Company Profile & Survey Report
Company Profile & Survey Report
Company Profile & Survey Report
Zara SA is a Spanish clothing retailer based in Arteixo, Galicia. The company specializes in
fast fashion and its products include clothing, accessories, shoes, swimwear, beauty
products, and fragrances. It is the largest company in the Inditex group, the largest clothing
retailer in the world. As of 2017, Zara manages up to 20 clothing collections per year.
In 1988, the company began to expand its international operations throughout Portugal. In
1989, he entered the United States, then France in 1990. During the 1990s, Zara spread to
Mexico (1992), Greece, Belgium and Sweden (1993). In the early 2000s, Zara opened its first
stores in Japan and Singapore (2002), Russia & Malaysia (2003), China, Morocco, Estonia,
Hungary and Romania (2004), the Philippines, Costa Rica and Indonesia (2005). , South
Korea (2008), India (2010), Taiwan and South Africa and Australia (2011).
In September 2010, Zara opened its online store. The site is starting up in Spain, the United
Kingdom, Portugal, Italy, Germany and France. In November of the same year, Zara Online
extended its service to 5 other countries: Austria, Ireland, the Netherlands, Belgium and
Luxembourg. Online stores started operating in the United States in 2011, Russia and
Canada in 2013, and Mexico, Romania and South Korea in 2014. India on October 4, 2017.
Zara introduced the used RFID technology in its stores in 2014. The RFID chip resides in a
security tag that is removed from the garment upon purchase and can be reused. The chip
allows the company to quickly take inventory by detecting radio signals from RFID tags.
When an item is sold, the warehouse is immediately notified so that the item can be
replaced. We can easily find an item that is not on the shelf with an RFID tag.
In 2015, Zara was ranked 30th on Interbrand's Best Global Brands list.
In 2019, Zara updated the logo.
In 2019, Global Fashion Business Magazine said that while the global textile trade fell 2.38%,
Zara grew 2.17%.]
In 2019, the CEO of Persson said brands were waiting more acceptable worldwide rents to
continue their expansion. In Europe, the brand will reduce the number of locations next
year.
This fashion group also owns brands such as Pull & Bear, Massimo Dutti, Bershka,
Stradivarius, Oysho, Zara Home and Uterqüe. The company operates more than 2,220 stores
and is present in 88 countries.
Zara sells clothes for men and women. They also sell shoes, cosmetics and accessories. They
have also recently started with children's clothing.
VISION, MISION & OBJECTIVES -
VISION
MISSION
The world is getting smaller and smaller; They want the world to dress in style and class and
experiment with unique designs every week.
OBJECTIVES
The main goal is to increase customer demand and satisfaction, giving them the opportunity
to discover new unique designs every week.
SWOT Analysis
Zara's strategy presents both opportunities and strengths, threats and weaknesses. The
following section describes four aspects of Zara's agile approach.
Strengths:
Zara's value chain is vertically integrated, offering many advantages. He can react quickly
and he has high control over the whole process from design to final product. A supply chain
is efficient when it uses distribution centers and warehouses correctly. Its strategy also
makes it possible to distribute products over a wide geographical range in a very short time.
Another thing is that the product must be close to the market demand. Their products are
only produced in limited editions; therefore, they have to sell their products in a short time
so that they can get the price without having to return them. This responsive approach
means both lower marketing costs and higher profit margins for the business. IT integration
is also a key aspect of Zara's strategy, which is important because it allows information to be
shared between different departments within the company.
Weaknesses:
Zara's business model is certainly well-suited to today's needs. But it has a significant
weakness, which is the difficulty of exploiting continuous scalability. Zara represents 80% of
Inditexs' consolidated revenue, meaning that the entire group relies heavily on Zara's sales
figures. Vertical integration of the supply chain has its limits in terms of scalability. Zara
couldn't produce more clothes at a lower cost, and then the whole concept was based on
insignificant quantities because they were quickly distributed in stores. As a result, agile
processes can degrade quality in some cases. Keeping abreast of the market and catching
the latest trends and turning them into ready-to-use clothing in a short time requires
tremendous efforts of employees and management. Zara did not implement online
shopping, leading to loss of orders for competitors.
Opportunities:
Online shopping has become a large and important market; Customers can go online and
order anything they need. If Zara allows customers to shop online, it will increase their sales.
Pablo Isla, Senior Vice President and Chief Executive Officer, said: “We consider entering the
Indian market to be of significant strategic importance.
Threat:
The first threat is the constantly increasing rent in shopping centres, Zara has to bear high
rental costs, which means they have to increase prices or reduce other costs.
Zara's main competitors are H&M, GAP, NeXT and Uniqlo. These companies compete with
Zara in a number of categories: pricing, sales, financial ratios, and profitability. Additionally,
there is competition with the Asian clothing industry, which is launching brands that can
earn higher prices than their competitors in this industry.
PROJECT DESIGN
Research design refers to the overall strategy we choose to integrate the different
components of our research in a coherent and logical manner, thus ensuring that we will
approach the research problem in a coherent manner. It is the blueprint for data collection,
measurement and analysis.
DATA COLLECTION
TYPES OF DATA
Primary data is data collected by the researcher from direct sources, using methods such as
surveys, interviews or experiments. It is collected with the research project, directly from
primary sources. We need to prepare questions and interviews depending on the topic and
as respondents to answer them.
Secondary data is data collected from studies, surveys or experiments that have been
carried out by others or for other studies. It is cost-effective and fast because we only have
to analyze the data collected by others.
METHODS
Qualitative method: The word qualitative implies an emphasis on qualities of entities and
on processes and meanings that are not experimentally tested or measured [if measured] in
quantitative, quantity, intensity or frequency. Qualitative researchers emphasize the socially
constructed nature of reality, the intimate relationship between the researcher and what is
studied, and the situational constraints that shape inquiry. These researchers emphasize the
value-filled nature of the investigation. They seek answers to questions that focus on how
social experiences are created and meaningful. In contrast, quantitative studies focus on
measuring and analysing causal relationships between variables, not processes. Qualitative
forms of investigation are viewed by many social and behavioural scientists as a perspective
on how to approach investigating a research problem as a method.
Quantitative Methods: Quantitative methods focus on objective measurements and
statistical, mathematical, or arithmetical analysis of data collected through polls,
questionnaires, and surveys, or by manipulating statistical data in advance using computer
techniques. Quantitative research focuses on collecting digital data and generalizing that
data across groups of people or to explain a particular phenomenon.
A questionnaire is a research tool consisting of a series of questions (or other types of
prompts) intended to collect information from respondents. The questionnaire was
invented by the Statistical Society of London in 1838.
Although questionnaires are often designed for statistical analysis of responses, this is not
always the case.
Questionnaires have the advantage over other types of surveys in that they are inexpensive,
do not require as much effort as a verbal or telephone survey, and often have standardized
responses which help to compile the data. becomes simple. However, such standardized
responses can frustrate users. The questionnaire is also limited by the fact that respondents
must be able to read and answer the questions. Therefore, for some demographic groups,
the questionnaire survey may not be specific.
For this project, we used a questionnaire method in which we ask closing questions to
understand consumer behavior towards the Zara brand. This is a method of quantitative
data collection where we prepare Google forms and randomly send questionnaires to
people and collect their responses. we then quantitatively represented this data through a
graphic representation to better understand the project.
AREA OF SURVEY: We circulated the questionnaire via Google Forms among people and
gathered their responses and carried out this project based on the responses received on
the questionnaires marked by them.
SAMPLE SIZE: