Strategic Entrepreneurship: Exploring Zara Through Journal Entries

This assignment delves into the realm of strategic entrepreneurship through a personal journal and a case study of Zara. The student begins by reflecting on their own entrepreneurial tendencies, skills, and experiences, drawing insights from a self-assessment survey. The core of the assignment involves an in-depth analysis of Zara, exploring the company's business model canvas, conducting a SWOT analysis, and examining the application of the Blue Ocean Strategy. The student also reflects on personal insights gained from a DISC chart analysis and how their personality traits align with the requirements of an entrepreneurial environment. The assignment showcases an understanding of key business concepts and their practical application in the context of a global fashion brand.

Running Head: STRATEGIC ENTREPRENEURSHIP
STRATEGIC ENTREPRENEURSHIP
NAME OF THE STUDENT
NAME OF THE UNIVERSITY
AUTHOR’S NOTE

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Table of Contents
FIRST PERSONAL JOURNAL ENTRY SET..................................................................................................2
1. You.................................................................................................................................................2
2. Your Skills & Experience................................................................................................................2
SECOND PERSONAL JOURNAL ENTRY SET.............................................................................................3
1. Your Poster Entrepreneur..............................................................................................................3
2. Reasons.........................................................................................................................................4
THIRD PERSONAL JOURNAL ENTRY SET.................................................................................................4
FOURTH PERSONAL JOURNAL ENTRY SET 1. Poster Company’s Business Model Canvas..................5
2. SWOT of Company’s BMC..............................................................................................................7
3. Blue Ocean Strategy......................................................................................................................7
FIFTH PERSONAL JOURNAL ENTRY SET..................................................................................................8
Personal insights gained through the DISC chart...............................................................................8
2. Changes occurred since Session 1...............................................................................................10
REFERENCES........................................................................................................................................11
APPENDIX............................................................................................................................................13

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FIRST PERSONAL JOURNAL ENTRY SET
1. You
(A)Based on the survey that I have taken, the creative tendency (10) and the locus of
control are the highest scoring area which is followed by the need for achievement (9) and the
calculated risk-taking abilities (9). The need for autonomy (3) is the lowest scoring area. The
locus of control reveal that I personally don’t leave anything to destiny and prefer achieving
things on my own merit and hard work. The efficiency and hard work which are my biggest
strength puts me in the ability to perform to the best of my potential and abilities. There is in
me a certain aspect of tendency to outperform my competitors and peer groups. Also, I am
driven by the hunger to achieve the best results possible for the experience and knowledge
which I possess.
(B)Based on the result, it is evident that need for autonomy (3) is the lowest among all
the factors. The result indicates that there needs to be some progress made in this area. The
ability to not depend on others and depend on myself has led me to always keep wanting the
need for autonomy. This aspect of my personality needs thorough investigation and
understanding to improve my performance in this aspect. The ability to make decisions on
my won has been an aspect which has constantly bothered me throughout my life. I base my
decisions on the instincts which I have. Sometimes these instincts enable me to take correct
decisions and sometimes I land up taking wrong decisions. I need to be more aware and
informed in terms of my decision taking abilities in the future (refer to Appendix 1).
2. Your Skills & Experience
The skill sets which are needed for joining any organization are dedication,
commitment, hard work and efficiency. I feel that along with these skills, I also
possess some other intrinsic skills and abilities which I can utilize if I get a chance to

