Analysis of Fashion Industry and Retail Trends

This assignment provides a comprehensive analysis of the fashion industry and retail trends. It includes various sources such as academic papers, research articles, and online news articles that discuss topics like sustainability, efficient use of resources, and omnichannel experiences in retail. The assignment also touches upon the impact of technology on the fashion industry, including the use of CMIP5 GCMs for climate change impact assessment and the adoption of digital platforms by major fashion brands such as Zara and H&M. Overall, this assignment offers a detailed understanding of the current trends and practices in the retail and fashion industries.

Project Report

EXECUTIVE SUMMARY
This study has concluded that, Integration of advanced technology into the retail industry
helps in reaching large number of market. It willfocus on using sensory technology by 2020 thta
will help in aggregating the data and offer services on a real time basis. y the year 2020-2025,
retail industry focuses on going fully digital and internet of things is a workhouse for stores. By
the year 2020, retail industry will focus on giving one of the best shopping experience in the
most cost efficient and eco-friendly manner. It will lead to effective cloud services, better
economy growth, global citizen, transparency, cultural explosion, etc. This study has also
highhlighted that, Zara focuses on online and offline delivery of goods and services which to
reach large number of customers across the world. Its key objective is to integrate both online
and offline business which leads to long term sustainability growth and higher competitive
advantage for the company. This makes shopping more convenient and easy.
This study further highlights, the future innovation capabilities for the organization. Zara
is to sell goods online to the customers across the world by around 2020 through their personal
website. Zara focuses on sustainable growth of the business, focus on various ethical practices
and corporate social responsibility. Zara also focuses on its core objective of reduction in
wastage to landfill by the year 2020 for sustainable and ethical business. Zara will focus on
streamlining their supply chain.
Furthermore, it has been concluded that, Zara main objective is to shift towards online
shopping where they mainly focuses on a specific equation of brick and motor, online and social
media network. Omni- channel is an effective strategy which will help in cross channel
capabilities. They focus on verbal communication. Augmented technology helps in providing
real work experience to the customers. By the year 2020, it will adapt to virtual reality
information technology to help customer try new products on them virtually which gives them
higher customer experience. Speedy visualization of the supply chain helps in future growth and
success of the business.

Table of Contents
EXECUTIVE SUMMARY.............................................................................................................2
INTRODUCTION...........................................................................................................................4
Purpose of the report and structure.........................................................................................4
MAIN BODY...................................................................................................................................4
The future of the industry 2020 and beyond..........................................................................4
The Organizations innovation requirement 2020 and beyond...............................................5
Building the future innovation capabilities for the organization............................................7
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................12

INTRODUCTION
An innovative company is an organization which focus on creating new ideas and
building value for the organization for higher customer base and profitability for the business.
An innovative company leads to higher competition, increase barriers to entry by effectively
fulfilling the future and present needs of the customer (Yoo and et.al., 2015).
Zara is one of the leading retail based company which mainly deals in clothing, shoes and
accessories. Zara was founded in the year 1975 by Amanico Ortega and Rosalia Mera. Zara is
one of the largest retail apparel company and operates its function all across the globe. Zara has
wide range of collection for men, women and children with wide range of varieties which
eventually leads to future growth and development.
Purpose of the report and structure
This study will highlight, future of the industry 2020 and beyond which will help in
effectively analysing the future trends and strategies of the industry for long term sustainable
growth and development of the business. This study will also include organizations innovation
requirement 2020 and beyond for higher operational efficiency, productivity and profitability for
the business. This study will also sought to determine the future innovation capabilities for the
organization to achieve long term goals and objectives.
MAIN BODY
The future of the industry 2020 and beyond
Retail industry is one of the largest industry where goods and services are sold to the
customers using various channels which leads to higher profit margins for the company. Retail
goods can be distributed to the end customers through stores, mail, kiosk and internet. Retail
industry is growing at a faster pace by integrating new and advanced technology which leads to
higher operational growth for the business (Violanti and et.al., 2018). Integration of advanced
technology helps in reaching large number of markets by effectively selling through online
websites, bricks and motors. Retail industry will focus on online transaction which is more safe
and convenient. Use of sensory technology by 2020 will help in aggregating data and offer
services on a real time basis (Hassani and et.al.,2016). Retail industry will focus on integration of
advanced technology like robotics, social media platforms, artificial intelligence, virtual reality,
automated technology, chatbots, etc. It helps retail industry to be more cost efficient and

