...costumer fluctuating demands (Castellano, 2002). ii. Quick turnover of clothing inventory, fastest in the market (Nueno and Ghemawar, 2003; The Economist, 2005; Crawford, 2000) iii. Low spending on advertising (Nueno and Ghemawar, 2003) iv. Follow market-based pricing strategy (Gonzalez, E., et al, 2003) c. SWOT of Zara III. Comparison of Zara with H&M and GAP The huge competitors of Zara are GAP Inc. and H&M. This part will cover some of basic information of those two competitors and give some comparison with Zara. (Nueno and Ghemawat, 2003) (Palladino, 2010) IV. Thesis Statement To analyze the key factors which influence the Zara’s Internationalization and its success Analysis I. Internationalization a. Theory of Internationalization In this part, the researcher will discuss the theory of Internationalization and why it is important to go international (Rugman, 1981; Tumbull, 1985; Piercy, 1981). b. Implication on Zara i. Motives to go international In this part, researcher will give detail of the push and pull factors that influence Zara to go International (McGoldrick, 1995; McDougall and Oviatt, 1994; Salgado and Blanco, 2004). Push and Pull Factors of Zara Internationalization (McGoldrick,...
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...STRATEGY 2015 Articles | Books & Chapters | Cases | Core Curriculum Course Modules | Simulations | Video Harvard Business Publishing serves the finest learning institutions worldwide with a comprehensive catalog of case studies, journal articles, books, and elearning programs, including online courses and simulations. In addition to material from Harvard Business School and Harvard Business Review, we also offer course material from these renowned institutions and publications: ABCC at Nanyang Tech University Babson College Berrett-Koehler Publishers Business Enterprise Trust Business Expert Press Business Horizons California Management Review Crimson Group USA Darden School of Business Design Management Institute European School of Management and Technology (ESMT) Haas School of Business Harvard Kennedy School of Government Harvard Medical School/Global Health Delivery HEC Montréal Centre for Case Studies IESE Business School Indian Institute of Management Bangalore Indian School of Business INSEAD International Institute for Management Development (IMD) Ivey Publishing Journal of Information Technology Kellogg School of Management McGraw-Hill MIT Sloan Management Review North American Case Research Association (NACRA) Perseus Books Princeton University Press Rotman Magazine Social Enterprise Knowledge Network Stanford...
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...Drawing on the Resource Based View literature, evaluate whether and how Zara generates sustainable competitive advantage Based upon the analysis of the ‘ZARA: Fast Fashion’ case study and referring to literature on the resource based view along with other appropriate theory and frameworks, I will draw a conclusion as to whether Zara have been able to create a sustainable competitive advantage, focussing primarily on their core competences developed over time. The resource based view stems from the idea that today’s market environments are so unpredictable and fast moving that it is wiser to form a base for strategy on the internal resources and capabilities of a company, rather than focussing on the external market (Grant, 2008). To gain a competitive advantage a firm must implement a strategy consisting of valuable and rare resources not being employed by current or potential competitors. To create a sustainable competitive advantage a firm must have unique resources that are non-imitable and non-substitutable (Barney, 1991). Competences derive from the integration of resources, assets, routines and values (Prahalad and Hamel, 1990). They become ‘core’ competences when they strategically differentiate themselves from other organizations (Leonard-Barton, 1992), helping them build a sustainable competitive advantage. Prahalad and Hamel (1990) state that a world leading company is unlikely to have more than five or six core competences and it is crucial to note that, while...
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...Title of the Report: Zara Case Study Report Name: SeJun Lee Executive Summary Zara is one of the largest international fashion companies in the world, and it belongs to Inditex, one of the world‟s largest distribution groups. This study reviews Zara`s external environment and analyses its internal organisation to make recommendations for improving its core competencies against competitors such as H&M and GAP. This study first reviews the Zara enterprise in terms of PEEST environmental factors, Porter‟s Five Forces and the fast fashion industry life cycle (ILC). The liberalisation of European Union import quotas has had a positive political impact on the fast fashion retail industry. However, rapid style changes generate waste. In addition, recent financial crises have made customers more sensitive to price and tending to buy lower priced goods. However, young people and new Asian customers are more attracted to fashionable clothes. Also, new technology is quickly adopted to survive in a fast-moving market. Using Porter‟s competitive analysis of five forces, the threats of new entrants and substitution are low, and customers‟ and suppliers‟ bargaining power are moderate. However, the intensity of competitive rivalry is quite high because similar fashion firms are competing. Fast fashion has a shorter life cycle for products than most industries. This spurs both creativity and product innovation but demands more efficiency and advanced technology to reduce...
