...SOE11108 Sources of Competitive Advantage Assessment 1 Group Presentation PESTEL – Analysis [pic] Contents 1 Introduction 3 2 Overview 3 3 Business Environment 3 4 Political 4 5 Economic 4 6 Social 5 7 Technological 6 8 Environmental 6 9 Legislative 8 10 Conclusion 8 References 9 Introduction 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 and face traditional retailers in the apparel industry. So, now our group will analysis the PESTLE of Zara Company. (Lopez & Fan, 2009) Overview Zara is one of the largest international fashion companies and belongs to Inditex, which is one of the largest fashion retailers worldwide. Inditex operates in textile design, distribution and manufacturing. (Inditex, 2011 b) Zara operates in 78 countries worldwide with 1557 stores in the world’s largest cities. (Inditex, 2011 c) The company is founded in 1975 by Amancio Ortega, located in Spain and had in 2010 a net sale of 8.088 million of...
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...be the main target. Introduction: Introduction to Company: The global apparel market presently is a consumer-driven industry. Also,globalization and new technologies have allowed consumers to have more access tofashion and different varieties. As a result, consumers are changing, competition isfierce, and companies are evolving to meet these demands. Zara is the flagship chain store of Inditex Group owned by Spanish company tycoon Amancio Ortega, who also owns brands such as Massimo Dutti, Pull and Bear, Oysho, Uterqüe, Stradivarius and Bershka. The group is headquartered in A Coruña, Galicia, Spain, where the first Zara store opened in 1975. It is claimed that Zara needs just two weeks to develop a new product and get it to stores, compared with a six-month industry average, and launches around 10,000 new designs each year (ZARA, Business Week, 2006). Zara has resisted the industry-wide trend towards transferring fast fashion production to low-cost countries. Perhaps its most unusual strategy was its policy of zero advertising; the company preferred to invest a percentage of revenues in opening new stores instead. Zara...
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...assessment and making decisions or setting goals for future. The fashion company Zara has a marketing environment that is quite unique. So is for Zara, it has macroenvironment and microenvironment that make Zara be a successful fashion icon around the world. MACROENVIRONMENT In macro environment, Zara uses PESTLE analysis for their marketing environment. Zara achieve the targets when they used this analysis. POLITICS Government policies and political parties are responsible for developing political environment. Government is the major factor in business; in form on policies they may support industry. Zara has been in Spain until now and it is one and only a major on Europe. Zara has growth in many countries nowadays; political must be the most important if Zara wants expand their outlets. Zara has options to expand its business in European countries because of their safe and economic circumstance. ECONOMY Zara has been dealing with many issues in economic factor; the currency, taxation rates and so on. The economic condition has been unstable in few years but Zara can handle this problem without doubt. Zara successful in getting market share and has been not affected by recession. Before entering the new markets, the currency rates and the economic condition of that country is evaluated. One of the most stable country is Spain, this because it is a predictable demand in markets. SOCIO-CULTURE Zara is currently operating in a single country and it faced social influence that...
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...[pic] University of Sunderland The faculty of Business and Law _______________________________ Module Title: Marketing Management Module code: PGBM15 The market analysis of ZARA ______________________________________________ Student Name: Xia Tang Student Number:139151583 Tutor: Steve Storey Module Leader: Sudipta Das Word Count:4005 Date of submission: 16th June 2014 Contents Introduction of ZARA 1 1 Dynamics and trends within the marketing environment of ZARA. 1 1.1 Introduction of marketing environment 2 1.2 Macroenvironment-----PESTLE analysis of ZARA 2 1.3 Microenvironment analysis of ZARA 4 1.4 Poter’s three generic strategies on ZARA 4 1.5 SWOT analysis of ZARA 5 2 The importance of market research,marketing mix and service innovation for Zara 6 2.1 The importance of market research for ZARA 6 2.2 The importance of Marketing mix for ZARA 9 2.3 The importance of ZARA’S Service innovation 11 3 Marketing techniques for manager-decision 12 3.1 Segmentation ,targeting & positioning 12 3.2Marketing objectives and goals 14 3.3Marketing strategies and programmes 15 4 Conclusion and suggestions 17 References: 19 appendix…………………………...…………………..20 The market analysis of ZARA Introduction As one fashion brand of the Inditex Group, ZARA were founded in Spain in 1975, by Amancio Ortega and Rosalía Mera. When its first store provide low-priced lookalike products of popular, higher-end clothing fashions...
