Zara case operation management

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Case Study Analysis- Zara ABSTRACT This paper is based on case study on operation management and positioning strategy of Zara, one of the world’s fastest growing manufacturers of fashion clothing. Also a world leading fashion retailer brand of Inditex. The case study outlines how Zara transforms from a local clothing retailer it into a global successful brand. It addresses few components in the case study, such as the products and process control and integrate business model used in Zara. The case also reveals the competitive strategies that Zara has opt in order to deal with its local and international customers. The strategies to retain and maintain market share have been explored. Furthermore the financial and business performance of…show more content…
Therefore, they can generate useful and accurate information from mangers and designer’s team can design product that meet customers’ demand. Also, as fashion is a fast forward industry, designer plays an important part of company. Zara tend to sending designer to other countries to search of new trends. Vertical Integration Business Model: Product Control and design – Total Quality Management Product control is a key factor that helps company to produce a good quality product. Nowadays, lots of businesses choice to outsourcing and manufacturing their products at developing countries due to cheaper labor and greater efficiencies. However, Zara creates vertically integrated business model. Zara make most of fabric and produce by its merchandise in house. This can help Zara to respond quickly to over-changing fashion trends as they have flexible and controllable material within company. Process Design and Control Zara controls every steps of the value chain, only with a longer shelf or fashion life times are outsourced. By owning its in-house production, Zara is able to be flexible in the variety, amount, and frequency of the new styles they produce. Furthermore, Zara use centralized distribution facility, Zara’s internally or externally produced merchandise goes to major distribution center. Technology Incorporation in System Non-of these can be done without advance IT system and software in

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