...|[pic] | | | |Assignment on | |“Principle of Marketing” | | | |Department of Finance | |University of Dhaka | | | | | Submitted by: | | ▪ Muhammad...
Words: 3752 - Pages: 16
...9-703-497 REV: DECEMBER 21, 2006 PANKAJ GHEMAWAT JOSÉ LUIS NUENO ZARA: Fast Fashion Fashion is the imitation of a given example and satisfies the demand for social adaptation. . . . The more an article becomes subject to rapid changes of fashion, the greater the demand for cheap products of its kind. — Georg Simmel, “Fashion” (1904) Inditex (Industria de Diseño Textil) of Spain, the owner of Zara and five other apparel retailing chains, continued a trajectory of rapid, profitable growth by posting net income of € 340 million on € revenues of € 3,250 million in its fiscal year 2001 (ending January 31, 2002). Inditex had had a heavily € oversubscribed Initial Public Offering in May 2001. Over the next 12 months, its stock price increased by nearly 50%—despite bearish stock market conditions—to push its market valuation to € 13.4 € billion. The high stock price made Inditex’s founder, Amancio Ortega, who had begun to work in the apparel trade as an errand boy half a century earlier, Spain’s richest man. However, it also implied a significant growth challenge. Based on one set of calculations, for example, 76% of the equity value implicit in Inditex’s stock price was based on expectations of future growth—higher than an estimated 69% for Wal-Mart or, for that matter, other high-performing retailers.1 The next section of this case briefly describes the structure of the global apparel chain, from producers to final customers. The section that follows profiles three of Inditex’s...
Words: 15358 - Pages: 62
...9-703-497 REV: DECEMBER 21, 2006 PANKAJ GHEMAWAT JOSÉ LUIS NUENO ZARA: Fast Fashion Fashion is the imitation of a given example and satisfies the demand for social adaptation. . . . The more an article becomes subject to rapid changes of fashion, the greater the demand for cheap products of its kind. — Georg Simmel, “Fashion” (1904) Inditex (Industria de Diseño Textil) of Spain, the owner of Zara and five other apparel retailing chains, continued a trajectory of rapid, profitable growth by posting net income of € 340 million on € revenues of € 3,250 million in its fiscal year 2001 (ending January 31, 2002). Inditex had had a heavily € oversubscribed Initial Public Offering in May 2001. Over the next 12 months, its stock price increased by nearly 50%—despite bearish stock market conditions—to push its market valuation to € 13.4 € billion. The high stock price made Inditex’s founder, Amancio Ortega, who had begun to work in the apparel trade as an errand boy half a century earlier, Spain’s richest man. However, it also implied a significant growth challenge. Based on one set of calculations, for example, 76% of the equity value implicit in Inditex’s stock price was based on expectations of future growth—higher than an estimated 69% for Wal-Mart or, for that matter, other high-performing retailers.1 The next section of this case briefly describes the structure of the global apparel chain, from producers to final customers. The section that follows profiles three of Inditex’s...
Words: 15226 - Pages: 61
...9-703-497 REV: DECEMBER 21, 2006 PANKAJ GHEMAWAT JOSÉ LUIS NUENO ZARA: Fast Fashion Fashion is the imitation of a given example and satisfies the demand for social adaptation. . . . The more an article becomes subject to rapid changes of fashion, the greater the demand for cheap products of its kind. — Georg Simmel, “Fashion” (1904) Inditex (Industria de Diseño Textil) of Spain, the owner of Zara and five other apparel retailing chains, continued a trajectory of rapid, profitable growth by posting net income of € 340 million on € revenues of € 3,250 million in its fiscal year 2001 (ending January 31, 2002). Inditex had had a heavily € oversubscribed Initial Public Offering in May 2001. Over the next 12 months, its stock price increased by nearly 50%—despite bearish stock market conditions—to push its market valuation to € 13.4 € billion. The high stock price made Inditex’s founder, Amancio Ortega, who had begun to work in the apparel trade as an errand boy half a century earlier, Spain’s richest man. However, it also implied a significant growth challenge. Based on one set of calculations, for example, 76% of the equity value implicit in Inditex’s stock price was based on expectations of future growth—higher than an estimated 69% for Wal-Mart or, for that matter, other high-performing retailers.1 The next section of this case briefly describes the structure of the global apparel chain, from producers to final customers. The section that follows profiles three of Inditex’s...
