Albert Sedaghatpour Individual Case Analysis-Zara 7/24/09 Introduction Zara is the flagship chain store of Inditex Group owned by Spanish tycoon Amancio Ortega. The group is located in Spain‚ where the first Zara store was opened. Zara has opposed the industry-wide trend towards turning fast fashion production to low-cost countries. Possibly its most atypical strategy is its policy of zero advertising; the firm opted to invest a portion of revenues in opening new stores instead. At the end of 2001
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integrated‚ it could specialize in speed and efficiency and the fast fashion trend. By assessing the pros and cons of the new IT infrastructure with Zara’s brand image‚ they determined that 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
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ZARA Case Assignment 1. With which international competitor listed in the case is it most useful to compare Inditex’s financial performance? What do comparisons indicate about Inditex’s operating economics? Why? There are 3 key international competitors mentioned in the case: The Gap‚ H&M and Benetton. The Gap‘s production was internationalized with more than 90% of it outsourced outside of the United States. Its stores‚ however‚ were US centric. Therefore‚ The Gap’s strategy was to own
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new technology to expand productivity and increase competitiveness INTRODUCTION ABOUT ZARA • Established in 1975‚ Zara is the flagship of Inditex (Industria del Disen˜o Textil‚ SA). • Inditex has become the world’s second largest clothing retailer with 2‚692 stores spread across 62 countries worldwide by the end of January 2006. • In addition to Zara‚ which accounted for 66 percent of the group’s turnover in 2005 • Inditex owns seven other clothing chains: Kiddy’s
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As completely as possible‚ sketch the supply chain for Zara from raw materials to consumer purchase. Zara makes about 40% of their raw material (fabric). The remaining 60% is outsourced from within Spain‚ mostly from the La Curuna. Designing of clothes at Zara is done by creative teams of over 300 professionals at the headquarters in La Curuna‚ Spain. They act on the information fed to them from the stores managers. The first stage in Zara’s production system is cutting of fabric. The design
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Zara Case Analysis Zara’s Marketing Strategy • Produce a product that can adjust and fit multiple trends and can adapt quickly to new style. • Pride itself on its location (usually on the best street in big cities) as opposed to spending money on public advertisements. • Target a youthful and vibrant culture. • Have current and efficient technology in their stores. Target Market • Young‚ fashion- conscious city dwellers. • Rapidly changing style that needed to cater to people who were not
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relevant literature. Zara has been the major pioneer of ‘disposable’ fashion; which makes up over 12% of the UK clothing industry. Zara outperforms its rivals in profitability‚ brand identity‚ and its successful business model. I have used Porter’s five forces model (Porter‚ 1995) to analyse the industry and Zara’s strategic position. I have applied the theory of this model and its determinants to my research of Zara; providing evidence to form strong conclusions. Zara faces competition from
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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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HISTORY AND PHYSICAL EXAMINATION Patient Name: Adela Torres Patient ID: 132463 Date of Admission: 6/22/2013 Admitting Physician: Leon Medina‚ MD‚ Internal Medicine Admitting Diagnoses: Stomatitis‚ possibly methotrexate related. Chief Complaint: Swelling of lips causing difficulty swallowing. HISTORY OF PRESENT ILLNESS: This patient is a 57-year-old Cuban woman with a long history of rheumatoid arthritis. She has received methotrexate on a weekly basis as an outpatient
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merchandiser to have deeper understanding about the latest visual merchandising and windows display which issued by the headquarter team. Intranet is a cost-effective method that share the information at once and worldwide can be seen those information. Since Zara expands its business to more than 200 stores located over 88 countries‚ Intranet can be the platform that time of seeking documents can be saved. As a result‚ productivity can be enhanced as time can be saved and files are concentrated in one platform
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