What Business Is Zara In?
ZARA's Supply chain Management Practices
This case study describes the Zara, a prosperous fast fashion manufacturer and retailer, noted for its business process that is unusual, must consider the future of the company and its particular popular main brand. The organization spends hardly any on advertising produces clothes in the high cost labour market in Europe, apparently overspends on positioning high end stores in retail districts that are chic, and carries considerably less stock and charges 15 per cent less than its competitors.
Though investors viewed this process as a formula for crises, the firm had proven them wrong by creating itself as a leader in the industry with its difficult-to-repeat strategy. But, the disruptive business model innovator is currently faced with new competitors who are trying to conquer the company at its own game by successfully copying key components of its rapid fashion strategy.
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