ZARA: Fashion Follower, Industry Leader
Business of Fashion Case Study Competition
Amanda Craig, Charlese Jones and Martha Nieto
Philadelphia University
April 2, 2004
ZARA: Fashion Follower, Industry Leader
Table of Contents
Introduction?????????????????????????.1
Financial Analysis and
Comparison????????????????????.????....1
Strategic
Advantages????????????????????????...2-3
Strategic
Drawbacks???????????????????????.?.. 3-4
Possibilities for
Failure?????????????????????????....?..4
Recommendations/Conclusion??????????????????5
Calculations and Financial
Statements???????????????.??????.Appendix A
Articles: The Recent Status of
ZARA.???????????????.???????...Appendix B
Works Cited
Works Referenced
The global apparel market is a consumer-driven industry. Also, globalization and new
technologies have allowed consumers to have more access to fashion. As a result, consumers are
changing, competition is fierce, and companies are evolving to meet these demands. Zara, a
Spanish-based chain owned by Inditex, is a retailer who has taken a new approach in the industry.
With their unique strategy, Zara has the competitive advantage to be sustainable. In order to
maintain that advantage and growth they must confront certain challenges that face traditional
retailers in the apparel industry.
Financial Analysis and Comparison
To prove Zara has the prospect of sustainable growth in the international apparel market,
it is important to understand and compare the financial differences of Inditex, its parent company,
and its major competitor. The most interesting of Zara's competitors for comparison is Hennes
and Mauritz (H&M), who as the case study sta ...