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Business Case Study Zara

713 Words3 Pages

Running header: Zara Study 1

Zara Case Study
MBA Student
University of the People

Zara Study 2
Abstract

In todays fashion world it pays to be first to present your line of designs to consumers. What lengths must companies go to be able to have a competitive edge over their competition? This case study will look at one of the best fashion companies and how their business plan works or doesn’t work.
Keywords: Zara, key issues

Zara Study 3

Key Issues
Zara’s business plan has some very effective key issues that put them above their competition. Just in time and limited time products keep their line fresh and in demand. Customers …show more content…

While the industry average marketing spend for retail is 3.5% Zara only spends about 0.3% of sales on advertising and doesn’t have much marketing to speak of (Payton, n.d).
Zara’s shipping system is designed to get its fashions out into its stores as soon as possible. Trucks serve destinations that can be reached overnight, while chartered cargo flights serve farther destinations within forty-eight hours (Capell, 2008).
Affects of Key Issues
Just in time and limited unique products are strong assets for Zara that are now being threatened by a new company called Fung Global Retail & Technology. This new company has online brands that are able to design a product and have it ready for sale in as little as a week (Hanbury,2017).
While minimal marketing has worked thus far for Zara interactive websites are the main source to attract more traffic and keep in touch with customers which helps to improve and change in

Zara Study 4 products according to the requirements of the customers. This is also the quickest way to get feedback from our valuable customers around the globe (UKessays,

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