Business Analysis And SWOT Analysis Of Zara

2053 Words5 Pages
bulb-icon

Recommended: Zara business strategy analysis

Introduction and Executive summary of Zara
The purpose of this research paper is to analyze Zara's important value with using SWOT analysis skills that will show what Zara has their own unique business role. This paper will include SWOT analysis that is using strengths, weaknesses, opportunities, and threats with evidences to analyze about Zara. For the business analysis, we are able to assess Zara's core business model and areas that makes value or profit for company. Even though there would be many or few factors that effect on Zara’s business model, however I will address main factors. In this case analysis I will also provide some recommendation and suggestion of Zara’s business model problems.
Zara is one of the largest international retail company that belongs to Inditex, one of the world’s largest fashion distribution groups, and has “five other apparel retailing chains, continued a trajectory of rapid, profitable growth”.(Harvard) Zara has many numbers of stores all over the world. The customer is at the heart of our unique business model, which includes design, production, distribution and sales through our extensive retail network. (Zara.com)

Zara Case study description
Zara is a global fashion designing and manufacturing company that is the most productive market that has a great responding for customer demand in UK’s fashion industry. Amancio Ortega Gaona, the CEO of Inditex company of Spain, he began his work as an errand boy for a La Coruña shirtmaker in 1949. He has worked really hard in his way for the company, and later on Amancio Ortega Gaona was founded his own retail store with developing decisions and competitive advantage against many other competitors. In1963, he founded Confeccioneds Goa to manufacture p...

... middle of paper ...

...t consider lowering cost and saving distribution cost to be successful in theses region.
H&M made downfall for expanding in North Europe because of high cost and Asia is not interested in high prices of H & M clothing. Also Zara should spend more money on adverting their price due to sale more new products. If they do advertise more people will know about Zara and more people would try to buy their clothes. And it will generate more profit with increasing popularity.

Citation

http://www.zara.com/us/en/company-c11112.html http://www.inditex.com/en/our_group http://uk.finance.yahoo.com/news/zara-owner-inditexs-profits-boosted-135340341.html)
(http://www.economist.com/node/21551063)
(http://www.economist.com/node/10061081/print?story_id=10061081)
(http://www.rte.ie/news/business/2013/0313/376427-zara-owners-2012-net-profits-rise-by-22/)

Show More
Related

  • Delta Airlines Executive Summary

    587 Words  | 2 Pages

    It has also established a distinguishable name among its competitors with a reputation for leading customer service. However, even as an established venture, the company needs to maximize its profits in order to stay in business and expand into new territories beyond its conquered boundaries. A strategic analysis was carried out by our team to establish the company’s current situation. A SWOT analysis was performed to come up with three referenced, strategic alternatives. These alternatives are meant to act as strategic guidance to the company in order to enhance growth.

    Read More

  • Target Corporation Swot Analysis

    1685 Words  | 4 Pages

    The SWOT analysis: The study of the firm's Strengths, Weaknesses, Opportunities and Threats called SWOT analysis, a key step in flushing out known performance issues that are important to the growth of the organization addressed in the corporation strategic plan. The issues identified in the SWOT analysis help leadership to come up with a plan and strategy to achieve the overall mission of the company (Strategic Planning, n, d). Target Corporation is one of the largest public retailing company in the US having more than 1700 stores serving guests nationwide. Target group and its brand position are evaluated in the market using SWOT analysis.--

    Read More

  • The Life and Accomplishments of Tony Hsieh

    1043 Words  | 3 Pages

    Zappos is an online shoe and clothing store. The idea of an online shoe store originally came from Nick Swinmurn in the year 1999. He then pitched the idea to Alfred Lin and Zappos’ current CEO Tony Hsieh. Zappos quick rise to success is mostly attributed to their ten core values. These values vary from creating fun and weirdness to being humble. However, the root of this company’s success lies only on one important thing: their regard for customer service. They value the quality time spent with customers over the phone rather than the quantity of customers.

    Read More

  • Macy's Case Study

    1443 Words  | 3 Pages

    These companies are direct competitors of Macy 's and sell similar items as Macy 's. There are many indirect competitors of Macy 's. The company faces fierce competition from emerging apparel companies such as Forever 21, H&M, Zara. The company also faces major competition worries from Amazon.com and other online retailers which provide convenience to customers and avoid the costs of having a brick and mortar presence (Bailey,

    Read More

  • Swot Analysis of Timberland LLC

    901 Words  | 2 Pages

    The SWOT analysis (abbreviation for Strengths, Weaknesses, Opportunities and Threats) is an essential tool in marketing for understanding and supporting decision-making in all kinds of situations in business and organisations. In brief, it provides an accurate context for studying strategies, positions and directions of a company proposition. It is used mainly for business planning, competitor evaluation, marketing, business and product development and research reports. SWOT analysis is also a widely recognised method for gathering, structuring, presenting and reviewing extensive planning data within a larger business or project planning process. (Chapman, 2014)

    Read More

  • Zara Fashion

    2436 Words  | 5 Pages

    Inditex fully owns Comditel that managed dyeing, patterning and finishing of grey fabric of Inditex’s chains, and supplied finished fabric to external as well as in-house manufacturers. This gave Zara further competitive advantage, in terms of both cost and control.