sustainable growth of the industry. By the year 2020-2025, retail industry focuses on going fully
digital and internet of things is a workhouse for stores (Stopford, 2017).
By the year 2020, retail industry will focus on giving one of the best shopping
experience in the most cost efficient and eco-friendly manner. It helps in better consumer
connectivity by the year 2020. Retail industry will also focus on enabling shoppers to effectively
customizer and build the products (Berberyan and Jastram, 2018). Retail industry focuses on
recycling and reusing products to effectively protect the resources of the environment. It focuses
on conducting various ethical practices for the welfare of the society. The retail industry will
focus more on digital interactions and use of effective technology in the stores for higher
operational efficiency, performance, productivity and profitability for the retail industry (Wang,
2018). Adaption of store to warehouse trend will help in strong supply chain and also leads to
fast delivery of the goods across the globe.
Retail industry will focus on omni-channel path for further growth and development of
the business (Chu, 2016). This will help ion increasing brand image and also leads to higher
profitability. Retail industry will focus on effectively anticipating the current and future trends of
the customers and market demand which leads to higher operational efficiency and attainment of
goals and objectives (The Vision Of Retail 2020: On-Track Or Off-The-Tracks?, 2019). There is
a large number of consumer trends which affect the efficiency of the business. Retail industry
will focus on omni- channel payments, customized shopping experience. It will lead to effective
cloud services, better economy growth, global citizen, transparency, cultural explosion, etc.
Retail industry will rely on robots to effectively automate the work, so that individuals can focus
on on productive task (Hassani and et.al.,2016). Shift in online business attracts large number of
customers. Integration of chatbots into the organization will help in image based shopping
through various social media platforms. It helps in effective customer service on a real time
basis. Integration of advanced technology in retail industry helps in smooth functioning of the
business.
The Organizations innovation requirement 2020 and beyond
1.) Suggest: Zara is one of the largest leading retail industry and it operates its business all
across the globe which leads to higher operational efficiency, performance and productivity of
the business (Berberyan and Jastram, 2018). Zara focuses on online and offline delivery of goods
and services which to reach large number of customers across the world. Zara main objective is

to slow down their growth in physical business and mainly focus on delivering and selling goods
online around the world. This leads to higher expansion and growth for the Zara (Lund and
Tyson, 2018).
2.) Reason: Its key objective is to integrate both online and offline business which leads to long
term sustainability growth and higher competitive advantage for the company. Zara focuses on
giving integrated shopping experience to the customers which eventually leads to higher
customer satisfaction and profitability for the business. Zara focuses on developing online
websites and applications for mobile and tablets. This makes shopping more convenient and easy
(Chu, 2016). Zara aims at developing technological shop for the future to transform the shopping
experience of the customers (Zara, ASOS and other fashion giants pledge to a circular fashion
future, 2018). Zara focuses on virtual styling tool which will helps customers to effectively use
RFID technology to select the right size and filter options for the client. Another major strategy
for the Zara is that it focuses on saving energy and reducing emission of harmful substances into
the environment. It will focus on eco- efficient stores and mainly focus on reducing the adverse
environmental impacts (Yoo and et.al., 2015).
3.) Impact of change:
 Research and development: It has been evaluated that Zara will focus on effective
research and development activity to effectively analyse the market in an effective and
efficient manner. An effective research and development activity will help in critically
analysing the market. It has been determined that Zara will focus on using advanced
technology like robotics, automated technology, artificial intelligence, cloud computing,
virtual reality, chatbots, social media platforms, etc.
 Required skills: Employees of the organization must have desired skills to maintain
collaborative and inter personal relationship with the customers from across the globe.
Employees must have effective marketing skills, sale, customer service, adaptability,
flexibility, accountability, responsibility, time management, optimum utilization of
resources, determination, creative, innovative, strategic decision making, complete
knowledge about the market and the customers, etc. (Hassani and et.al.,2016).
 Technical skills required: Employees of the Zara must have effective technical skills like
problem solving skills, communication, networking, delegation, data analysis, content

marketing, marketing automation, email marketing, data collection, financial
management to use advanced technology appropriately.
 Legal aspects: Zara must comply with all legal norms , standards, intellectual property
right, employment law, safety and protection, consumer protection law and various other
legal standards and legislation imposed by the government for long term sustainability
growth and development of the business.
 Cost of change: Zara will focus on shifting to online retail business which is more cost
convenient and helps in reaching large number of customer without any physical
presence of store (Moorkens, E and et.al., 2017).
4.) Feasibility: Online business is more convenient and easy for the customers which leads to
long term sustainable growth and development of the Zara (Easton and et.al., 2018).
5.) Approval process: Prior approval from stakeholders of the company, directors, owners is to
be needed for smooth flow of the plan in the efficient manner. Approval from various legislative
bodies to operate in a smooth manner.
6.) Apply the change: Zara will effectively establish the plan and take necessary action and make
strategic decision to establish online business to reach large number of customers. In case of any
deviation in the process Zara will take necessary action to establish the market.
7.) Review the impact of change: Implementation of online business and this innovative strategy
will help Zara in future growth and development (Godman and et.al., 2019). Online business will
help in reaching large number of customers which eventually leads to higher sales and profit
margins for Zara.
Building the future innovation capabilities for the organization
The key goal of the Zara is to sell goods online to the customers across the world by
around 2020 through their personal website (Easton and et.al., 2018). It will focus on delivering
goods to the customers online if Zara does not have any store in the particular market. Zara
wants to cover large segment of the market to reach large number of customers across the globe
which leads to higher customer base, market share and profitability for the Zara. It has physical
stores in around 202 countries and operates online in over 106 markets which leads to long term
sustainable growth and development of the Zara business (Stopford, 2017). It wants to focus on

