Zara: dissipated Fashion Report Questions 1) With which of the international competitors listed in the fount is it around interesting to comp atomic number 18 InditexĂ‚´s monetary results? Why? What do comparisons indicate about InditexĂ‚´s relative operating political economy? Financial results of Inditex Group and its competitors GAP, BENETTON, and H&M (Table 1) have to be estimated under a common bases, in other words, identifying variables that are common for the four companies due to at the end the line of reasoning strategy of each one are different. For example, the entropy formatting of each of the stores varies per company, and so the market where they are located . Figure 1, shows the point of intersection market positioning map of Inditex stores and its competitors. Source: Exhibit 5. HBS case Zara: Fast Fashion As it is stated in the HBS Case ZARA: Fast Fashion, the main characteristic that differentiates Inditex from the rest of the group is that the vertical chain of Zara is wider that the other three competitors, a result of that Zara owns much of its fruit and most of its stores . Characteristics of each of the four companies that analysts consider alike(p)s are determine in Table2. Table 2. Key Issues of Inditex Closets Competitors.
ConceptInditexGAPH & MBenetton ProductionOwn most of productionOutsourcingOutsourcingOutsourcing Stores approximately ownedMost ownedMost OwnedFranchise state of focus on salesEurope 77%the States 87%Europe 96%Europe 78% last timesShort 5-6 weeksToo long (Months)Significantly extended than Zara Stores typeMultiformatSingle format, OutletsSingle formatSingle format + Outlets Source: Case data Based on the considerations presented above and the data provided by the case (Table 1) we calculated a series of financial indicators for the companies in order to compare them and select which could be comparable to Inditex. There were some important indicators that could help us to evaluate the efficiency of the business model of each company, especially... If you want to realise a full essay, order it on our website:
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