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21 Zara makes its products rhyme with the local culture as it doesn’t believe much in experimentation. 1.1 H&M History Quizzes test your expertise in business and Skill tests evaluate your management traits. • High unemployment rate can... ...supply chain. Ensuring a low rate of discounting combined with consistent newness equals a rapid product sell out. Taking this approach requires the design and buying teams to work very harmoniously, as there are many risks associated. Zara has been preparing & planning to make all stores 100% eco efficient. • 3,300 stores in 55 countries. 2.4 SWOT Analysis Although these initiatives have been met with skepticism and “greenwashing” claims, both retailers are the market leaders and their actions will influence other fast fashion brands to examine their environmental impact. Technology also increases a firm’s responsiveness to customer. Contents Big brand names like Zara have to follow certain rules and regulations. Pest analysis p. 5 & 6 Another major factor that affects the market is political disruption as it affects the economy and disrupts supply chain. This means that Zara is larger than the American Gap and Swedish H&M! ...Objectives and Theme Development Report Zara is a big brand for a reason: it creates luxury-feeling fashion products at an affordable price. Zara and H&M are two of the world's largest fast fashion retailers. Zara is a relatively less expensive brand in comparison to other European brands which rewards Zara a greater market share in comparison to its competitors. Zara is an innovating clothing company which sells clothes throughout the world. • Growth of H&M’S homeware line B. SWOT Analysis 14 Economical Factor 5 Competition in the Industry. 1. At H&M nearly half of the women’s offering sits in the $1-$20 bracket, whereas Zara’s most optioned price point is $20-$40, also representing 49% of their products. At H&M all cotton available will be 100% organic by next year. * Introduction The first... ...COMPANY ANALYSIS & PROBLEM IDENTIFICATION MARKETING MANAGEMENT BMKT601 2.0 Strategy Planning Threats: 2.2 External Analysis D. Technological Landscape 5 It belongs to Inditex which is one of the largest distribution groups in the entire world. Table of contents The European union is UK’s biggest export market for textiles and clothing. Zara on the other hand, only needs a month to create a new clothing line. 2. 14. This gives Zara the accessibility to a constant flow of new ideas. 2.2.2 Threats 21 PESTLE analysis is a framework which is imperative for companies such as Zara, as it helps to understand market dynamics & improve its business continuously. Competitive Analysis for ZARA and H&M. Threat of new entry 6 This being said, the company still experiences strong forces that hinder growth and even the maintenance of market share. The brand has actively shown its commitment to climate change and energy, biodiversity, sustainable materials, animal welfare and other environmental issues in depth.
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