global footprint as it will lead to higher competition and expansion of the business by the year
2020. It helps in increasing sales which leads to higher revenue for the company (Zara to sell
worldwide online by 2020, 2018). Zara in further growth of the business. Increase in web sales
leads higher profit margins for the company. Zara focuses on being available online across the
world by 2020 ( Eymen and Köylü, 2018).
Zara focuses on sustainable growth of the business, focus on various ethical practices and
corporate social responsibility which leads to higher growth of the business and helps in
effectively reducing the the wastage of the company. Optimum utilization of the resources helps
in development and leads to higher operational standards. It focuses on going green by the year
2020 by effectively recycling, reproducing and reusing the material and effectively utilizing the
resources which leads to higher growth of the company by 2020 in the most cost efficient
manner. Zara aims to work in sustainable business environment and also focuses on effectively
complying with ethical and social practices by complying with ethical business practices and
leads to higher economic stability (H&M AND ZARA, THE ‘SUSTAINABLE’ FASHION
BRANDS KILLING THE ENVIRONMENT, 2018). They focus on taking necessary measures to
benefit the society which eventually leads to economic growth and also benefit the society and
environment (Godman and et.al., 2019). Zara is one of the leading retail industry and focuses on
reducing environmental impacts by using environmental friends products and services. Zara
focuses on using recycled wool and organic cotton. Zara focuses on ethical and sustainable
clothing collection and it has enormous potential to reduce various hazardous environmental
impacts by the year 2020. Zara focuses on using efficient life cycle by effectively reducing
textile landfill waste. They focuses on reusing the unused textile for optimum utilization of the
resources (Moorkens, E and et.al., 2017).
Zara focuses on committing to zero discharge of chemical substance and hazardous
activities in the supply chain. Zara also focuses on its core objective of reduction in wastage to
landfill by the year 2020 for sustainable and ethical business. It also focuses on meeting the
necessary standards of the eco-friendly and eco- efficient store. Zara focuses on producing and
manufacturing sustainable products by effectively using sustainable fibres and integrating to nest
production techniques and strategies which eventually leads to lower environmental impacts
(RECYCLING AND EFFICIENT USE OF RESOURCES, 2019). Zara another strategic goal for
the year 2020 is to reduce emission and focus on green environment by effectively promoting

low carbon emission in the economy. Zara will focus on streamlining their supply chain. It will
focus on increasing customer demand and current trends for higher growth prospective and
development of the company ( Eymen and Köylü, 2018).
Zara main objective is to shift towards online shopping where they mainly focuses on a
specific equation of brick and motor, online and social media network (Violanti and et.al.,
2018). Zara will also focus on omni- channel network for higher expansion and growth in the
future (Where Retailers Are Placing Their Omnichannel Bets In 2019, 2018). Omni- channel is
an effective strategy which will help in cross channel capabilities, effective customer service
channel, multiple fulfilment options and robust mobile application with specific features and
filters leads to higher future growth and expansion of the business. It will help in seamless
channel integration which leads to higher consistency in digital channel and physical stores. Zara
focuses on providing effective discount offers which leads to higher operational standards and
attracts large number of customers from around the globe (Stopford, 2017). This leads to higher
sales, revenue and profitability for Zara retail company. Development of effective mobile
application with wide range of products enhance the shopping experience of the customers with
effective filters, sorting features and robust experience. Zara will give faster delivery options to
the customers (Ghodsi and et.al.,2016). They will build effective supply chain from across the
globe. Zara will focus on new customer delivery platforms through call centres, email, social
media, etc. Integration of new advanced technology like robotics, automated technology,
artificial intelligence, virtual reality, chatbots, social media platforms, etc. make work easier
which leads to higher sustainable growth and development of the business (Lund and Tyson,
2018). The major challenge faced by the Zara is increase in large number of rivalry competitors,
change in customer preference, trends and demand, obsolete technology and integration of large
number of advanced technology into the business.
Zara must focus on streamlining the supply chain of the company for optimum
manufacturing process. Prototyping the supply chain plan helps in future growth and
development of the Zara (Lehmacher, 2017). Integration of online sales with brick and motor
network helps in effectively delivering the goods to the end customers in the most cost and time
efficient manner. Zara must focus on spreading the brand image through verbal communication
(Zara looks to technology to keep up with faster fashion, 2018). They also focus on effective
innovative manufacturing technique which leads to more competitive position in the market.