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...THE CASE OF ZARA: PLANNING AND STRATEGIC CONTROL Alexandra Iacob University of Huelva HUELVA, SPAIN 2015 Abstract Zara is a retail company belonging to the Spanish company Inditex Group. Currently, Zara has 1,808 stores in 86 countries. This paper will analyse Zara’s business model, based on innovation and flexibility, as well as logistics chain and the various tools used to recognize the continuous changes in fashion trends and turn them into a product marketable within a few weeks. Compared with the competition, Zara has three distinctions: vertical integration to achieve a faster turnaround time; rapid expansion; and use of the store as the main tool for promotion, with low spend on advertising. This company offered a product design and quality, low price. In addition, resources and competences have allowed develop a different business model, where all processes from product design, to manufacturing, distribution and sales are carried out within the same organization. Key words: Strategic Management, Strategy, External Environment, Michael Porter’s Generic Strategies, Vertical Integration, Balanced Scorecard, Globalization Culture Introduction Company Background Four letters that make up a fashion brand known around the world. Zara is a Spanish brand of clothing and accessories and the foundation of Inditex’s success as well as their first retail format. Inditex S.A. is a Spanish multinational group of textile manufacturing and distribution established in 1975 in...
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...Introduction In this proposal, we are going to enter into a new market with an existing product. In the case, we use UNIQLO as our topic. We try to analysis and prove UNIQLO to enter the Italy market. First of the proposal, we will analysis the existing products of UNIQLO with BCG matrix to see which products are belong to their relative segments. Then, we will analysis the company’s internal and company’s external. We use marketing assets such as Value Chain, PLC and Marketing Mix to find out the company internal situation to see whether the company has a standardized product. On the other hand, we use PESTLE framework or SWOT analysis to analysis the company external situation. Moreover, we will analysis the new market: Italy in different aspects: accessibility, profitability, market size and competition. Finally, we will make the conclusion to see whether UNIQLO can enter Italy. Company background UNIQLO was founded in 2 September 1984 in Japan by Tadashi Yanai and enter Hong Kong in 31 March 2005. Their full name of the brand was UNIQLO Hong Kong Limited. In 1984, the first UNIQLO store was opened in Hiroshima, Japan. Since then, the brand has evolved from a chain of roadside stores to an international leader in style, quality and fun. UNIQLO clothing is made for all with highly finished elements of style in cloths that suit your values wherever you live. This unique concept sets us apart from apparel companies whose sole purpose is the pursuit of fashion trends. Until...
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...Marketing Principles All organisations will use some sort of marketing. Marketing is there so an organisation can find out what their customers’ needs are, and how these can be met. In this manual I will be talking about John Lewis Marketing process. Having a good marketing department can help the John Lewis keep costs down. If the correct process is taken for marketing, it will eliminate the guessing and forecasting that are linked with trying to predict product trends and consumers demand for goods or services. when the organisation knows what they customers wants, they will all be able to provide the right type of product or service and will always have customers ready to purchase. All so having a good marketing department or team, will help a John Lewis build a loyal customer base and help with repeat custom. This is called brand loyalty; it is one of the main advantages of having a good marketing team. Marketing is usually defined as a process that identifies and predicts what the customer wants and then trying to satisfying the customers’ needs and making a profit by doing this. Every business or organisation will follow marketing plan or a marketing process. The marketing plan will serve as a wide range plan which will outline the organisations marketing efforts. Using the marketing process, John Lewis will have to find out what their customers want and what their needs are and what the business can do to meet their needs and demands. The...
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...Abstract……………………………………………………………………………………......3 Research Methodology..………………………………………………………………………3 Limitations ……………………………………………………………………………………3 About MANGO………………………………………………………………………………..3 Introduction (Peru an Emerging Economy)…………………………………………………4 Ease of Doing Business……………………………………………………………………….5 Market Attractiveness of Per (PESTEL Analysis)…………………………………………...6 o o o o o o Political analysis………………………………………………………………………………7 Economical Analysis…………………………………………………………………………..9 Socio-Cultural Analysis……………………………………………………………...............13 Technology Analysis………………………………………………………………................17 Environment Analysis………………………………………………………………………..18 Legal Analysis………………………………………………………………………………..19 Entry and Evaluation of MANGO in the Peru Market…………………………………….21 SWOT Analysis………………………………………………………………………………24 Ethics & Corporate Social Responsibilities…………………………………………………28 PESTEL Analysis on Peru Fashion Industry (MANGO)………………………………….28 CSR for Retail fashion Industries…………………………………………………………...29 Conclusion…………………………………………………………………………………...33 Bibliography…………………………………………………………………………………34 2|Page Saurabh Mallick (10269890) Abstract This report insights the PESTEL analysis done on the country Peru, in context to fashion retail brand MANGO. Research Methodology Every one of the sources utilized for examination are valid and trusted sources. The majority of the research is done by utilizing the DBS library assets and World Bank data. For organization data, organization's official...
