Friday, May 22, 2020

Identify the Corporate Strategy of the Clothing Retailer Zara

Identify the corporate strategy of the clothing retailer ZARA and discuss how the five operations performance objectives support Zara’s corporate strategy. In addition explain the external benefits of these five objectives. Zara is the clothing retailer the best known as a brand of Spanish holding group Inditex (Industrias de Diseno Textil). First Zara store was opened in 1975,in Spain by Inditex father and founder Amancio Ortegas Gaona. It was first step and strong foundation to his success. Zara became most successful brand in fashion industry and it keeps growing and expanding constantly. There are 1721 Zara stores in 87 countries all over the world. All offer great catwalk fashion clothes for reasonable prices. The triumph†¦show more content†¦At the same time staff monitor customer choices, check which garments are the most popular and which are not liked at all, which are asked to be in different colour. Shop assistants asking customers what their expectations are or what design they like the best and which one should come back on the store retail. Thus most of the designs are based on the customer’s preferences not the fashion specialists. All this information is sent to The C ube – main building of Inditex, where in contrast to other retailer, around 30.000 items is produced per year. This information forwarded from staff to managers, in next step is sent off to headquarters in Spain. The report from daily sales, gives opportunity to check immediately which line are less popular and they are quickly removed from rails. The data collected from customers in stores is being treated as first-hand information, it reports demand for a new garments with different suggestion or information of the most popular line, which is added in quick turnaround. Store managers and working staff are the channel with information between the customers, control centre and the creative teams in Spain. 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