Zara Globalization: Impact on Organizational Strategy and Decision Making

Zara globalization
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Contents
1.0 INTRODUCTION.....................................................................................................................3
2.0 LITEREATURE REVIEW........................................................................................................3
Different types, size and scope of organisations.........................................................................3
Interrelationship of functions of organisations............................................................................4
Impact of internal and external environment on business operations..........................................4
Influence of globalisation on organisational strategy and decision making................................5
3.0 Discussion and Analysis............................................................................................................5
Explain with justification of type, size & scope of chosen organisation.....................................5
Analyse the influence of interrelationship of functions on organisational structure of Zara......6
Internal and external analysis of Zara..........................................................................................6
Evaluate impact of globalisation on decision making and strategy on Zara...............................8
Conclusion & Recommendations....................................................................................................8
References........................................................................................................................................8
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1.0 INTRODUCTION
Globalisation is defined as a process by which an entity and other companies develop
international influence or initiate business at international levels. In addition to this, it is also
termed as a procedure of integration and interaction between companies, people and government
at global level (Beck, 2018). For the present report, Zara is taken into consideration. It is a
multinational fashion retailer and its head office is located at Arteixo. The company was
established in the year 1975 and at present it has around 2,250 stores globally. Zara specialise in
fast fashion product, shoes, bags, accessories, clothing, perfumes and many more. The report will
discuss about size, scope and type of organisation. In addition to this, there is discussion about
interrelation of functional departments and their impact on chosen organisation performance.
Moreover. Internal and external analysis is describe by using different frameworks and their
impact on respective company. At last, influence of globalisation on decision making and
strategy on organisation is discuss in report properly.
2.0 LITEREATURE REVIEW
Different types, size and scope of organisations
According to the view point of Zicheng,(2019), there are mainly three forms of
organisation that is private, public and voluntary organisation. Private organisations are
corporate in order earn higher profits and enhance wealth of owners. For example, Zara is a
multinational Spanish brand that offers fast fashion products such as bags, clothing, sunglasses
and many more. The scope of company is wide as it offer products as well as service in around
13 countries and has around 2200 shops globally (Cao and Chen, 2019). Public organisation are
corporate for development of societies and economy and it is determine that it is owned and
managed by government. Foe example, INTA is a public organisation that main objective is to
improve aerospace technology that consist of huge scope as it improve the condition of country.
Moreover, voluntary organisation is establish for welfare of societies and raise living standard of
people. For instance, DARA is a voluntary organisation that is established in year 2003 in order
to assess the influence of humanitarian that help in modifying practices and policies. The scope
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