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prove myself in the organization. Skills such as the ability to outperform myself and
the ability to deliver the results within the stipulated timeframe. I also can keep
myself organized, besides having the relevant academic and technical expertise to do
the task. These talents and abilities will allow me to perform to the best of my
potential in the organization.
SECOND PERSONAL JOURNAL ENTRY SET
1. Your Poster Entrepreneur
The chosen enterprise for the assignment is Zara. The Zara company was established
due to the innovation and hard work of Amancio Ortega who developed the structure and
framework for establishing an apparel and clothing factory which can provide the best
apparel to the people. The essence of this company is that it is a global brand and has its
presence in the global world. The company emphasizes on innovation and bringing out the
best products. The marketing strategy of Zara is that they have a policy of zero advertising
which enables them to invest no money for advertising and on the other hand use that money
for the other aspects such as designing and sophistication of their products (Girotra&
Netessine, 2014). The Zara company, despite not advertising has wondrously been able to
register remarkable sales and revenue generation in the global scenario. It is a wonder that the
company which was started with the intent of supplying low cost replicas of high cost apparel
wear has today become a global name to reckon with. The company hires renowned
designers to design for their company and the clothing as soon as they are launched in the
market, are then dispatched to the international markets. Where the other competitors are
taking months to supply the clothing, Zara does that in a matter of weeks. This is where Zara
stands apart from the other companies producing garments and clothing.

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2. Reasons
The reason for choosing Zara clothing company is because the company lays
emphasis on the aspect of providing innovating and excellent apparel wear to the common
public. These apparels are designed by the renowned designers and the efforts and abilities of
the designers allow the company to earn huge profits and revenues in the long run.
THIRD PERSONAL JOURNAL ENTRY SET
The reason behind choosing the Zara Company is because this company emphasizes
on the key aspects of innovation and customer satisfaction. The Zara Company monitors the
cutomer’s preferences and requirements and incorporates those changes in its designing and
manufacturing of new clothes and garments. The Zara apparel company has many other
subsidiary agencies running under it. One such agency is the Zara Home. The most inspiring
aspect of the organization is that the organization manages its businesses in the global stage
and manages to be one of the most renowned brands in the world. This objective is achieved
even after the company invests absolutely nothing in the advertising arena (García-Álvarez,
2015). There are very examples where the company can become a global brand without
investing anything in the advertising front. Zara is able to do that, and it shows the amount of
hard work and research which is put into their manufacturing and production team
(Mayrhofer& Roederer, 2016). The company is highly trusted and respected by the
international community and possessing the Zara garments is held highly in terms of style
and status in the world. The essence of doing business entails that the company also keeps
innovating to keep its business running in the market (Brichová, 2015). These are some of
the reason why Zara Company appeals to me the most.

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FOURTH PERSONAL JOURNAL ENTRY SET
1. Poster Company’s Business Model Canvas
The company in set 3 is Zara and the Business Model Canvas provides nine building
blocks to analyze the working style of the company in the international markets These nine
building blocks are -
The key partners- the key partners of Zara Company are Inditex and the Zara brand also has
ownership of other brands such as Massimo Dutti, Pull&Bear, Bershka, Stradivarius, Oysho,
Zara Home and Uterque (Radović-Marković& Vujičić, 2014).
The key activities- The key activities of the company are the production of the clothing and
apparel wear distribution. The company excels in the marketing of branded designer wear and
emphasizes on distributing the best available products in the market for the common people
to buy (Arciniegas, 2015). The company also distributes ethnic and fashion clothing to the
common people so that they are able to buy designer wear.
Value proposition- Zara is a global brand and provides for the distribution of the best
available products in the markets. The company even goes to the extent of not investing a
single penny for advertisement and despite this aspect, still manages to accelerate its revenues
by the sale of its products and clothing (Lago et al., 2016).
Key resources- Being a global brand, the company has accessibility of a large number of
people from all over the world. The large human resource comprising of designers and
suppliers enable the company to always be sufficient in the aspect of creativity and
innovation.
Customer relationship- The customer relationship can be ascertained from the fact that
despite investing nothing in advertisement, the company still manages to register profits and

