ in my opinion‚ only because they think you won’t benefit from it or be able to find a job at all. But in actuality‚ fashion is always changing and the demand for people with the knowledge is always going to be there‚ and that’s what interests
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Management Seminar 1 A Case Study: H&M in fast fashion: continued success I Dr. Maria Balta Questions 3/10/15 1. In which areas does H&M have strategic capabilities and what are they? 2. What are H&M’s threshold and distinctive resources and competences? 3. In what areas and functions do H&M’s strategic capabilities provide for competitive advantage? 4. To what extent can they be sustained? Brunel University London Presentation Title 2 H&M in fast fashion: continued success I 3/10/15 Background
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INDITEX 2012 2011 ROI 24‚18% 23‚01% PMR 19‚55% 18‚29% ATOR 1‚24 1‚26 ROE 36‚91% 34‚32% ROD 0‚32% 1‚06% In this report we are comparing two of the biggest clothing companies H&M and INDITEX by using profitability ratios for making a financial statement analysis. We will state opinions in regard to the previously analyzed figures and comment on them. The overall profitability (ROI) is 23‚01% in 2011 and 24‚18% in 2012. So the ROI is showing an increase
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Executive summary The main objective of this thesis is to determine the value of Inditex´s share by conducting own valuation. Over the recent years‚ Inditex has demonstrated remarkable growth and continuously been expanding its operations year after year. Furthermore‚ Inditex has had a continuous increase in share value since being publicly listed in the Madrid stock exchange in 2001‚ until mid of 2007. However‚ from 2007 until today‚ the share price has plunged from 51 EUR to 25 EUR. Experts seem
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Case Study: H&M in fast fashion : continued success? by Patrick Regner & H. Emre Yildiz Q1) Evaluate the external environment in which H&M operates in. External environment refers to the challenging and complexity in which the firm operates. It is important to highlight the factors of the external environment because it is very critical to the success of the firm. PESTEL model and Porter’s 5 Forces (P5F) models will be used to evaluate the external environment of H&M. These models will determine
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Fast Fashion promotes consumerism through impulse buying among young consumers. Fast Fashion retailers target young consumers who are looking to form their identity through dress. This is done because they have many different styles where other retailers might be limited. Young buyers like to shop at these retailers because they offer replica pieces straight off the runways. The concept of “fast fashion” refers to low-cost clothing collections that imitate current luxury fashion
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Zara – Solutions: Zara is a world famous Retail Chain based in Spain and is extremely successful in their supply chain. Questions: 1. What is Zara’s Business Model and its unique Supply Chain strategy? Zara’s business model can be broken down into three basic components: concept‚ capabilities‚ and value drivers. Concept is to maintain design‚ production‚ and distribution processes that will enable Zara to respond quickly to shifts in consumer demands. Capabilities: Zara maintains
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INDITEX GROUP Inditex is a fashion retrailer company maded up of more than 100 companies working in the fashion and manufacturing market. Some of the most famous brands that it includes are : Zara‚ Pull & Bear‚ Massimo Dutti‚ Bershka‚ Stradivarius‚ Oysho‚ Zara Home and Uterqüe. The company has 5.618 stores in 84 markets all over the world. The chairman of Inditex‚ Amancio Ortega Gaona‚ started working as a designer from late 70’s. The first Zara’s store was opened in 1975‚ ten years later
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