Words: 15226 - Pages: 61
...Running head: PROGRESSIVE ERA THROUGH THE GREAT 1 Progressive Era Through the Great Depression Zarick L. Robinson Contemporary U.S. History – II Professor Patrick Peacock Strayer University August 1, 2013 PROGRESSIVE ERA THROUGH THE GREAT DEPRESSION 2 The progressive era in America describes a broadly based reform movement that reached its height early in the 20th century. In the decades following the Civil War, rapid industrialization transformed the United States. A national rail system was completed; agriculture was mechanized; the factory system spread; and cities grew rapidly in size and number. The progressive movement arose as a response to the vast changes brought about by industrialization. Two major turning points during this period was reform at the state level and of course the national level. At the state level, reformers turned to state politics, where progressivism reached its fullest expression. A model of progressive reform was Robert La Follette’s term as governor of Wisconsin. He won from the legislature an anti-lobbying law directed at large corporations, a state banking control measure, and a direct primary law. Taxes on corporations were raised, a railroad commission was created to set rates, and a conservative commission was set-up. In state after state, progressives advocated a wide range of political, economic, and social reforms. They...
Words: 2852 - Pages: 12
...retail group, Inditex SA, one of the super-heated performers in a soft retail market in recent years. When Inditex offered a 23 per cent stake to the public in 2001, the issue was over-subscribed 26 times raising Euro2.1 billion for the company. What makes Inditex so tasty? Well, for a start, it seemed to show higher profit margins than comparable retailers, and secondly, the trend seemed sustainable. Good bet for most investors. The Awkward Factor in the Profitability Formula Buy low, sell high. Buy on credit, sell on cash. Retail profitability often seems like a no-brainer. If you sell at X dollars and buy at Y dollars, as long as your operating and financial costs are lower than the gross margin i.e. the difference between X (selling price) and Y (cost), you should be making money. And what with retailers running around with gross margins of 50-60 per cent (that is more than half of their...
Words: 3814 - Pages: 16
...Running head: PROGRESSIVE ERA THROUGH THE GREAT 1 Progressive Era Through the Great Depression Zarick L. Robinson Contemporary U.S. History – II Professor Patrick Peacock Strayer University August 1, 2013 PROGRESSIVE ERA THROUGH THE GREAT DEPRESSION 2 The progressive era in America describes a broadly based reform movement that reached its height early in the 20th century. In the decades following the Civil War, rapid industrialization transformed the United States. A national rail system was completed; agriculture was mechanized; the factory system spread; and cities grew rapidly in size and number. The progressive movement arose as a response to the vast changes brought about by industrialization. Two major turning points during this period was reform at the state level and of course the national level. At the state level, reformers turned to state politics, where progressivism reached its fullest expression. A model of progressive reform was Robert La Follette’s term as governor of Wisconsin. He won from the legislature an anti-lobbying law directed at large corporations, a state banking control measure, and a direct primary law. Taxes on corporations were raised, a railroad commission was created to set rates, and a conservative commission was set-up. In state after state, progressives advocated a wide range of political, economic, and social reforms. They...
Words: 2852 - Pages: 12
...Running head: PROGRESSIVE ERA THROUGH THE GREAT 1 Progressive Era Through the Great Depression Zarick L. Robinson Contemporary U.S. History – II Professor Patrick Peacock Strayer University August 1, 2013 PROGRESSIVE ERA THROUGH THE GREAT DEPRESSION 2 The progressive era in America describes a broadly based reform movement that reached its height early in the 20th century. In the decades following the Civil War, rapid industrialization transformed the United States. A national rail system was completed; agriculture was mechanized; the factory system spread; and cities grew rapidly in size and number. The progressive movement arose as a response to the vast changes brought about by industrialization. Two major turning points during this period was reform at the state level and of course the national level. At the state level, reformers turned to state politics, where progressivism reached its fullest expression. A model of progressive reform was Robert La Follette’s term as governor of Wisconsin. He won from the legislature an anti-lobbying law directed at large corporations, a state banking control measure, and a direct primary law. Taxes on corporations were raised, a railroad commission was created to set rates, and a conservative commission was set-up. In state after state, progressives advocated a wide range of political, economic, and social reforms. They...