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surplus capital. This is mainly because the company has won the trust and support of the
people in the international stage and has become a global brandf (Rao, 2014). People trust the
brand Zara, so it does not have a need to put in advertisements to market itself. Rather it uses
the surplus money to research on designs and set up new stores (Nikezić, 2015).
Customer segments- The Zara company manufactures garments and apparels which caters
to the needs and requirements of both the genders across all the age groups. Teens and the
young adults are the main target groups.
Channels- The storerooms are the main channels for obtaining the Zara products. The Zara
company invests heavily in setting up new stores since it does not invest anything towards
advertisements.
Cost structure- the cost structure is maintained through providing the most lucrative
services, the employees are given a handsome salary. The company practices the policy of
zero advertising (Hirakubo, 2015). Instead, the company invests on the other aspects such as
designing and reducing the supply time of its products.
Revenue Stream- The revenue stream is collected from the sales generated by the selling of
its commodities and products.
The business model pattern which is employed by the Zara company is very well
researched and they have surveyed the market requirements thoroughly due to which they
know the requirements of the common people. The vast resources of designers are efficiently
utilized by the Zara company and the products and garments are immediately dispatched once
they are designed and launched (Rinaldi & Testa, 2017). This process of supplying the newly
launched designer wear takes place in a matter of a few weeks as compared to the months of

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supply time taken by the other companies (Truong,2016). This is one area where Zara
company excels in (refer to Appendix 2).
2. SWOT of Company’s BMC
Strengths- The Zara company manufactures one of the best designer wears in the garment
and apparel industry (Kopacz, 2014). This is because the company possesses the vast
resources of talented designers and dedicated professionals who work day and night for the
company’s progress.
Weakness- The company produces less amount of garments and apparels and instead focuses
on the qualitative aspects of the clothing and garments (Viardot, 2014). This limits the
company from fully realizing its growth potential.
Opportunity- There is immense opportunities in the online commerce industry. The Zara
storerooms are available in the large cities of a lot of countries. If they can invest in the e-
commerce industry then it will turn out to be a very profitable venture for them and they can
expand their customer base in the process (Kim & Lee, 2014).
Threat- At present, the increasing competition posed by the online e-commerce agencies are
the biggest threats to the Zara company (Demiray& Burnaz, 2016).
3. Blue Ocean Strategy
The Blue Ocean strategy is the framework for providing the guidelines in order to
enable the company to restructure itself and to develop the Business model canvas. The Blue
Ocean strategy develops a market without any competitors and intends to expand it.
Therefore, the strategy Zara company can use is to enter the unexplored territory of online e-
commerce industry and if needed, go for a merger with any of the local e-commerce

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agencies. This will enable the Zara company to learn the nuances of the trade faster (Noh et
al., 2017). Given the large customer base in the online e-commerce industry and the Brand
value Zara has, it will turn out to be a highly successful venture for the Zara company.
FIFTH PERSONAL JOURNAL ENTRY SET
Personal insights gained through the DISC chart
Therefore, from the above DISC chart, it can be said that I possess a mixed
personality trait. Some of these traits are very essential for a work environment however
some of them are not. To provide an overview, bring trustful and enthusiastic is important
because being an employee the management would prefer to keep someone who they can
trust and is always enthusiastic for work. The trait of being a peacemaker is also important
because if I avoid conflicts and I am a good negotiator I can be an asset towards the
company. Nowadays a business always looks for someone who is a team player because if I
am accommodating and I can perform a task working alongside the team, the work is done
more effectively and efficiently. Being calm at stressful situation is also important, because I
possess a balanced mind which makes me a cooperative person as well. The personality test
also points out that I am a patient person who is simple and compliant at the same time.
Being a good encourager is an essential trait for someone who would be a team lead or a
manager as people would look up to me. As a good listener people normally shares
important things to me which he or she cannot tell other people and being dependable,
people would approach me when there is no one left to go to. As per the survey, I am
methodical and calculating means I am an observer of even the slightest things, I am
cautious of the matters which are important, and I generally do not overlook things. Along
with that I am decisive and impulsive person means I act on the spot, for a business someone
who methodical and decisive would be very beneficial because that person is given the
opportunity to make major decisions for the business, and it is done on the spot. I also seek

