E business : Zara

Résumé du document

The market of Ready-to-wear has its origin in the 60s and it has created a revolution in the textile industry. Since the 70s, it has shown talent in Italian, English, Chinese and American clothing, and the 70s was also the beginning of internationalization of fashion. In our current society, fashion is in the heart of important economic issues, proof is that it represents now globally 900 billion Euros. According to figures from the World Trade Organization (WTO) , textile world trade in 2006 recorded a growth of 7%, measured in dollars. The intra-European trade amounted to 73.5 billion in 2006, an increase of 4% compared to 2005. China is the largest exporter of textiles, the country has a total share of 22.3% in exports. The global trade of clothing reached $311 billion in 2006, representing an increase of 12% compared to 2005. In their framework, all companies have to face the same problem: stick to fashion to satisfy a demand that is constantly renewing itself, and so, all companies adopt the same strategy of differentiation for itself. With competitors like Gap (US) or the Swedish H&M, Zara, a Spanish brand is attracting increasing attention. Therefore, how can Zara expand in a market with international competition? We will examine all the parameters of the sector in which is settled, the European company, Zara. Therefore, as a first step, we will examine the current functioning of the market, second observe Zara's functionning. And finally, we will analyze the company considering the various aspects of its environment, in particular, the adaptation of the strategy of Zara for the functioning of it's e-business.

Extraits

[...] Indeed, the objective of any e-business project is to create value. Value creation can take place in several ways: With an increase in margins Thanks to the motivation of staff With customer satisfaction Through relationships with partners A project of e-business cannot operate only when it brings added value to the company, but also to its staff, its clients and partners. And that is exactly on these key points Zara trying to focus it would add more to each players of the network. [...]

[...] Between an order received from a shop in Europe and the delivery teams Inditex, it takes 24 hours. In Asia and the USA, customers wait only 48 hours. In short, the customer orders in real time his clothes. A small communication Zara has chosen to expand its customer with an interactive relationship. Indeed, no deafening advertising, famous partnership or media resounding movement. At Zara, the important thing is to arouse the envy of its customers and increase the frequency of his visits, thanks to incessant turnover of products in store. [...]

[...] But the logic is: the more you adapt to demand, the more customers are asking for your products, the more we establish their wishes in the supply, the more they come back. And this is the way that Zara trace its path and managed to sustain in a more or less damaged sector and in a continent where manufacture is not the most profitable in general. But evidence to the contrary is Zara. Appendices Appendice 1 Appendice 2 Competitive advantage of Zara company due to its process www.universalis.fr/encyclopédie www.fashionmag.fr Hamel et Prahalad www.distrijob.fr/enseignes www.lesechos.fr Cf. [...]

[...] The choice of a quasi non-communication allows them to reach a budget, including investing in real estate, to find the best location for their shops. This is crucial in terms of their communication strategy: they must be visible, accessible and present in areas conducive to the consumption- shopping to maintain a direct relationship with their customers. To diversify The evolution of Zara tends to diversify their supply. They are seeking to move gradually to the concept that their success was based on the democratization of luxury products. [...]

[...] CRM / GRC It is a marketing information system oriented towards the client. It creates a database that allows the management to force the sale or after- sales service to better meet customer needs in terms of product offerings. SCM It refers to the trend towards integration of financial flows, goods and information in a process that can go from supplier to producer, from producer to wholesaler to retailer and retailer to the final customer. The aim is to achieve savings by reducing stocks and inventories. [...]