Zara Case – Stephanie Wijanarko 1. What makes Zara different from other specialty apparel retailers? a. In-House Manufacturing and In-House Design Zara is vertically integrated company. Zara could respond the demand of the customer quickly since it owns its in-house production and in-house design. Their in-house design can offer fresh design twice a week. That is why they can offer more styles in smaller batches than its competitors and also meet local market demand. b. In-Season Production Since its production can be modified in response to market demand, Zara could produce for lesser beginning inventory than its competitor, which allow them to change its line of production to meet market change of demand. c. Distribution – Fast Shipment Distribution is centralized and shipments are made twice a week and goods could arrive in stores within 24-48 hours. The distribution facility is a place where merchandises are moved rather than stored d. Lean Inventory Zara produces product in many styles in smaller batches so it can maintain small inventory
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This note was uploaded on 02/01/2011 for the course BUAD 311 taught by Professor Vaitsos during the Fall '07 term at USC.