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change which implies that I do not like things to be repetitive, and I normally get the thing
done by the end of the day. The management also prefers people like that. Being a person,
loyal person people would not only open when they need to, but also, I am someone who
would be likable by everyone. It is also mentioned that I am always looking to pursue
education and is always looking to learn more. If a company has an educated employee, he
would not only be preferred by the management but also be one who would be able to rise up
in the organization because of his or her vast knowledge on the subject. I am an adaptive
person as well which means I can adjust to any kind of change within the work environment.
It is important to be adaptive because in any kind of company, changes are inevitable and
therefore it is vital to be adjustable in any kind of situation. For someone who enjoys
attention, I do not generally get bored as I look for new opportunities as well. Being a
creative person, management would prefer me because when there would be a situation
where they company cannot thing of new ideas for their betterment, or if there is a
competitive situation where an initiative must be taken which is new and urgent, the company
would prefer me.
However, as per the survey I possess some negative factors as well. Not being a
courageous person is a problem because an employee should have the strength to face any
upcoming obstacles without any setbacks, there should not be any doubts or setbacks in the
employees mind whenever he or she faces any challenge. I am also not social which is a
severe drawback in for an employee because if a person is an introvert in a very interactive
environment, he or she would normally get detached from the work activities and even other
employees would not prefer to be around that person. Being a person who does not stand up
to opposition is a drawback for an employee which is also one of my traits. This is a problem
because people who avoid conflicts are normally taken advantage of by people and they
would use them according to their needs and forget about them when they are not needed

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anymore. Not being emotional is a setback because if a person is too contained, he or she
cannot share his or her trouble thoughts and later it might lead to depression. According to
the survey, I am not a person who enjoys daring situation and therefore I prefer environment
which are safe and secured. I am least independent, and I do nottake charge of situations
which are needed to be changed forcefully and thing that could have been changed are left as
it is (refer to Appendix 3).
2. Changes occurred since Session 1
After gradually proceeding with the task, I was able to realize that my inherent
abilities to understand and comprehend as well as my knowledge base were expanded and
enhanced. This subject enabled me to be able to critically analyze and grasp the new
entrepreneurial skill which are very much needed to sustain oneself in the entrepreneurial
industry. Initially, the subject was difficult to comprehend since I had no prior experience
whatsoever in this completely new subject area. Gradually, I was able to grasp the nuances of
the subject and was able to thoroughly analyze the facts and concepts related to the subject.
The subject also allowed me the ability to critically reflect on the case studies and the
tutorials. These case studies familiarized me with the actual requirements of the subject. I was
able to fully relate myself as an entrepreneur and what would be required of me if I were an
entrepreneur.

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REFERENCES
Arciniegas, Z. M. A. (2015). Analysis of key competencies in museums. Proposal for a tool to assess
key competencies in museum managers. Culturas, 2(2), 69-94.
Brichová, L. (2015). Stephen Blanchette: What Do Companies “Say” and What They Actually “Do”-
How to Close the Gap Inbetween?. Central European Business Review, 4(1), 74-78.
Demiray, M., & Burnaz, S. (2016). The Impact of Company Facebook Page on Wom Communication
of New Product. In Looking Forward, Looking Back: Drawing on the Past to Shape the
Future of Marketing (pp. 234-243). Springer, Cham.
García-Álvarez, M. T. (2015). Analysis of the effects of ICTs in knowledge management and
innovation: The case of Zara Group. Computers in Human Behavior, 51, 994-1002.
Girotra, K., & Netessine, S. (2014). The risk-driven business model: Four questions that will define
your company. Harvard Business Press.
Hirakubo, N. (2015). Glocalization Challenge: A Small Apparel Company in New York City. Journal
of Case Studies, 33(2), 78-86.
Kim, G., & Lee, S. (2014). Business Strategy of Fast Fashion-A Case Study of Zara. Journal of the
Korean Society of Clothing and Textiles, 38(2), 175-190.
Kopacz, M. E. (2014). The Missing Link to Successful Company Turnarounds. American Bankruptcy
Institute Journal, 33(3), 32.
Lago, A., Martínez-de-Albéniz, V., Moscoso, P., & Vall, A. (2016). The role of quick response in
accelerating sales of fashion goods. In Analytical Modeling Research in Fashion Business
(pp. 51-78). Springer, Singapore.
Mayrhofer, U., & Roederer, C. (2016). Zara: The international success of fast-moving fashion. HAL.