Integration of robotic technology helps Zara in reducing the work stress and focus on more
productive task to achieve higher goals and objectives of the company. Increase use of
information technology will help Zara in higher productivity of the work (Yoo and et.al., 2015).
Zara focus on minimal marketing and advertisement of the products. They focus on verbal
communication and helps in creating goodwill for the company. Reduced marketing and sales
helps in achieving higher profit by achieving economies of scale.
Another innovative strategy for Zara is to keep flat structure in the organization which
leads top fast decision making and helps in resolving the issue as quickly as possible (Moorkens,
E and et.al., 2017). Zara focuses on augmented technology for higher customer experience and
satisfaction. Augmented technology helps in providing real work experience to the customers
(Ghodsi and et.al.,2016). By the year 2020, it will adapt to virtual reality information technology
to help customer try new products on them virtually which gives them higher customer
experience. It helps in interacting with the 3D world and helps customers in trying various
different products and take necessary decision accordingly (Lehmacher, 2017). This innovative
information technology like internet of things, digital technology helps in saving cost and time. It
also helps in reaching global market at a faster pace. It leads to higher market share for the Zara.
Adaption of effective information technology into the organization helps in reaching large
customers and higher growth and expansion of the business. Speedy visualization of the supply
chain helps in future growth and success of the business (Violanti and et.al., 2018).
CONCLUSION
From the above study it has been summarized that, retail industry is one of the biggest
industry in the world who provide large number of products and services across the globe.
innovative company leads to higher competition, increase barriers to entry by effectively
fulfilling the future and present needs of the customer. This study concludes about the future
growth of the retail industry by 2020. it as been concluded that, retail industry is growing at a
faster pace by integrating new and advanced technology like like robotics, cloud commuting,
augmented technology, social media platforms, artificial intelligence, virtual reality, automated
technology, chatbots, etc. Retail industry focuses on recycling and reusing products to
effectively protect the resources of the environment (Wang, 2018).
This study has examined that, Retail industry will focus on omni- channel network for
future growth of the business and reach large number of customers in efficient manner. This

study will further highlight, organizations innovation requirement 2020 and beyond. This study
has sought to determine the fact that, Zara will focus on on online and offline delivery of goods
and services which to reach large number of customers across the world. Zara aims at developing
various effective software and integrate technology for the future to transform the shopping
experience of the customers (Lund and Tyson, 2018). Online business is an effective strategy
and it helps in reaching large customers. Furthermore this study has built, future innovative
capabilities for the Zara. It has been concluded that, Zara must focus on ethical business practice
by optimally utilizing the resources of the company. Further it also includes that, Zara must
focus on growing green and reducing textile landfill waste. It will also focus on eco-friendly and
eco- efficient store. Furthermore, Zara must opt for Omni- channel network for higher
operational efficiency. Zara must focus on streamlining the supply chain and integrating to
advanced information technology.

REFERENCES
Books and journals
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Ghodsi, M and et.al., 2016. An enhanced version of Cochran-Armitage trend test for genome-
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Godman, B and et.al., 2019. Pricing of oral generic cancer medicines in 25 European countries;
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Hassani, H and et.al.,2016. From nature to maths: Improving forecasting performance in
subspace-based methods using genetics Colonial Theory. Digital Signal Processing. 51.
pp.101-109.
Lehmacher, W., 2017. Global dynamics and key trends. In The Global Supply Chain. (pp. 67-
112). Springer, Cham.
Lund, S. and Tyson, L., 2018. Globalization Is Not in Retreat: Digital Technology and the
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Moorkens, E and et.al., 2017. Policies for biosimilar uptake in Europe: an overview. PloS
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Stewart, D and et.al., 2017. Guidance to manage inappropriate polypharmacy in older people:
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Stopford, M., 2017. The Future of Shipping. acceso vía Intenet: http://www. clarksons.
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Violanti, J. M and et.al.,2018. Effort–reward imbalance in police work: associations with the
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Wang, Y., 2018, July. An Exploratory Study of Brand Strategy in Fast Fashion Brand--Using
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Yoo, S. H and et.al., 2015. Trend analysis of projected climate data based on CMIP5 GCMs for
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Online
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