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Some Questions

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Submitted By sharon0911
Words 369
Pages 2
1.As completely as possible,sketch the supply chain for Zara from raw materials to consumer purchase. supplier ☞ manufacturer ☞ wholesaler ☞ retailer ☞ consumer

2.Discuss the concepts of horizontal and vertical conflict as they relate to Zara.
Horizontal conflict is a conflict occurs among firms at the same level of the channel.
Zara’s distribution network reduces conflict among retailers and wholesalers in some extent.
Vertical conflict is a conflict between different levels of the same channel.
Zara’s business model makes that it’s impossible for wholesales and retailers make the biggest mark-ups.what’s more, retailers consult a assistant to check what mew designs are available and place their orders according to what they think will sell best to customers.It reduces the conflict between designers and customers.
3.Which type of vertical marketing system does Zara employ? List all the benefits that Zara receives by having adopted this system.(Zara使用的是哪种VMS?并说明因此受到的好处)
3、corporate VMS
Benefits:
(1)It can recongnize and respond to fashion trends quickly.Also it will create products that mirror trends and get those products onto shelves much faster and more frequently.The new and different things can entices customers.
(2)Except faster,it is prolific.
(3)Smaller batches assumes less risks if an item doesn’t sell well.
(4)The repeat patronage is very high.
(5)All of these lead zara more competitive.
4.Does Zara experience disadvantages from its “fast-fashtion” distribution system? Are these disadvantages offset by the advantages?
4、first question
Yes.The disadvantages are as follow:
(1)The hottest products can’t replent.
(2)It gives up cheaper labor around the world.
(3)The smaller batches leads higher cost. Second question Yes.Althong it exists disadvantages ,it also profits.Every year,its’profit grows and the business model has reconfigured the fashion landscape

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