Introduction
ZARA, a Spanish fashion chain owned by Inditex, is a retailer who has taken a different strategy to expand and compete in the industry. The company uses an innovative design-on-demand operating model to deliver clothes from the fashion runways to store shelves faster than any of its competitors. Headquartered in Galicia, Spain, ZARA is expanding into global markets. A recent expansion has proven successful and further expansion in the United States is now being considered.
Issue
Zara has only a few US stores and is considering further US expansion. The issues to be considered include whether or not expand, and how to go about expanding should that avenue be followed.
Analysis
There are many factors influencing the expansion decision. Retail fashion is an extremely competitive industry with many players, most of whom are established brand names with a national presence and high advertising budgets to make sure consumers are aware of them. ZARA's policy is to do......
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Approximate Word Count: 531
Approximate Pages: 3 (260 words per double-spaced page) |