Zara case study - Coursework Example

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Zara case study

Zara was founded by Amancio Ortega Gaona (Ortega), in 1975 and went on to become the flagship brand of the holding company, Industria de Diseno Textil, SA, popularly called Inditex, which was founded in 1979. As of 2002, Inditex operated six separate chains, that being, Zara, Massimo Dutti, Pull & Bear, Bershka, Stradivarius, and Oysho. However, each chain operates independently and is responsible for its own strategy, product design, sourcing and manufacturing, distribution, image, personnel, and financial results. Zara, which contributes around 80 per cent of group sales (Grant 2005, p.398), is by far the largest, most profitable, and most internationalized of the chains. Its stores can now be found in the most important shopping districts of more than 400 cities in Europe, the Americas, Asia and Africa. With year-on-year sales increasing at around 25% over the last 5 years, it has become one of the world’s fastest growing retailers (University of Cambridge Institute for Manufacturing). ...Show more

Summary

The Spanish retail chain, Zara, owned by Inditex is a retailer that has been so successful in our world of globalization and new technologies today by simply adopting a new approach in the industry. With their simple business model of speed, flexibility, and high fashion, Zara has the competitive advantage to be sustainable. …
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