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Strategic management - Essay Example

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The company’s path towards the Indian market should prove a profitable venture for the company as India is almost the second largest…
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Strategic management

The report starts by giving an initial overview of the company, followed by the reports objectives. The major objectives of the report were to analyze the company’s operation and the strategies followed by the company, an industry analysis of the company followed by a macro-economic environment analysis. The company has been performing exceptionally well since its inception and lately it surpassed the revenue figure of its major competitors GAP.
The primary purpose of this Management Report is to provide an analysis of the strategic situation of Zara, the clothing retailer. This report further examines the manner in which the organization operates and also provides a good picture of its potential for growth and development.
Zara is a renowned brand and flagship chain store of Inditex Group. It has gradually gained major popularity since its first store was opened in Spain. “The company is known for needing just two weeks to develop a new product and get it to stores, compared with a six-month industry average, and launches around 10,000 new designs each year. Zara has resisted the industry-wide trend towards transferring fast fashion production to low-cost countries”. (Zara, Bloomberg.com)
The objective of this report is to examine the business operation of Zara over the last few years and to collect enough evidence supporting the Case Study “Zara – A Cut Apart From Competition”. The case Study has put forward the manner in which the company has operated in recent years and the fact that it took many long years for Zara to cross the leading America brand GAP and become the global leader in the fashion and clothing industry. Such an analysis is done by examining a few things;
Zara has operated with an aggressive policy towards the business. It has proven many theories wrong, theories related to economies of scale, supply chain, etc. The company’s operation can be ... Read More
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