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...Zara’s supply chains and operations management | December 23 2013 | | | COVENTRY UNIVERSITY LONDON CAMPUS Student name: Ha Linh Tran Student ID: 4569196 Module title and code: 214LON Supply chain and Operations Management Tutor’s name: Dr Amanda Mao Assignment title: Zara’s supple chain and risks of management Date of submission: 23rd December 2013 Word count: 2169 CONTENTS Page 1. Introduction 2 2. Overview of Zara Corporation 2-3 3. Risk identification and assessment in Zara’s supply chain a. Supply chain and risks management definitions 3-5 b. Supply risks 6-8 c. Technology and facilities risks 8 d. Human rights and cooperate responsibility failures 9-12 4. Conclusion and Recommendation 13 5. References 1. Introduction Supply chains have expanded rapidly over the decades, with the aim to increase productivity, to lower costs and fulfill demands in emerging markets. The increasing complexity in a supply chain hinders visibility and consequently reduces one’s control over the process. Supply chain...
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...Topic: Examine groupware systems including their various types and examples of organisational activities they support, and discuss how they would evolve in the future. Student number: 21819254 Introduction Nowadays, usage of IT systems in enterprise environment is growing at an incredible pace. The main purpose of it is to help groups of cooperating individuals to overcome time and spatial barriers. Enterprise systems implementation has led to the problem of cooperation between companies to reach their goals and successfully operate in the current market environment. The rising demand for collaboration software has led to the groupware market expansion. Collaborative software has influenced the expansion of enterprises by improving the effectiveness of a range of tools such as the ability to communicate over long distances. This software had a significant impact on expansion of enterprises and increased efficiency of its work, for example, the communication over long distances. Along with development of technologies, the way workers operate in organisations has completely changed. Monotonous and time consuming tasks can be easily solved using the computer. Consequently, this change led to increase in the number of “knowledge workers”, workers, whose main capital is knowledge (Davenport, Thomas, 2005). Organisations more often require employees, who have the skill and experience of working within a team. Obviously, teamwork has a significantly greater efficiency, especially in...
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...Innovation in the Fashion Industry: A Study of Four Cases 1 Table of Content Introduction Page 3 Page 3 Page 3 Page 5 Page 6 Page 6 Page 8 Page 10 Page 12 Page 13 Page 14 The history of fashion Major trends and developments in fashion Company Selection Analysis of the Companies House of Einstein Zara Fragile TOMS Conclusion Teamwork References Appendix 2 Introduction The history of fashion In order to fully understand where the fashion industry stands today in terms of organizational forms and strategies, we first look at the transformation this industry has gone through. This paragraph will analyze the changes that have occurred in the fashion apparel industry in the past century. We will also discuss some of the major trends that are visible in the fashion industry today. Up until the 1960s, the fashion industry was roughly divided into two groups. First there were firms which were based on mass production, with low costs and standardized styles that did not change frequently (Bhardwaj & Fairhust, 2010). During this time, a large group of consumers was less sensitive to fashion and had a preference for practical, basic apparel. Secondly there was the luxury fashion industry, which originated in France. A small group of French traditional players set up a special ...
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...references. In this scenario, the question of which internationalization strategy must be pursued to access the luxury fashion product market should be raised. A Benchmarking analysis was carried out for the purpose of identifying best commercial performances of leading worldwide Brand names to determine the marketing planning strategy. Results show the companies’ recognition of a globalised luxury and the discovery of a global market niche with huge growth potential, such as luxury handbags, make us state that there are still growth opportunities that have not been exploited. Key Words: Internationalization, Benchmarking, Branding, Fashion Markets JEL Classification L21, M30, M31 1 2 University of A Coruna, Faculty of Economics, Spain, email: ccalvo@udc.es University of A Coruna, Faculty of Economics, Spain, email: domingo@udc.es 4 European Research Studies, Volume XIV, Issue (2), 2011 1. Introduction Carolina Herrera is a fashion Brand name with a renown and quality image. The company has identified a market niche that demands garments, apparel and accessories to which it may offer a somewhat differentiated product with excellent quality. However, this market niche is already targeted by several companies with very renowned Brand names and great reputation, such as Loewe and Vuitton,...
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...Fashion Industry Analysis From the Perspective of Business Model Dynamics Author: Lisa Gockeln University of Twente P.O. Box 217, 7500AE Enschede The Netherlands ABSTRACT The fashion industry is a dynamic and volatile place, continuously exposed to macro-environmental factors that trigger fashion business models to change. The fast fashion model is currently at the forefront of the apparel market casting questions on whether its underlying philosophy is about to change as well. Therefore, the purpose of this study is to identify external drivers that might lead to such dynamic changes in the fast fashion model. Moreover, it will be investigated whether these may allude to a possible convergence to the newly emerged slow fashion model which is currently trying to penetrate the fashion market. The international retailer Zara has served as fast fashion representative for this analysis and has been examined for business model adjustments, which might have been triggered by macroenvironmental factors. It was found that especially social, environmental and technological factors have influenced developments in the fast fashion model and that it has indeed adopted slow fashion principles in some of its building blocks to respond to such emerging trends. The future of the fashion industry appears to be tailored by such externalities, continuously reshaping the fast fashion model to eventually arrive at a version that brings a long-lasting competitive edge. However...
