Internalisation of spanish fashion brand zara
Decatur: Marketing Classics Press. Bombin, V.
Zara franchising strategy
This market, though geographically distant, is culturally close to the home country Spain, and provided with a reference of the South American market. The name Tata in India is a brand to reckon with and helped Zara with market penetration. A joint venture is a business agreement in which two or more parties agree to pool their resources for the purpose of accomplishing a specific task. San Francisco-based gap Inc. International sales accounted for 69 percent of its total turnover in , with Europe being its largest market by far. The store acts not only as a point of sale but also influences the design and speed of production. Creswell, J. As competition for international markets intensifies, no company can escape increasing competition from foreign firms. McGoldrick, P.
El modelo de negocio de Inditex, Claves de gestion, Madrid. Hence Zara standardises the key strategic elements, namely the location, window display, interior design, store layout, store display rotation, customer service, information systems and logistics.
Zara marketing strategy in india
Creswell, J. The mix of cultures in Switzerland German, French and Italian cultures made this market a reference point for its further expansion in those adjoining countries Laulajainen, Building, measuring and managing brand equity, Prentice-Hall, New Jersey. Strong communication between head and regional office to local units is necessary for a smooth flow of processes in the company. Dawson, J. The firm spends only 0. This global expansion was triggered by both push and pull factors. Keenan, M. As in the domestic market, the store location is a critical factor in the international markets. Journal of Fashion Marketing and Mangement, 13 2 , pp. Crawford, L. However, they are responsible for investing in fixed assets and recruiting the staff.
Zara relies on the store as its main promotional tool. Journal of Fashion Marketing and Mangement, 13 2pp. The maturity of the Spanish market led Zara to search for international opportunities in They do this by shifting economic resources from an area of lower productivity into an area of higher productivity and greater yield, accepting a high degree of risk and uncertainty in doing so.
Also, the negative feedback of one brand may have an adverse impact on the goodwill of other brands. Kasper, H. The company is a world leading retailer but still assures that the production is based in Spain, or countries nearby and also makes sure that the prices remain the lowest on the local market.
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