Business Report: Inditex's Decision-Making in Today's Environment

This report examines Inditex's decision-making processes, specifically focusing on their social media strategies and their impact on business outcomes. The report begins with an introduction that outlines the company's objectives, followed by an overview of Inditex's organizational structure and global presence. It then delves into the company's social media presence across various platforms, highlighting the tools and techniques used to gather insights for informed decision-making. A comparison between relevant theories, such as the word-of-mouth influence model, and Inditex's findings is presented, along with an analysis of how social media promotions impact brand perception. The report concludes with recommendations, suggesting the implementation of phygital experiences and online campaigns to enhance customer engagement and brand awareness, based on the annual reports and other secondary data. The report follows a standard business report format, including an executive summary, introduction, organizational findings, comparison with relevant theories, and conclusions with recommendations.

Decision making in today’s business environment: INDITEX
1. Introduction
The objective that Inditex wants to achieve through its social media policies and
implementation of social media strategies is ‘to increase its footfall in stores along with the
global footprint and market share in the apparel industry’. The information has been
included based on secondary resources and company website.
2. Organisational findings
Inditex company has more than 7000 stores across the globe. It is surprising to note that the
social media team of the company has been successful to increase the social media traffic by
2.42 billion in 2017 and has created global community of 121 million social media followers.
The company has received over 20 million queries via social media and online marketing
portal post customer visits on social media pages of the brand.
Presence and social media drivers: The company has its presence on WeChat,
Facebook, Instagram, Twitter, YouTube, Pinterest, Wettao and Weibo.
Inditex’s Decision making process through Social media: As company is present
on multiple social media websites, it leverages various tools such as Sprout Social,
Awario, TapInfluence, BuzzSumo, Snaplytics, brandwatch analytics, fanpage
karma, keyhole and Google Analytics to derive meaningful insights for informed
decision making (Barnhart, 2019). The inputs from these analyses are converted into
social media dashboards for the leadership team, to assist them with decision
making on future strategies (for example, what type of apparels need to be marketed
more, what price do customers generally prefer, etc) (smith, 2019).
The given graph and table demonstrate its presence on social media platform
(static.inditex.com, 2018).

3. Comparison between relevant theories and the findings from Inditex organisation
The company is growing immensely on social media platform. The word of mouth influence
and the social media advertising model has been followed by the team in the most effective
manner. The model is based on series of consumer beliefs and motivational constructs which
affects the consumer attitudes and their underlying behavioural intentions. Here, the social
media promotions and posts attract more customers and thereby positively impacts Inditex
brand perception (Ahmed & Raziq, 2018). Inditex has strong brand image in consumer mind
and has been successful in having 2 million followers. Furthermore, the continuous updates
on respective pages gives them privilege to showcase latest designs in ethnic and casuals’
apparels.
4. Conclusions and Recommendations
As observed from annual reports, Inditex is doing well on social media front. However, it is
recommended to have a phygital (blend of physical and digital) experience for the
customers powered by augmented reality and virtual tours at the store. The customers can
be given a virtual experience through AR/VR glasses by displaying latest apparel collection.
This helps to enhance the brand image in the market. Online campaigning and design
competitions like ‘Retailthon’ and ‘Ideathon’ on social media would help to create a larger
customer base (increase customer visits and brand awareness) in the fashion retail industry.

5. List of References
Ahmed, Q. M. & Raziq, M. M., 2018. The Social Media Advertising Model (SMAM): A
Theoretical Framework. Journal of managerial science, 11(3).
Barnhart, B., 2019. 10 of the best social media analytics tools for brands. [Online]
Available at: https://sproutsocial.com/insights/social-media-analytics-tools/#
[Accessed 25 September 2019].
smith, K., 2019. The Best Free and Paid Social Media Analytics Tools. [Online]
Available at: https://www.brandwatch.com/blog/social-media-analytics-tools/
[Accessed 25 September 2019].
static.inditex.com, 2018. Annual report. [Online]
Available at: https://static.inditex.com/annual_report_2017/assets/pdf/memoria_en.pdf
[Accessed 20 September 2019].