Macro Environment of Zara Essay

Zara is a very big clothing arrange from Spain. The strand was founded in 1975 by Mr. Ortega, and it now has more(prenominal) than 1.000 stores in near 63 countries so it is a very big chain. However Zara has its biggest securities industry in Spain, where they reserve 364 stores in total. They sell manner clothes of a fairly good quality to reason adequate prices this in addition means that they charter a broad target convocation, which we believe to be from kids to adults younger than 50, both(prenominal) men and women. Over the years Zara has expanded their convergence line heavily, so now they also sell accessories, cosmetics, furniture and perfumesZara is i of the most illustrious and popular high street brands in the world. It is a brand from Spain and it belongs to the Inditex group. Inditex group consist of seven different clothing chains of which Zara is considered as a fast fashion brand which aims at low blood line notice just in time manufacturing delive ry and sales, flexible building, low inventory rules and quick response policy.(Castellano, 1993). The first Zara store opened in 1975 in Spain.On product manufacturing basis, Zara strategizes by manufacturing majority of their clothes in Spain and Portugal hostile many other(a) top brands, which outsource them to Asian counties such as China and India. (Castellano, 2002) One of Zaras key market highlight has been in in zero advertising system, it instead markets its product by invest their percentage of revenues in opening new stores.. Zara is known to find the customer demands and they are flexible in adjusting to the changing demands quickly. They are also varying when it comes to product design as it keeps changing once in intravenous feeding weeks. (The Economists, 2005)Executive SummaryThe main goal of this report is to analyze the surroundings how Zara wil be marketed and launched in India. Analysis shows that the main problem of the product is to in terms of makin g the target market know the existence of the product in the country and the competition of the current clothing lines available in the market. In order to solve such complexities, the solution is to implement strategic selling approach in terms of advertisement and promotion to bind the target market become aware of the existence of the product in the marketplace. In addition, strategic market planning can also be attributed as a better solution to ensure that the product provide be introduced effectively. The only problem that is unsolved is to find a gild that will commit to the distribution of the product. With this, it is suggested that the organization must be able to use a more effective market planning and strategy which will enhance the market value of the product.This paper examines the case of the Spanish clothing retailer Zaras experience of and plans for further elaborateness into one of the fastest emerging markets in the world, India. It argues that given the uni que distribution and outturn functions of the retailer that possible problems exist for continued expansion in the US market. The problems associated with this given the characteristics of local markets and pressures from contest operators means that a recommendation is make for an adjusted international strategy for the club despite its broad successes elsewhere globally.IntroductionGlobalisation has become an essential element of international marketing principles and it has been argued that one of the keys to success in global markets is the effective development and marketing of standardised products and brands (Douglas & Wind, 1987). Jay (2000) suggests that the development ofIntroductionThe introduction of new technologies and globalisation has permitted consumers to have vast access to fashion and as a result, consumers are acquire more sophisticated and demanding and competition between companies became more intense as every company strive to outdo each other to meet con sumers demands. Zara is one of the example companies that had successfully managed to penetrate the international fashion industry and carve its name in the fashion industry. Zara fashion chain was originally founded in the town of Arteixo in the year 1975 by Amancio Ortega. Zara had helped its upraise company, the Spanish firm Inditex, to grow from anonymity and positioned itself as the world leashs biggest fashion retailer, overtaking the US-based Gap Inc and Swedish clothing company, H&M with excellent financial performance ahead of these two rival companies.After its first store in A Coruna, Spain, proved to be a hit, this giant clothing company intend to seek for more chain stores to be opened abroad and eventually, started their first international expansion in the 1980 through Porto, Portugal. Since then, Zara chains have grown into retailing giants and until today, the company have almost 1000 stores worldwide. Being different and special from other apparel retailers, Zara is a vertically integrated retailer where it plays an important mapping in controlling the supply-chain, manufacturing, designing, and distribution of its products. According to Mazaira (2003), the companys structure is consumer oriented and satisfactions of consumer are heavily emphasized. The achievement by Zara was described by Louis Vutton Fashion Director as possibly the most innovative and drear retailer in the world. According to an extraction from an article, the company had also been described as a Spanish success story (CNN, 2001). 2.0 Zaras Strategic Analysis