zara marketing
TRANSCRIPT
Past, Present, and Future
Ashley Cardounel |Andrea McDonald | Sophia Barnhart | Meagan Buckley | Shara Bromberg
Agenda
Zara Overview
Past/Present: Industry and Company
Future Outlook
Questions
Inditex Global Market Cap
$94.3bil
10.8bil
2013 Global Revenue
Unique Value
Proposition
Introducing Zara
€ 2,350
Stores worldwide
€
Past and Present Future Questions Overview
Introducing Zara
Past and Present Future Questions Overview
The Competition
Threat of Substitutes: Medium
Substitutes
Buyer Power
Supplier Power
Rivalry New
Entrants
Porter’s Five Forces
Past and Present Future Questions Overview
Substitutes
Buyer Power
Supplier Power
Rivalry New
Entrants
Porter’s Five Forces
Competitive Rivalry: High
Past and Present Future Questions Overview
Substitutes
Buyer Power
Supplier Power
Rivalry New
Entrants
Porter’s Five Forces
Threat of New Entrants: Low
Past and Present Future Questions Overview
Substitutes
Buyer Power
Supplier Power
Rivalry New
Entrants
Porter’s Five Forces
Buyer Power: Very High
Past and Present Future Questions Overview
Substitutes
Buyer Power
Supplier Power
Rivalry New
Entrants
Porter’s Five Forces
Supplier Power: Medium-High
Past and Present Future Questions Overview
Highlight: Zara’s Supply Chain
Zara Traditional Retail Model
Outsourced less Outsourced more
More Vertical Integration More Purchasing from Third Party Sources
Kept formal contracts to a minimum
More of a necessity of contracts because of more outsourcing
Past and Present Future Questions Overview
Highlight: Zara’s Supply Chain Advantages Disadvantages
Shorter Lead Time Lost profit - out of stock garments
Less commitment Low potential in economies of scale
More Unique Items Less potential for volume discount
Quick response to trend changes Vertical integration risk
Reduced warehouse need
Extremely high production rate
Past and Present Future Questions Overview
S W
T O
Analysis
Past and Present Future Questions Overview
S W
T O
Analysis
Past and Present Future Questions Overview
W
T O
Analysis
Past and Present Future Questions Overview
T O
Analysis
Past and Present Future Questions Overview
T
Analysis
Past and Present Future Questions Overview
Going Forward
Past Present Overview Future
High Fashion
Low Fashion
Cheap Expensive
Past and Present Future Questions Overview
• But of course, we can’t forget a critical component of the future of marketing overall…
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Past Present Overview Future Past and Present Future Questions Overview
Thank you
QUESTIONS
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