Zara Company: Global Marketing, Sales, and Competitor Analysis Report

This report provides a comprehensive analysis of Zara's global marketing and sales management, with a specific focus on the UK and Pakistan markets. The report begins with an introduction to Zara and its global presence, followed by an examination of its international outlook, product selection, and market entry strategies. It then delves into competitor analysis, highlighting key players like H&M, Uniqlo, and Gucci, and evaluates the macro and micro environments of the UK and Pakistan using PESTLE analysis. The report further explores Zara's market strategy, including segmentation and the marketing mix (4Ps). Finally, it offers a conclusion summarizing the key findings and insights, along with a list of references. The report aims to provide a detailed understanding of Zara's success factors and market strategies in the fast-fashion industry.

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GLOBAL MARKETING AND
SALES MANAGEMENT
Name:
Student I.D:
Date:
Zara Company

Table of Contents
Abstract..................................................................................................................................................4
1-Introduction.........................................................................................................................................5
2- International outlook image and the product/category selection………….………….…………….…..5
3-Competitors……………………...………………………………………………………………8
4- Macro environment............................................................................................................................9
PESTLE Analysis of both countries.....................................................................................................11
5- MICROENVIRONMENT..................................................................................................................12
6-Market strategy.................................................................................................................................13
7-Segmentation...................................................................................................................................14
8-Marketing Mix...................................................................................................................................16
9-Conclusion........................................................................................................................................21
References..........................................................................................................................................22
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Abstract
In a modest business world, each business struggles for improved and more substantial
part of the marketplace. Purchaser association stays crucial to influence achievement. A
vital feature of producing then generating company for a customer appointment,
devotion creation advancement. Despite a lot of empirical and theoretical evidences
available on the subject related to the Zara’s success and put some suggestions to
other fashion industry. The purpose of this research was to examine the UK and
Pakistan clothing industry and to evaluate that how Zara’s brand achieves the more
success in the world. Rest of the study will be beneficial for the designers to improve the
clothing industry in UK and Pakistan. This study of this company is a characteristic
demonstrative of fashion brand is an example to examines Zara's advertising policy
through 4P’s philosophy, the details success, hoping to deliver about clarification and
help for the progress of UK and Pakistan fast fashion wear business (Chunling, 2021).
Keywords: Zara brand, Clothing industry, UK fashion industry, Pakistan textile
enterprises, Market Entry strategies, Environmental analysis, 4P’s marketing.
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1. Introduction
Global marketing is fragment of marketing. Marketing denotes to evaluating the market,
verdict out what clients need, and defining whether you can make it at the accurate
price. International marketing was primarily the field of multinational concerns.
Meanwhile the appearance of the Internet and e-commerce, even small businesses can
influence customers across the world (Shultz, et al., 2022).
This firm is single of the creation’s effective style shops functioning in fifty-nine
countries. In 1975, leading of Inditex is a property business located in Kingdom of
Spain (Nobbs, et al., 2019). In a comparatively fleeting period edge Inditex consumes
develop the biosphere’s major dress shop with two thousand supplies feast crosswise
sixty-two nations universal in 2006. Income of this firm was 66% in 2005, recollects
other wear Kids products, Wrench and Tolerate unpremeditated dresses, quality and
traditional style, Barsha innovative, fashionable outfits for new females, and domestic
fabrics.
Dresses of this organization not solitary high style grade, but similarly the capability
toward promotion of 20,000 flairs separately year, thirty types of irritating and varied
creation update capacity each diurnal (Chen, 2021). On the one hand, you can easily
distinguish Spanish neighbors like France, it is closely related to haute fashion and
closely related to close fashion. Which is intended by expert creators, working in a
special market to create bespoke products piece.
2- International outlook image and the product/category selection
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In 2019, firm stayed classified on worldwide product consultancy list of greatest
universal varieties. It is essential standard originated in quatern relations: prettiness,
contributions, and sustainability. Thoughtful capability of announcing new collections
built on modern movements speedy way permitted exhausted with contestants. It
became a people desired product, particularly. Zara’s elementary products like coats,
dresses, jumpsuits, jacket, knitwear, jeans, outwear, shorts, polos, t-shirts, hoodies and
slacks. Zara style industry face more and more trials. Products of the company includes;
 Clothing
 Fittings
 Shoes
 Swimsuit
 Beauty
 Fragrances
 Jeckets
 Jeans
 Woolens
 Hoodies
 T-shirts
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Figure 1: Online sales
(Inditex, 2021)
There are many participants and substitutions of the Zara’s like Uniqlo, forever, Nike and
Urban outfitters. Zara's common approach is cost management. The brand embraces a
modest gain in the market by contribution products alike to high-end fashion and
fashionable brands' styles at uncertain prices (Ruan, et al., 2019). Spain is globally
recognized in the field of innovation. A fast fashion-based business model with key
operators in this segment.