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...It is not the strongest of the species that survive, nor the most intelligent, but the ones most responsive to change. (Charles Darwin) Introduction In this chapter, we turn our focus to how organizations sustain advantage. We do this through exploring strategic change, while, to complement this in Chapter 12, we examine strategic innovation and corporate entrepreneurship. Strategic change is about ensuring that the organization is consistently relevant in its market arenas and, as the opening quote from Darwin illustrates, about the need to be responsive to change. Back in 1865, the seeds of the company that we know today as Nokia were sown when Frederik Ideastam set up a paper mill on the banks of the Nokianvirta river in Finland. From this base, over the next hundred years, the company evolved to become a Nordic industrial conglomerate operating in paper, rubber, and cables, and from there to a European player in consumer electronics in the 1970s and 1980s. In 1996, a decision was made to divest all of its other businesses in order to concentrate on becoming a global giant in telecommunications. This is the position that Nokia is attempting to retain as it continues to ride the technological wave of change, focusing on technological convergence in mobile phones, multimedia, and enterprise solutions. Although the reorientation of Nokia over time did not come without its difficulties in integrating acquisitions and developing a strong corporate culture to unite...
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...ANALYSIS OF MICHAEL PORTER’S GENERIC STRATEGIES AND ITS USAGE IN A GLOBALIZED BUSINESS ENVIRONMENT THESIS - BACHELOR HONOURS IN BUSINESS ADMINISTRATION DIANA MARIA CAMACHO ARIAS TYPE OF DOCUMENT: DISERTATION TO OBTAIN THE DEGREE OF BACHELOR HONOURS IN BUSINESS ADMINISTRATION APPROVED BY UNIVERSIDAD DEL ROSARIO – FACULTAD DE ADMINISTRACION INSTITUTION: ÉCOLE INTERNATIONALE DE MONTPELLIER FRANCE, MONTPELLIER, MAY OF 2009 ANALYSIS OF MICHAEL PORTER’S GENERIC STRATEGIES AND ITS USAGE IN A GLOBALIZED BUSINESS ENVIRONMENT THESIS - BACHELOR HONOURS IN BUSINESS ADMINISTRATION DIANA MARIA CAMACHO ARIAS TYPE OF DOCUMENT: DISERTATION TO OBTAIN THE DEGREE OF BACHELOR HONOURS IN BUSINESS ADMINISTRATION APPROVED BY UNIVERSIDAD DEL ROSARIO – FACULTAD DE ADMINISTRACION TUTOR: TIDIANE AW INSTITUTION: ÉCOLE INTERNATIONALE DE MONTPELLIER FRANCE, MONTPELLIER, MAY OF 2009 DEDICATION I dedicate this dissertation to every person that has allowed it to be possible with the critics, to the teachers and tutors that have awaked in me the interest in this topic and also the passion for the businesses strategy, to my family that has always supported me to achieve my goals and to develop myself as a human being and also as a professional, and finally but not less important to Gabriel that has been a huge support to bring this dissertation to a satisafactory end. ACKNOWLEDGEMENTS This thesis would not have been possible without the generous assistance of the following...
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...STRATEGIC MANAGEMENT PAPER ZARA Created By: Anggita Sulisetiasih 1006718706 Kenji Wibawa Junardy 1006718990 Patricia M. A. Adam 1006805694 International Undergraduate Program Faculty of Economics University of Indonesia Depok 2013 TABLE OF CONTENTS Chapter 1 4 INTRODUCTION 4 1.1. Company Background 4 1.2. Vision and Mission 4 1.3. Long-term Objectives 5 Chapter 2 6 VISION – MISSION ANALYSIS 6 2.1. Importance (Benefits) of Vision and Mission Statements 6 2.2. Characteristic of a Mission Statement 7 2.3. Mission Statement Components 8 2.4. Vision and Mission Relation: Is It Achievable? 10 Chapter 3 11 EXTERNAL ASSESSMENT 11 3.1 Michael Porter’s Five-Forces Model 11 3.2 External Factor Evaluation (EFE) Matrix 13 3.3 Competitive Profile Matrix 15 Chapter 4 19 INTERNAL ASSESSMENT 19 4.1 Resource-Based View Analysis 19 4.2 The Internal Factor Evaluation (IFE) Matrix 22 4.3 Financial Analysis 27 Chapter 5 33 STRATEGIES IN ACTION 33 5.1 The Strategies 33 5.2 Michael Porter’s Five Generic Strategies 34 Chapter 6 36 STRATEGY ANALYSIS AND CHOICE 36 6.1 The Strengths-Weaknesses-Opportunities-Threats (SWOT) Matrix 36 6.2 The Strategic Position and Action Evaluation (SPACE) Matrix 37 6.3 The Boston Consulting Group (BCG) Matrix 39 6.4 The Internal-External (IE) Matrix 40 6.5 The Grand Strategy Matrix 41 6.6 The Quantitative Strategic Planning Matrix (QSPM) 44 Chapter 7 46 IMPLEMENTING...
