Uniqlo is a Japanese brand that produces casual clothes. It is inspired from the Japanese fashion. It is always up-to-date and it is referred to men, women, kids and infants. Its product lineup consists of many types of clothes, including HeatTech t-shirts, in a wide variety of colors and patterns, but not trendy. This brand with its successful combination of high quality, performance-enhanced and low prices provides to consumers a new innovating HeatTech t-shirt whose technology “uses rayon and milk proteins to trap the moisture of the body to generate and retain heat” (Fast Retailing, 2014).
However, UNIQLO should be aware that this market is easier for other fast fashion companies to enter. According to Parissa Haghirian, today’s fashion culture is very fast and reactive. Companies such as H&M and Zara are quick to copy any mini-fad that emerges. Thus, other fast fashion companies are easy to enter heat-retaining
They must be able to understand the similarities and the differences of customers from strict cultures and liberal cultures. At the same time, Zara take in consideration the industry analysis the most compelling evidence, Zara adopted a strategy that helped the company to survive in this competitive industry is the fact that Zara is a vertically integrated retailer. It controls most of the steps of the production designing, manufacturing, and distributing. This tactic allow the company’s self-containment throughout the stages of materials, manufacture, product completion and distribution to all of its stones with locations around the worlds, in a very short period time. Other strategy Zara used after reading the industry analysis is diversification.
The management at Zappos attracts customers through exceptional service that has created a “WOW” philosophy and embedded it within the fabric and culture of the company. Zappos has several competitive dimensions in which they compete with other online retailers in the market. The company has always maintained its sales growth rate on the long-term basis at a certain output level. Therefore, the competitive advantages of Zappos have always been sustainable. The corporate culture of the company is nurtured and developed by its management team.
In addition to this, it is also a good idea to increase the speed of manufacturing the products. At the same time Zara had already established a number of transport enterprises in some major of Europe which make consumers get the products a bit earlier. The motivation of Zara having their production system is that it can have some advantages than other clothing competitors. The last aspect is following the progress of the times. During the 21st century and the information times, Zara have access to the IT information which can help it to manage their chain corporations.
The company has a short time frame within which an idea is implemented. For instance, Zara designers may conceive a particular design that may seem fashionable at the current time and ensure that clothes are within the retail outlets within ten days. The speed of innovation and invention favors the versatile customers who love moving with the fashion trends. Zara, however, ensures that it releases few clothes to test the market thus saving the company on huge inventory costs that would lead from a dead stock. Notably, Zara has shied away from the top-down decision-making approach because the company understands that the employees are more inclined to understand the consumer trends.
this in turn gives then the best advantageous to lead the relative market and industry and emerging as the leader in fashions Conclusion The Discount of Zara is about 18% of its total operation range, where half of the level its competitors as Zara operates with decent level of sharing data and integration between retailers, manufacturer and third party researchers as essentials & also Zara has an effective way of aligning right supply chain strategy is to match product uncertainty. Postponement strategy can considerably reduce inaccurate forecast risk and do a responsive supply chain strategy. The marketing officials of ZARA are very well trained and experienced and doing their best to generate 100% results as well. ALSO Over all the main strategy of ZARA as they don’t depend on others but do all expertise by themselves only so they are unique in the science that they are all in all and getting maximum competitive advantages.
Innovational models dies creative values and their products are generally cheaper than others like IKEA and all othe brands in the same line of action and are highly successful to innovative other existing models in the market. The customers of Zara are able to wear the newest fashions as they enter the market. People are always trying to find a way to be the first one representing the newest fashion. With Zara making this possible, they have established a strong customer loyalty to the ones that always want to be the first one wearing a new coat or shirt. FURTHERMORE : THE way that Zara creates value to its customers is by pricing clothes differently depending on the location.
3. Bargaining power of buyers Zara buyers are not in a strong bargaining group as they are final consumers. By not buying large volumes without possibility organize or to request a decrease in selling prices. Although the product is not Zara offers a premium product need and therefore consumers may be price sensitive, Zara difference because their clothes are "affordable and trendy" so it is very likely that consumers feel that they are paying "fair" to have something original to perhaps in other brands, it could have a much higher price. The bargaining power of buyers drops even more because the product offer is not standard since the company offers about 15 000 different models Items of clothing and accessories only considering Zara.
All three retail stores have similar operations strategies which all have pros and cons. Of the three stores, ZARA has the most effective strategy as its success is the garments are sold within 15 days and that ZARA has the highest number of stores. Vertical integration also plays and important aspect to ZARA success as places utmost importance on the designing phase and hence creates unique designs with short lead times at affordable prices. Additionally, by having manufacturing sites located globally, it allows diversity in the clothing