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...Marketing Principles HND in business management NAME:KABITA MAHARJAN ID NUMBER:859549 ASSIGNMENT:1St Submitted to : Zara Bhokhari Date of submission :31st march Contents 1.o Introduction......................................................................................................................3 1.1Definitions...................................................................................................................3 2.o Background of BP.............................................................................................3 2. 1Marketing orientation ….................................................................................3&4 2.2Advantages disadvantages.....................................................................................4 3.o Marketing processing................................................................................................4&5 4.o PESTLE …...........................................................................................................5&6 5.o SWOT …..............................................................................................................6&7 6.o Segmentation..............................................................................................................7&8 6.1 Targeting.......................................................................................................... 6.2Positioning...
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...Primark is one of UK’s largest clothing retail stores with a reported revenues of £4,273 million, the store was first established in Ireland in 1969. Over the past ten years Primark has become extremely successful with its expansions into the United Kingdom where 165 stores are now available and more than 250 stores around Europe (Wood 2014). Earlier this year, Primark’s parent company announced its intention to enter the US market with a first store opening in Boston MA in 2015, the opening will be shortly followed by another ten new stores across the country (smith 2014). This can be a risky strategy as the shift towards a more globalised market means companies who have been successful in their home market (such as Primark) will find themselves competing with foreign businesses which are much bigger and more successful. However, International expansion offers businesses the opportunity to become recognised on a global scale, for example, companies such as Coco Cola, McDonalds and Microsoft could not have achieved global leadership within their industry without expanding abroad, therefore International expansion offers international reputation which is necessary when wanting to become a leader. Internationalization Theory The Uppsala model (a.k.a the Stage Model) is an important theory that explains how firms expand abroad, under this model, internationalization is seen as an incremental process whereby firms increase their international involvement in a stepwise manner...
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...Introduction This project is about Uniqlo Co., Ltd. enter the new market which is Vietnam in ASEAN(ASEAN FTA 2012). Uniqlo Co., Ltd. is a Japanese casual wear retail company. It not only retails casual clothing but also design and manufacture their own product. Around the world there is over 1,400 Uniqlo retail store (Fast Retailing 2014). Uniqlo set up the design studio in New York and joint venture with South Korea's Lotte Shopping Co., Ltd. to expand the business , these kind of international expanding business action has been undergoing since 2004 (Fast Retailing 2010). From 2011 to 2012, Uniqlo keeps to expand the business and involve more international activities. In recent years, Uniqlo entered the East South Asia market such as Thailand, Philippines and Malaysia(Fast Retailing 2013). This is the trend of Uniqlo expands the business to East South Asia countries. Base on Porter's Generic Strategies there is four strategies segment they are differentiation, overall cost leadership, focused differentiation and focused cost leadership (Porter 1980). Uniqlo invested a lot of factories in different developing countries. Uniqlo is finding the low cost production process in those countries and their products are targeted to broad segment. levitt claimed that when business enters to other market with no change on the product or service it is standardization, adaptation is there have change to adapt the local market needs (Levitt 1983). Uniqlo business is mixed with standardization...
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...MIDDLESEX DUBAI | Luxury Fashion Industry | ALE 3 Alternative Assessment | | Shaista Rehman – M00223578Said Hayat – M00290099Jad Aoun – M00282219 | April 3, 2011 | A report for MBA4641 – Dr. Cedwyn Fernandes Word Count: 3629 | CONTENTS INTRODUCTION 3 PESTEL ANALYSIS AND THE MAIN CHARACTERISTICS OF THE LUXURY FASHION 4 MARKET SEGMENTATION 8 Haute Couture- Luxury Brand 9 High Fashion - High Cost 10 Exclusive Expensive Haute Couture Fabrics 10 Ready-to-Wear (RTM) - Designer Brands: 11 Diffusion / Designer and Premium Brands 11 Upper Bridge / Premium Brands 11 Mass / Retailers: 12 Segment Analysis: Haute Couture & Ready-to-Wear 12 Buyer’s Power - Moderately Weak 13 Supplier’s Power - Weak 13 New Entrants - Moderately Weak 14 Competition from Substitutes - Weak 14 Rivalry Between Establish Brands - Moderately Strong 15 Conclusion 15 References 17 INTRODUCTION The luxury fashion industry is a global multi-billion dollar business, and employs large numbers of people with different talents and skills to bring luxury style apparel to the customers. The global luxury fashion sector is estimated to be worth US$130 billion and the sector is one of the few industrial segments that have remained a constant world economy contributor with an annual growth rate of approximately 20 per cent (Okonkwo, 2007). Although the fashion industry developed first in Europe and America, today it is an international and highly globalized industry...