    Read More

  • Swot Analysis Of Mayo Clinic

    864 Words  | 2 Pages

    A SWOT analysis is simple exercise that could be implemented on multiple subjects including an individual or a whole corporation. The SWOT analysis is an operational tool for managing change, defining strategic direction and setting realistic goals and objectives according to Simoneaux and Stroud (2011). Discovering new opportunities and manage and eliminate threats that are present in the company and the surrounding market. SWOT is a valuable technique that leads to a better understanding of the strengths, weaknesses, opportunities and treats both internally and externally. The strengths and weakness are to be considered internal factors and opportunities and threats to be e...

    Read More

  • Swot Analysis And SWOT Analysis Of Starbucks And Apple

    1316 Words  | 3 Pages

    The definition of SWOT analysis is comprehensively summaries the internal and external conditions, critical evaluate advantages and disadvantages of organization, facing the opportunities and threats, in order to the combination of company 's strategy and internal resources and external environment (Yuan, 2013). In contrast, SWOT analysis method is a descriptive model, because the enterprise strategy is often a typical uncertainty problem, the lack of adequate analysis and logic, and a SWOT analysis cannot provide the specifically, format of strategic advice (David,

    Read More

  • Ford Motor Company Swot Analysis Essay

    709 Words  | 2 Pages

    A SWOT analysis is used to assess a company’s strengths and weaknesses found within the company, as well as opportunities and threats that emerge from the external environment. In this analysis, the main strengths, weaknesses, opportunities, and threats facing the Ford Motor Company will be discussed to provide a powerful analysis tool that supports the planning process for marketers.

    Read More

  • Overview and Analysis of Zappos.com

    1706 Words  | 4 Pages

    The business model of the company could be categorized into formal and informal. As the name implies, the formal aspect of the Zappos was concerned with all the traditional aspects just like that of other companies. The formal aspects of Zappos had included Human resources, policies, procedures, operations, measurement of performances and compensation to employees on the basis of their performances. The informal aspect of the company dealt with the behavior of employees in an organization which was highlighted by Zappos in their corporate philosophy. According to their philosophy to get happy customers it was important to have happy employees and for happy employees an inspired culture was essential.

    Read More

  • Fashion Case Study: Marks And Spencer And Zara

    1077 Words  | 3 Pages

    The business model that sets Zara apart from other clothing retailers is how rapidly the company changes stocks and releases new product lineups. The company averages 12-16 collections annually which equates to more than one lineup a month. Due to stock being limited and the rapid production Zara brings forth, their items are viewed as exclusive promoting further business. Their customers are happy knowing that their specific article of clothing is more “rare” due to only having an average of a two-week window to purchase the clothing. The company specifically targets current trends and has them in the store within 30 days. This maintains the brand’s uniqueness and relativity in fashion.

    Read More

  • Tesla Motors Marketing Challenges

    715 Words  | 2 Pages

    This work will determine the baseline of the current market situation for the company, which is essential for any further exercise and analysis. To understand how the business model correlates with the product marketing, need to see if there is any evident cause-effect relationship between product characteristics and the nature of the product company. If such correlation exists, it will be important to see the transition of such characteristics into the company marketing strategy. It can show how company’s strategies can be successfully addressed in a real-world scenario. Both internal and external analysis, SWOT matrix will help to determine the company’s current market position.

    Read More

  • Zara Business Analysis

    1501 Words  | 4 Pages

    Based on the business strategy and tactics, Zara has been trying to optimize its business operation largely in three cyclical processes – ordering, fulfillment, and design and manufacturing. Much of the process are standardized and simplified under the excellent control and employee's intuitive decision making latitude. In short, the principle of Zara's business operation is optimization of all business process and get rids of all redundancies and unnecessary things. More extended or peripherals of the principles can be summarized as follow;

    Read More

  • Human Resource Management of Zappos.com

    1401 Words  | 3 Pages

    Zappos.com is a website that started off just selling shoes but now sells items such as handbags, clothing, and housewares in addition to shoes. Their company logo includes their catchy name with an explanation point as the end in the shape of shoe print which leads consumers to believe Zappos has strong feelings about the service they provide to their consumers. Zappos believe that customer service is the number one priority and is focused on cultivating repeat customers which is why they have always provided free shipping on both orders and returns; occasionally provides upgraded shipping so customers can receive their shoes the same day that they are ordered even though this is very expensive to the company; and they only show products on their website that they actually have in stock albeit they lose 25 percent of their potential business by doing so (Walker, 2009). For a compa...

    Read More

  • Prada: A Case Study

    2831 Words  | 6 Pages

    Miuccia Prada once said that “What you wear is how you present yourself to the world, especially today, when human contacts are so quick. Fashion is instant language”. Miuccia Prada and the Prada brand have grown from humble beginnings making quality leather goods to a public traded company with a current market capitalization of over $26 billion (USD) . With the development of Prada as one of the world’s premier luxury brands it provides an excellent case study to examine how strategy paved the way for the success of the Prada brand. First, an examination of Prada’s strategic positioning against luxury brand rivals Louis Vuitton Hennessey Moet (LVHM) and Kering (Gucci). The acquisition history of Prada will be reviewed, where some preliminary conclusions can be made about what has been contributing factors to both the successes and failures. Then finally, an evaluation of what the future holds for Prada and the sustainability of its competitive advantage.

    Read More

More about Business Analysis And SWOT Analysis Of Zara

Open Document