company proposals style goods tailored consumer perceptions in approximately
countries over all the world. It is an outstanding price and presentation ratio. In a
magnificent store the best city streets and shopping Centre environment and the best
places in the world. Overall, Spanish fashion has become a global standard in recent
years. The European mutual money entitled the euro shaped possible threat for
Spanish. Straight opposition might be their major hazard, particularly once growing in
original style marketplace.
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1
2
3
4
5
6
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2017 2018 2019 2020
Online Sales

Figure 2: Marketing
(Global, 2022)
3- Competitors in UK and Pakistan
 H&M
H&M is a fashion apparel company operating in 74 countries under various brand
names. The fashion giant has more stores around the world than Zara. In 2021, H&M
will employ over 126,000 people and generate $23.18 billion in sales. H&M is one of the
leading fast fashion brands, offering exclusive, affordable high-end replicas in more
countries than Zara (Global, 2022).
 Uniqlo
Uniqlo's critical competitive advantage over Zara is its unique positioning. The company
manufactures and sells everyday wear at affordable prices. In February 2021, the
company introduced its LifeWear aesthetic. This collection sets Uniqlo apart from Zara
and other fast fashion brands. With over 2200 stores, Uniqlo is Asia's largest clothing
retailer. Uniqlo is Zara's biggest rival in Asia (Global, 2022).
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 Gucci
Gucci offers mass-produced, handcrafted collections, and Zara manufactures high-end
replica clothing. With nearly 500 stores and 17,000 employees, Gucci has a strong
presence in Zara's workforce and market. Not comparable. However, the brand's sales
are close to Zara's profits. On the other hand Nike, Urban Outfitters, Gap,inc, Forever
21, Adidas, Fashion Nova, and Sephora is also in top competitors of Zara clothing brand
(Global, 2022).
4-Market environment of UK and Pakistan
4-1- Macro environment
 PESTLE Analysis:
This comprehensive PESTLE investigation purposes to discourse about of the radical,
financial, societal, technical conservational, and lawful matters disturbing between two
countries. United Kingdom displays the country in a durable situation payable to the
situation size, gift, and impact proceeding intercontinental government employment.
This analysis is identical convenient instrument assistance corporate planners toward
recognize the effect the conservational issues of trades. In creation planned results
(Ergashxodjaeva, et al., 2018).
Approximations that value of this company resolve 14.7 billion in 2020. The company
contributes seventy percent to sales of its parental product. Variety services toward
manage businesses about the world. Affording reports, yearly auctions of this firm in
2020 will be 21.9 billion.
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Today, I will talk about Zara's pestle analysis. Macro-environmental factors such as
radical, financial, communal, practical, authorized and conservational issues affect the
company brand.
PESTLE Analysis of UK Source
1-Political
UK is the greatest prevailing country in the world, with the major
republic and a constant political atmosphere.
Current legislative republic then a statutory kingdom will of UK
reflected in the general election is appreciated by the political
parties and people usually.
This tolerant political value sustains vastly a stable political
environment which is crucial to appeal extraneous direct
investment.
Constitutional realm may disturb bad the realm’s business and
radical environment and the country’s evolution.
2-Economic
Main budget in the biosphere insignificant to gross national goods.
Still, comprehensive covid in 2020 place massive burden on the
capital and demolished most of the industries crossways trades.
The Bank of England drove in additional hundred billion budget in
2020. Rumors in next year is that the budget has ongoing active
solider predictable demonstrated after rises trendy domestic
investments
3-Social
UK has an immense customer marketplace. Existing residents is
68.5 million (Moreno Agostino & Hatch, 2022). Labors endure to
outstrip demises besides the populace remains predictable to
spread seventy-four squillions. Over years, corporations
established diversity of novel goods and marketplaces toward
provide the requirements of dissimilar contests then beliefs. Zara
(Thompson. &
Carolan., 2017).
(BUSH, 2019).
(Global, 2019).
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stores pick up items twice a week. Each delivery is customized to
local demand regarding model, size, season, and other
requirements.