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...STRATEGIC MANAGEMENT PAPER ZARA Created By: Anggita Sulisetiasih 1006718706 Kenji Wibawa Junardy 1006718990 Patricia M. A. Adam 1006805694 International Undergraduate Program Faculty of Economics University of Indonesia Depok 2013 TABLE OF CONTENTS Chapter 1 4 INTRODUCTION 4 1.1. Company Background 4 1.2. Vision and Mission 4 1.3. Long-term Objectives 5 Chapter 2 6 VISION – MISSION ANALYSIS 6 2.1. Importance (Benefits) of Vision and Mission Statements 6 2.2. Characteristic of a Mission Statement 7 2.3. Mission Statement Components 8 2.4. Vision and Mission Relation: Is It Achievable? 10 Chapter 3 11 EXTERNAL ASSESSMENT 11 3.1 Michael Porter’s Five-Forces Model 11 3.2 External Factor Evaluation (EFE) Matrix 13 3.3 Competitive Profile Matrix 15 Chapter 4 19 INTERNAL ASSESSMENT 19 4.1 Resource-Based View Analysis 19 4.2 The Internal Factor Evaluation (IFE) Matrix 22 4.3 Financial Analysis 27 Chapter 5 33 STRATEGIES IN ACTION 33 5.1 The Strategies 33 5.2 Michael Porter’s Five Generic Strategies 34 Chapter 6 36 STRATEGY ANALYSIS AND CHOICE 36 6.1 The Strengths-Weaknesses-Opportunities-Threats (SWOT) Matrix 36 6.2 The Strategic Position and Action Evaluation (SPACE) Matrix 37 6.3 The Boston Consulting Group (BCG) Matrix 39 6.4 The Internal-External (IE) Matrix 40 6.5 The Grand Strategy Matrix 41 6.6 The Quantitative Strategic Planning Matrix (QSPM) 44 Chapter 7 46 IMPLEMENTING...
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...strategic value creation to operational supply chain design Matthias Holweg a, Petri Helo b,n a b Judge Business School, University of Cambridge, UK Department of Production, Faculty of Technology, University of Vaasa, Finland art ic l e i nf o Article history: Received 31 May 2012 Accepted 13 June 2013 Available online 28 June 2013 Keywords: Value chain Supply chain management Operations strategy a b s t r a c t Over the past three decades scholars have developed comprehensive insights into the operational and strategic aspect of designing and managing the supply chain. Reviewing this ample body of knowledge however one cannot help but notice a persistent disunion between the “value chain” view that considers aspects of value creation and appropriation, and the operational “supply chain” view that considers strategies and tools for designing and operating efficient inter-firm networks. Commonly these views do not interact: value creation has the aim of capturing the maximum value-added in financial terms, the supply chain view aims for designing operationally efficient supply chains. In contrast to their treatise within the academic literature, from a practical point of view these two aspects are both necessary (and thus in their own right insufficient) components to a firm's supply chain strategy. In this paper we thus turn to an exploratory case study to identify what such a combined view of the value and supply chain would entail. We refer to this purposeful creation...
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...1 The Foundations of International Society 2013-2014 Part I: Politics 2 (International Relations I) Paper organiser: Professor Christopher Hill (POLIS): Room 105, Alison Richard Building Email: cjh68@cam.ac.uk Lecturers: Professor Hill (CH), Dr Elisabetta Brighi (EB), Dr Aaron Rapport (AR) and Dr Stefano Recchia (SR). Aims and Objectives The course aims to introduce students to the subject of International Relations (IR), whose main focus is the nature of politics at the international level. Students will acquire the empirical and conceptual foundations needed to understand a world political system which cannot be accurately described as either pure anarchy or a coherent form of ‘global governance’. The starting point is the notion of ‘international society’, which refers to the set of institutions and common procedures generated by states over the last three and a half centuries in their attempts to achieve some minimal form of co-existence, but which has gradually evolved to include many non-state actors and different levels of activity – diplomatic, economic and cultural, as well as that of military competition. By the end of the course you should be able to have an informed discussion about: the historical origins of the present system; what is distinctive about international politics as opposed to politics inside the state; and the main challenges which confront humanity in the twenty-first century. You will also acquire a basic familiarity with the main theories needed...
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