ZARA Business Development Case Study: A Comprehensive SWOT Analysis

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Case study of ZARA

Table of contents
• Slide 3: Introduction
• Slide 4: Strength
• Slide 5: Weakness
• Slide 6: Opportunities
• Slide 7: Threats
• Slide 8: Self-reflective
• Slide 9: Conclusion
• Slide 10: Bibliography

Introduction
An internal analysis helps to explore the competencies
of the organisation and cost position variability in the
country markets. An organisation can be able to
identify the threats and opportunities of a company
by conducting analysis o internal environment. This
presentation intends to provide guidance on the
internal environment of ZARA.

Strength
The biggest strength of this company is their ability of
designing. The company has a large product line
including fashion clothing and accessories. The
company has worked closely with several designers
that have helped it to launch new products on the
market. The company has more than 10000 stores
worldwide (Zara.com. 2019).

Weakness
ZARA does not have an area of specialisation this is
causing customer shifts. ZARA does not advertise
over any media. This is benefitting the company with
cost advantages but lack of advertisement is
preventing the company to reach to all of its
customers. Brand awareness is not being created due
to this condition.

Opportunities
The organisation has installed new technologies into
their infrastructure, which will help the organisation
to develop its online E-commerce. The company has
a strong online presence, which will unlock the
opportunity of providing services to customers
without opening physical stores. There are some
flagship designs that are being sold only in the stores
of ZARA.

Threats
The company lacks advertisement so that can pose
threats for the companies as other competitive
brands are advertising their brand aggressively
globally. Competitive companies such as Christian
Dior, Chanel, Prada, and other high-end
merchandisers are posing major threats to the
company as the competition in the fashion retail
market has been increased (Christophers, 2015).

Self-reflective
ZARA has achieved worldwide popularity, which will
help them to expand businesses as per my views.
There are more than 174000 employees, which show
that the company will be able to develop its
productivity and service quality with the help of
employees.

Conclusion
It can be concluded that the strengths of the company
will help it to acquire its opportunities. ZARA has
developed its business infrastructure, which is
beneficial for achieving their objectives. Weaknesses
of the company are also analysed, which shows that
the company will need to make a decision on
developing strategies to manage their business
operations.

Reference list
• Christophers, B., 2015. The law's markets:
envisioning and effecting the boundaries of
competition. Journal of Cultural Economy, 8(2),
pp.125-143.
• Escobar-Rodríguez, T. and Bonsón-Fernández, R.,
2017. Analysing online purchase intention in Spain:
fashion e-commerce. Information Systems and e-
Business Management, 15(3), pp.599-622.