If Zara wants to succeed in all markets, it must adapt its collection
to different demands. They create similar content for all countries,
follow other countries' rules, and adapt to local behavior and
culture. For example, according to Zara designers, Chinese women
prefer pastel-colored clothes. To support their white skin. European
women, on the other hand, prefer stronger colors. Although they
still have a similar taste.
4-Technological
UK is the greatest scientifically progressive republic in the creation.
London is countless for both monetary and technical
establishments. Trades remain commonly emerging original
knowledges suggest the greatest results for clients. Progressive
technical organization bids impresarios unrestricted prospects to
business.
5-Legal
The Service Performance 1996 defends human rights of workers.
Motherliness and fatherhood consent, smallest salary, break,
tasteless pay, and approximately additional human rights remain
officially threatened. Similarly, the Fairness defends individuals
after slightly judgement.
6-Environmental
The UK occasionally faces stimulating climate situations. Though,
still acting a vital part trendy clothing industry. Most of the designers
everywhere in the world derived, mainly in temporary. In detail,
designers donate in the budget meaningfully each year.
PESTLE Analysis of Pakistan
1-Political
Many radical and legal influences directly disturb the retail
business. Conditional on the political temperature, the comfort of
retail brands to activate business globally can change radically.
Wide trade agreements and free trade strategies inspire horizontal
business connections and the movement of distributes and imports.
However, high assessment and trade blocks can easily interrupt
supply chains and auctions and cause many encounters with
handling industrial and other foreign activities. Republic will of
Pakistan replicated in the national determination is denoted by the
radical parties and overall people. One of the concerns of Pakistan
(SHEARSMITH,
2021)
(Shaw, 2021)
(Global, 2022).
(Adeel Akram,
2021)
(Global, 2021)
(Ruan, et al., 2022)
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is corruption. This may critically affect on the country fashion
industry and financial evolution of Pakistan. Exploitation matter and
falling, even initial a genuine corporate might involve corrupting
officers besides administration legislatures.
2. Economic
The business is comparatively in height, small Companies usual
33%. it is overtaxed at twenty five percent. According to world bank,
Pakistanis choose to recompense rigid money daily. Increase rate
in currency is too high in Pakistan due to unemployment.
3. Social
Supremacy outage is relatively immense problematic in the nation.
Population growing rate remains 225.18 million by the end of 2021.
Unemployment rate increase in Pakistan now is 6.3%.
4. Technological
In 2019 expected the realm have general net operators (Dawood,
2014). Technology has been contributory in emerging better sales,
supply chains, and customer service. Supplementary
advancements in digital technology have also pointed the entry
blocks and improved the number of contributors in the manner retail
industry. The internet delivers a platform for industries and
individuals to open online stores without devoting in structure to sell
goods. Separately the belief subjects on connected shops, foremost
aim of deliberate development immature for connected expense
substructure.
5. Legal
A lot of duties are executed on the clothing industry of Pakistan.
There are several laws for trade guidelines which may distress the
fashion industry
6. Environment
Majority of the people of Pakistan are Muslims. No shorts are
acceptable for wearing, where in UK women can dress short. So,
the environment is different in both countries.
(Liu & Luo, 2022)
(Yusuf, 2009).
(Global, 2022).
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5- MICROENVIRONMENT
Now concentrating on the microenvironment, the internal analysis scrutinizes Zara’s
business policies and operations. Over its cost guidance strategy, the brand proposals
high style eleven products at a reasonable price. In Pakistan, Deepak Parwani is a
relinquished designer in Pakistan fashion industry. People actually favor his designs
and the value of products. Maria B has also become good market position in style
industry not only in Pakistan but it also in worldwide level.
Alternative participants are Limelight, HSY and khadi in Pakistan. In micro, customers
are battered on the basis of individual desires and wants which contain local and
individual market. Dresses accessible for all customers either they are middle- or high-
class income people. Clothing has continuously been big professional for the UK.
London style week showcase the UK’s sustained guidance in the fields of fashion
education, which are significant British achievement stories. There are many
competitors in London like: Gucci, Nike etc.
6-Market strategy
Company has their own channels but in London there are four franchise which are
maintained by alternative person. They have the agreement with J. and the earnings of
sales are scattered among company and owner. There is also competitor in London for
different brands. In the context of UK strategy to enter in the market is different from the
Pakistan. The underground of the textile industry in London positive because mainly
being obsessed the capability to save with speedily altering style movements then
vitrine in assembly with slight suspension (Jessica, 2021).
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