Wednesday, April 17, 2019

Zara in China Term Paper Example | Topics and Well Written Essays - 3000 words

Zara in china - Term idea ExampleAs the essay highlights Zara is a world renowned path retailer based in Spain. It was founded in 1975 and since then the company has grown comfortably. The company is regarded as a great success novel as it has made itself an international brand over a few decades. The unique thing nearly Zara is that it rejects the industry trends by investing no money in advertisements. The company focuses on low follow strategy by providing form garments and accessories to everyone. The target market of the company is not only the rich people. In contrast company has made fashion within the reach of everyone.This paper discusses that the company has up process now refused to follow the market trend of outsourcing its production to low cost developing countries. By doing this fashion retailers attempt to save costs but Zara believes that providing customers with latest fashion products in the fastest possible time. Zara is know for providing a b are-assed product to the customers within 2 weeks while the industry average is about sestet months. This shows how efficient the supply chain of mountains of Zara is compared to other retailers in the industry. The vertical desegregation helps Zara control its supply chain and this makes it possible for the company to stay ahead of the trends. The company has audacious growth plans for future.Zara entered the Chinese market in 2006 and since then the company has grown substantially in the country. Zara has 91 stores in China and the company is plan to open more stores in future.... This shows how efficient the supply chain of Zara is compared to other retailers in the industry. The vertical integration helps Zara control its supply chain and this makes it possible for the company to stay ahead of the trends. The company has audacious growth plans for future. Operations of Zara in China Zara entered the Chinese market in 2006 and since then the company has grown substantially in the coun try. Zara has 91 stores in China and the company is planning to open more stores in future. China is a huge market for the company given the creation of the country is 1.2 billion people. But tranquilize most companies do not enter China due to strict regulations and lower standards of living. Zara on the other hand entered China and has shown tremendous success because the company was able to attract the middle pattern population of the country. As mentioned earlier Zara does not believe in extremely expensive garments rather it is known for its new fashion and cost effectiveness. With this business model Zara was able to capture the market of China. The company aims at chess opening more stores in future in the country as well. The domestic consumption of the country is change magnitude and people are getting more and more aware daily about the new fashion trends. This is why it is expected that fashion retail giant will continue to pursue its expansion insurance policy in C hina as well. Stores of Zara are mostly seen overcrowded which shows the potential of Chinese markets (Xinhua 1). The urban middle class of China is multiplying at a great pace and this means that more and more people are demanding fashion products. Zara is the right choice for them because of the cost related advantages the fashion retailer offers. Objectives of Zara in China The

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