Zara fast fashion case

Apparel Industry Outlook

The global do chain was a typic buyer-driven chain in which upstream structure was fragmented, locally owned, dispersed, and often tiered production whereas downstream structure was relatively change state intermediaries. The fabrication was coordinated and dominated by downstream intermediaries ilk retailers and branded marketers. A short summary of the apparel industry characteristics was as follows:

Production: Very fragmented apparel production. Developing countries had an unmistakably large shell out, about one half in get along exports due to cheaper labor and inputs. Proximity was important since it reduced exile costs and lags. Despite Chinas existence as an export powerhouse, regionalization was the overriding motif of changes in apparel trade in the 1990s.

Retailing: The increase concentration of apparel retailing in major markets was purpose to be one of the key drivers of increased trade. In ball club to improve speed and flexibility, large apparel retailers played the leash role in promoting quick response (QR). Retailing activities remained preferably local with respect to other industries.

Customers: Per capita spending on apparel tended to grow less proportionately with increases in per capita income, so that its share of expenditures typically decreased as income increased. Significant local variate in customers attri providedes and preferences was an issue not only between regions but also within regions.

ZARAS BUSINESS MODEL

We mainly analyzed Zara to press on Inditexs strategy since it was the flagship of Inditex and the generator of a huge part of financial results by itself. Zara used needfully-based positioning, targeting a specific surgical incision of customers and providing a tailored set of activities that can serve those needs best, in developing its business model. Its selling ideas was giving position class customers an exclusivity feeling in its livestocks with fashionable products, service, store design, and store locations.

Marketing Mix

Zaras well-designed marketing mix was in consistency...

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