Case Study Of Zara Fast Fashion

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  • + Jac101 Jac101 2 years ago
    hihi,your presentation slides is very good and I would like to save it to review when offline and it’s very helpful for my studies as reference.Hope that you are willing send me a copy to jacelyn101@hotmail.com

    Hope to hear from you soon.Thanks in advanced here.Have a nice day! ^^
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Case Study Of Zara Fast Fashion - Presentation Transcript

  1. ZARA Case Study
  2. You can download this presentation at: freepresentationslides.blogspot.com Please visit freepresentationslides.blogspot.com for more presentations on marketing, strategy and case solution
  3. AGENDA
    • Competitive advantage, Strategies and Objectives
    • International Strategy
        • Market selection
        • Market entry
        • Marketing approach
    • Inditex’s Financial Position Compare to Competitors
    • SWOT Analysis
    • Resolution to grow the Zara chain in best
  4. Competitive advantage, Strategies and Objectives
    • Competitive advantages
      • Fast Production
        • Ability to design and finish goods in stores within 4 to 5 weeks.
        • Very quick to get designer-influenced products into their stores.
      • Product variation
        • Ability of Zara to launch new trends, design and variation of product.
      • Cost leadership
        • Fashionable (quality) at reasonable product.
        • Based on product positioning: Zara is cheaper price than Benneton and GAP, and still being fashionable.
  5. Competitive advantage, Strategies and Objectives
    • Competitive advantages
      • Low level of inventory
      • Efficient distribution system
      • Turnover of product is high
  6. Competitive advantage, Strategies and Objective
    • Objectives
      • Maximize profit
        • Maintain and ability to go further fashionable (quality) at reasonable price  Zara positioning
  7. - Competitive advantage, Strategies and Objective + + - Fashion Price ZARA Before Objective/expectation + + - - Fashion Price ZARA (new) Transform
  8. Competitive advantage, Strategies and Objectives
    • Porter’s Generic Strategy:
  9. Competitive advantage, Strategies and Objectives
    • Porter’s Generic Strategy:
    • Zara are placed on board market scope. Zara provided cost leadership strategy and differentiation strategy, combined it to win the competition. Zara compete at reasonable price by build cost leadership strategy, so even they set at reasonable price they still could gaining reasonable margin. And develop differentiation strategy, in this case ability Zara to design and finishes product within 4 to 5 weeks (unique competences).
  10. Competitive advantage, Strategies and Objectives
    • Objective
        • Continues and possibly to go further with time cycle of generate design, finishes product and distribute it.
  11. Transform Competitive advantage, Strategies and Objectives “ Fastest” 4 to 5 weeks
  12. Competitive advantage, Strategies and Objectives
    • Strategies
    Objectives Marketing Production MIS Design Value Chain Framework
  13. Competitive advantage, Strategies and Objectives
    • Strategies
      • Production & Distribution
        • Maintain quality
        • Cost leadership
        • High bargaining power to supplier
        • Distribution system  Fast distribution
      • Marketing
        • Market penetration
        • R & D
        • Market, location of stores, consumers behavior analysis
      • MIS (management information system)
        • Order information flow  stores’ ordering system
        • Improving inventory system
        • Product distribution system
      • Design
        • Coordinate with R & D and also with stores itself to get the new trends
        • Ability to produce new design and trend
    Competitive advantage, Strategies and Objectives
  14. International Strategy
    • Market Entry
      • Consideration
        • Economics
          • Macroeconomics Factors:
            • Tax, political condition, export tariff.
          • Microeconomics Factors:
            • Local competitors
            • Demand
            • Location of store
        • Government
          • Regulation from government
        • Barriers
          • Local producers protection issues
  15. International Strategy
    • Marketing Approach
      • Consideration
        • 4 P consideration  Product, price, promotion and placement. Each country has different marketing approach.
          • Product  local preferences, design, trends.
          • Price  different pricing strategy for each country. For example: Italy and Paris has no problem for price but quality-oriented, but German has sensitive price.
          • Promotion  different promotion strategy for each country.
          • Placement  efficient distribution, location of stores
  16. SWOT Analysis Internal Factors Analysis 5.4 1 TOTAL 0.3 3 0.1 Centralized distribution system Weaknesses 1.2 4 0.3 Fast delivery of new products, design and trends 2 2 0.1 Information Tech 0.3 3 0.1 Efficient distribution 0.8 4 0.2 Different Strategy (customization, unique competences) 0.8 4 0.2 Cost leadership strategy (standardization) Weight score Rating Weight Strength
  17. SWOT Analysis External Factors Analysis 3.35 1 TOTAL 0.3 3 0.1 Lack of vertical integration 0.05 1 0.05 Product cannibalism 1.2 4 0.3 Global competitors 0.3 3 0.1 Local Competitors Threats 0.1 2 0.05 Distribution center in the US 0.2 2 0.1 Online market 1.2 4 0.3 Global market penetration Weight score Rating Weight Opportunities
  18. Resolution to grow the Zara chain in best Value Chain in each region Commercial team & Designer Inventory Production: Factory & Distributor Close watch on trend and buying behaviors Marketing: Market Research and analysis Check the material availability Than deciding how much this product will be produce Store Store Store Store Store Design MIS MIS MIS MIS MIS
  19. Resolution to grow the Zara chain in best
    • Change the system:
    • centralized  transform  decentralized
      • Build decentralized distribution and production in each region (Asia, Europe and America, more is better) to highly penetrate new market and tend to decrease the complexity of process.
      • Moreover, would tend to fastest in producing new product (design, production and distribute)
      • Keep maintain the value chain, nothing to change but it should be expanded in each district/region.
  20. Thank You

+ freeslidesfreeslides, 2 years ago

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