Words: 2852 - Pages: 12
...Regulation of Executive Compensation and its impact on the stability of the financial system | | Introduction In corporate circles, the financial crisis and its effect on companies is sometimes illustrated as a systematic phenomenon in which there is no individual responsibility. Public discussion, on the contrary often assigns the blame of the crisis to bankers or managers, and suggests conclusions of salary reductions or individual liability in terms of losses. In this paper the implications of executive compensation surrounding the financial crisis will be debated. Firstly, the types of executive compensation will be discussed and the implications of them. Secondly, how executive compensation contributed to the financial crisis will be conferred and thirdly the legal improvements and current process will be analysed. To aid understanding, articles and examples will be used to emphasise the various views of economists regarding executive compensation. Non-Regulation of Executive Compensation Executive Compensation can be described as the monetary bonus, or the non-monetary benefits which an executive receives for their work in an organisation. Executive Compensation can be a highly motivating incentive to work more efficiently, thus benefiting the organisation and keeping the executive content with his contribution and performance. However, this compensation can have adverse effects where the executive does not have the organisations best interest in mind, but...
Words: 2530 - Pages: 11
...customer base in the T&T market and couldn’t give customers what they needed and he said “loyal customers deserve the latest technology and hardware, the most modern and innovative navigation systems in a Smartphone. As such, in a bid to remain viable in the local mobile market, Bmobile carried out market research to determine the preference of consumers and their attitudes and perception of Blackberry. This brand of mobile phones is best known for its technological advancement and as a basis for investigation, PESTLE analysis, Porter’s competitive forces have been applied to analyze internal and external environment. The report revealed that the marketing approach to be taken by Bmobile must strike a balance between personal and professional, between the ages of 20-55 years, middle and high income earners also those who are price sensitive. Bmobile will seek to give the people in T&T the latest of the latest and the “sexy” factor back on their...
Words: 7286 - Pages: 30
...Fashion World | 7 | 3. | Discussion: Question 1Question 2Question 3Question 4Question 5Question 6 | 899101010 | 4. | Conclusion | 11 | 5. | Reference list | 11 | History and Background of Zara Marked as the first prestigious venture of the Inditex group the first store of Zara, the chain of Spanish fashion stores came into reality on central A Coruña Street in 1975. In 1985, Amancio Ortega integrated Zara in a new holding company, Industria de Diseño Textil, INDITEX S.A. The Zara fashion concept was well received by the public later in 1976, allowing it to expand its network of stores to the other main Spanish cities. During 1981-1988 with the growing popularity Zara started new ventures by multiplying in number not just in Spain but around the world. Today Zara is present in 73 countries, with a network of more than 1,540 stores, ideally located in major cities. Its international presence clearly shows that national frontiers are no impediment to sharing a single fashion culture (fibre2fashion.com, 2011). Today Zara is the largest and most internationalized of the six retailers that Inditex owns which are Zara, Massimo Dutti, Pull & Bear, Bershka, Stradivarius, and Oysho (www.zara.com/company, 2011). The role of the corporate centre at Inditex’s headquarters is that of a “strategic controller” only, and is involved in setting the corporate strategy, approving the business strategies of the individual chains, and controlling their overall performance rather than...
Words: 3022 - Pages: 13
...Marketing Mix Of Reliance Communications Marketing Mix Reliance communications 7 P’s of marketing for Reliance Communications Product Reliance mobile always faced the problem of weak network. So to correct the major have invested over Rs 300 crore to upgrade to NGIP (Next Generation IP) network. Product has to sell itself. Now they are launching about more than 1100 network towers to provide more coverage to its customers. Price There are many ways to price a product. The pricing policy/ strategy vary in various situations. In case of Reliance mobiles they have priced their product at a very low price & they also come up with new plans. Place Another element of Marketing Mix is Place. Place is also known as channel, distribution, or intermediary. It is the mechanism through which goods and/or services are moved from the manufacturer/ service provider to the user or consumer. Reliance Mobiles do not find it very difficult to find the distribution channel because they are the old players and distribute their product in India. Promotion Another one of the 4P’s is promotion. This includes all of the tools available to the marketer for ‘marketing communication’. Reliance has recently started doing heavy promotions. Physical Evidence Physical Evidence is the material part of a service. Strictly speaking there are no physical attributes to a service, so a consumer tends to rely on material cues. As Reliance mobile provide various rental plans. People ...