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...BUSINESS ENVIRONEMENT Course Work: PESTLE ANALYSIS "Vesan" Ltd. was established in 1999[1] with scope of business activity "internal and foreign trade, agency and marketing deals with intellectual property and real estate re barter and other specific foreign operations, transportation, forwarding, warehousing, commission and advertising business, commercial representation and intermediation of Bulgarian and foreign natural and legal persons performing any services in marketing and information services, and any other activity that is not prohibited by law." The company is registered in the Commercial Register to Register Agency with unique identification number: 831714531 (Bulgaria, 2012). The Vesan’s headquarter and management address is located in Sofia, 127 "Maria Louisa" blvd.[2] (Vesan, 2012) The company has specialized in the supply of heating fuel for homes, offices and factories, but also in the supply of automotive fuel. To perform high quality work, the company has six tank cars with a capacity of 6,000 to 13,000 RT with which makes the delivery of fuel even in inaccessible places. Furthermore, in the territory of Kazichene office there is a gas station that serves the tank company and external customers as well. The mission of "Vesan" Ltd. is associated with satisfying the needs of consumers, by delivering fuels at the right place at the right time. Commercial organization contributes to the evolution...
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...TABLE OF CONTENTS 1.0 EXECUTIVE SUMMARY3 2.0 INTRODUCTION3 2.1 Background to Organization3 3.0 ANALYSIS3 3.1 Porters 5 Forces (Model of Competition)3 3.2 PESTEL (External Analysis)5 3.3 SWOT6 4.0 KEY FINDINGS OF ANALYSIS/PROBLEM IDENTIFICATION/ KEY STRATEGIC CONCERNS6 4.1 Vertical Integration6 4.2 Diversification7 5.0 POSSIBLE SOLUTIONS & STRATEGIES.8 7.0 CONCLUSION9 8.0 APPENDICES11 Appendix 1: Porters 5 Forces11 Appendix 3: Luxury Goods Group & Brands Top Ten Competitors13 Appendix 4: Industry Map*.14 Appendix 5: Financial Performance14 Appendix 6: PESTLE Analysis15 Appendix 7: SWOT Analysis16 Appendix 8: Evaluating industry Attractiveness and Competitive strength19 Appendix 9: A Nine Cell Industry Attractiveness-Competitive Matrix20 Appendix 10: Cross Business Strategic Fits20 Appendix 11: Evaluating the Strategy of a Diversified Company21 Appendix 12: LVMH's Timeline of Mergers and Acquisitions24 9.0 REFERENCES25 1.0 Executive Summary The aim of this paper is to discuss the key strategic issues that LVMH face and establish some future recommendations that can be implemented in order for LVMH to remain successful in the luxury industry. In order to determine the key strategic issues a number of analysis tools were applied to the case study; they include Porter's 5 forces model, SWOT analysis and PESTEL. It was found that the key strategic issues that LVMH face centred on diversification and vertical integration. A number of strategies have been proposed to offer some...
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...Economy Academic year 2012/2013 ASSIGNMENT OF DIPLOMA THESIS For: Mladenović Dušan Field: Business Management Title: Marketing plan Principles of t h e s i s w r i t i n g: Objective of the thesis: The main objectives of the thesis are to analyse present market situation of the chosen company concerning its marketing management problem, to analyse the market and to develop marketing plan according the results of analyses. Approach and methods used: 1. Literature search on all relevant topics (marketing strategy, marketing plan, market analyses etc.), 2. current situation and market analyses, 3. proposals of marketing plan. Methods: All relevant methods of market and marketing analysis and market research, e.g. SWOT analysis, survey, interview. Page 11 of 117 Faculty of Economics and Administration | Masaryk University Marketing plan | Yugomar d.o.o. The extent of graphical works: according to the supervisor's guidelines the assumption is about 10 charts and graphs The thesis length...
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