Analysis of the Zara company
Dismantling of trade barriers: Socio-cultural trend:
The consumer demand for branded goods at low prices. Today, we must consider the fact that more people are sensitive to fashion trends.
Environmental trend:Today the focus on environmental pollution is steadily increasing with depth research to new packaging promoting environmental protection.Force Provider: Low threat Zara has signed an agreement with the parent who is a single supplier and that gives the brand a franchise throughout Morocco.
Threat of new competitors entering: Big threat, the Moroccan market of clothing is very buoyant and attractive, it has several facilities. Therefore many international franchises may move, over the rise experienced by Moroccan franchises, and noted that so far there are no direct competitors of Zara. Government: The government instead promotes the company by removing the constraints customs because it:
- Creates employment
- Active structure for the development of commercial
-Develop modern infrastructure
-Attracts Foreign Investment
The performance of a company is measured by reference to a data:The quality / price of its products a system that draws heavily from the style of successful brands and sells them much cheaper. The price of items is very competitive with Moroccan franchises.Its chain of productivity: Zara's success is based on the magic formula of just in time with new models weekly shipment every three days.
A very high reactivity by meeting the requirements of stocks: the models most likely are available in ten days;The evolution of the turnover of Zara:Spanish giant Inditex's ready-to-wear, has taken root in Morocco thanks to brands Zara, Bershka and Stradivarius.As we can see, Zara has sales highest in Morocco. Zara clothing is the distributor of the fastest growth, with 899 stores in 62 countries; Zara is a brand that has been widely exported abroad. Over 200 artists are in the service of the brand research the latest trends, sales analysis of each piece offered to customers, creating new collections are their main missions. More than 30 000 models released every year Spanish offices of the brand.
Tags: Foreign Investment, turnover of Zara, trade barriers, modern infrastructure, environmental protection