Words: 7288 - Pages: 30
...European M&A Construction Monitor Trends for 2011–2013: Defaults, Deleveraging, Diversification and DBFM Deloitte Real Estate – European M&A Construction Monitor 2012 December 2012 European M&A Construction Monitor is a publication edited and distributed by Deloitte. Director Jurriën Veldhuizen, partner Real Estate, The Netherlands Kees Zachariasse, M&A partner Real Estate, The Netherlands Coordinated by Harm Drent Hinse Boonen Steven Vrendenbarg Laurens Kil Contact Real Estate Department, Deloitte Netherlands Phone: +88 288 3281 Fax: +88 288 9752 December 2012 Contents 1. Introduction 2. Looking back 3. Going forward 4. European construction and infrastructure group contacts 5 6 12 19 European M&A Construction Monitor Trends for 2011–2013: Defaults, Deleveraging, Diversification and DBFM 3 4 1. Introduction Market trends: Defaults, deleveraging, diversification and DBFM The number of deals decreased in 2011 compared with 2010. Uncertainty in the market was a major factor for this decline. Although uncertainty remains omnipresent in 2012, M&A activity is expected to increase, even though the average deal size will be smaller compared with previous years. Small and medium-sized companies are the main targets, provided they are of interest to the limited number of larger construction companies active in the European M&A market. Survival techniques – including deleveraging, diversification and reorganisations – have been and will continue to be applied...
Words: 6982 - Pages: 28
...ZARA By Promode Gabriela Andrade Diego Farfán Cristina Neira Gabriela Muñoz SEARCH STAGE About INDITEX Industrias de Diseño Textil S.A (INDITEX) is a large Spanish corporation inside the fashion industry. This group is related with different companies that deal with activities involved in textile design, production and distribution. Amancio Ortega Gaona is the founder and chairman of INDITEX. INDITEX headquarters are located in Arteixo, a village in the province of La Coruña in Galicia, in the north west of Spain. It is there where almost all its merchandises are manufactured. With over 4,430 stores in around 73 countries, INDITEX owns brands like ZARA, Massimo Dutti, Bershka, Oysho, Pull and Bear, ZARA HOME, Kiddy’s Class (Skhuaban), Uterqüe and Stradivarius. These stores are mostly corporate-owned since franchises are only conceded in countries where corporate properties cannot be foreign-owned. Their management model, based on innovation and flexibility, and the company’s achievements, have placed INDITEX as one of the largest groups of fashion distribution. One of the strategies of INDITEX group is to understand fashion, creativity and quality design in order to provide an efficient answer to the demand of the market. This has allowed a fast international expansion and an excellent embracement of this proposal in all different brands that form part of the INDITEX group. About ZARA As mentioned before, ZARA forms part...
Words: 4670 - Pages: 19
...------------------------------------------------- Real Madrid – 1st Case Assignment The following answers are based on the case materials “Real Madrid Club de Futbol”, “Real Madrid Club de Futbol in 2007: Beyond the Galacticos” and the links in the footnotes. 1. What differentiates Real Madrid from other Soccer clubs? One thing that differentiates Real Madrid from other top soccer clubs is that Real Madrid is owned by its members while most other top club is owned by shareholders (investors). Another difference is that Real Madrid were quite early to realize the importance to serve as a marketing vehicle all over the world rather than just a soccer club compared many other soccer clubs. This was especially under the management of Perez Real Madrid as a brand and business got in focus. This meant that Real Madrid became a real business and that the management managed Real Madrid as a business rather than just a soccer club. The performance of Real Madrid as a soccer club is still key to the performance of the business though. 2. What provides the revenue stream from which the club benefits? About one fourth of the income in most top clubs is generated on match-day from such things as sponsorships, television rights and merchandising revenues. Revenue depends largely of the clubs participation and performance in major competitive events such as the European Champions League for instance. Below are listed four types of revenues the club generates and what it basically consists...
Words: 1470 - Pages: 6