Inditex Group

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Topics: Inditex
Analysis Inditex Group
Unit Introduction- GBO
Group Award: Global Trade and Business
SCN: 0137219061
Candidate’s Name: Cristina Diaz Alama

HND Centre
Xianda College of Economics and Humanities
Shanghai International Studies University
Date: 2013/10/08

Assessment 1
Select a Global Business Organization and describe its development from inception through to its present status as a global trader.
Describe its expansion including any global acquisitions and mergers, and its business structure- whether centralized or decentralized.

1. Introduction Industria de Diseño Textil, S.A. (Inditex) is a Spanish multinational clothing company headquartered in Arteixo, Galicia, Spain. It is made up of almost a hundred companies dealing in activities related to textile design, production and distribution. Amancio Ortega, Spain's richest man, and the world's third richest man, is the founder and current largest shareholder. The current chairman of Inditex is Pablo Isla.
Inditex operates over 6,000 stores worldwide and owns brands like Massimo Dutti, Bershka, Oysho, Pull and Bear, Stradivarius, Zara, Tempe and Uterqüe, and also a low-cost brand Lefties. The majority of its stores are corporate-owned; Franchises are only conceded in countries where corporate properties can not be foreign-owned (in some Middle Eastern countries, for example).
The group designs and manufactures almost everything by itself, and new designs are dispatched twice a week to Zara stores.
Most manufacturing is now in low labour cost countries, mainly in Morocco, China, and Turkey, although much production continues in Spain and Portugal, particularly for its Zara brand. In addition, Inditex has a factory for shoe design, production and distribution in the town of Elche, on the Spanish Mediterranean coast.

2. Describe its development from inception through to its present status as a global trader. Describe its expansion including any global

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