Zara Fashion Management

Running head: ZARA FASHION MANAGEMENT
Zara Fashion Management
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ZARA FASHION MANAGEMENT
Zara is a Spain based fashion brand which was established in 1975 in Galicia. Zara is a notable
fashion brand that produces a huge number of styles per year, which are quite versatile in nature.
They have products for all age groups in the society. A middle aged woman will find Zara
appealing due to its cost effectiveness while, on the other hand, a teenage girl will buy Zara due
to its incorporation of attractive, fashionable and contemporary fashion styles in various
designs and outfits. Although Zara is a Spain based company, it has its retail stores in different
countries of the world such as Morocco, India, countries of Far East Asia. Roughly it can be said
that, Zara has over 7000 retail store in almost 50 countries in the world. In 2017, almost 12589
people were employed in Zara Fashion on a worldwide scale (Dutta, 2002).
The primary 6Ps of the retail mix are pricing, location, store layout, communication mix,
customer service and merchandise assortment. Pricing is one of the most important factors in
retail mix and it is decided by the retailer as per the affordability of the customer. Location
includes deciding an appropriate place of the company’s store so that customer can enjoy
enhanced and convenient accessibility of the products. Store layout is the physical appearance of
the retail store that includes ambience, lighting, access to the products. Communication mix
include the promotional factors that are used by the retailers for promoting their products through
various techniques such as direct marketing, leaflets. Customer service includes those people
who are involved in providing the products to the customers of the company. Lastly, the
merchandise assortment comprise of the products of the customers’ needs and retailer should
concentrate on the needs of the customers ( Dutta, 2003).
As a part of the marketing mix, Zara strives to adapt to the changing requirements of the
customers and as a part of this, Zara focuses mainly on shorter response time and they ensure
that their stores will carry only those products that are demanded by the customer at that time. In

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ZARA FASHION MANAGEMENT
order to compete in intra market competitions with the other notable fashion companies, they try
to identify the latest trend of the market and according to that they identify their products to sell
in the market. As an advantage Zara, it has been noted that other companies take a long time that
is 4-12 months to identify the market needs. In addition, Zara appoints a large a design team who
are involved in research processes throughout the year. Another important strategy of Zara,
which proves to be advantageous to Zara is the reduction in the quantity of production. As a
result, the company is successful in creating an artificial scarcity of the product in the market
(Dutta, 2003). As with the less availability of a particular product, the product will be more
desirable in the market. In addition, Zara also produces more number of styles instead of the
quantity, whereas the competitors of the company mainly focus on the quantities. By such
strategies, Zara competes successfully in retail intra market competitions.
Zara Fashion is successfully expanding its clientele and popularity in a worldwide manner. This
fact can be supported by several marketing data such as market revenue, new store launches in
the world, increase in the gross profit from the market. From a report it was noted that, Zara has
enhanced their business in UK in a great manner. In UK, almost 51 million euro was gained by
Zara Fashion at the end of January 2018 and that was 30% higher than that of the company’s
previous year revenue from that country. The overall sales was hiked by 17% in that same period
of time(Jahshan, 2019). Zara had opened new 106 stores as a part of their business growth in
different part of this world. In addition, now Zara’s men, women and kids’ collections are
available in almost 202 markets around the world. Zara’s new website has got success in
different countries of Africa as well. The revenue from the Asian market is not so far behind.
From the Asian market , the amount revenue generated was almost 1.3 billion euros that is higher
than that of the previous year (Profits, 2019). Moreover, Zara had earned its position in the list of