Zara competition

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Draw up a comparative chart of the development patterns used by INDITEX’s competitors worldwide and analyze their respective outcome. Summarize their specific business model. What are theirpresent position and prospects?


1. Development patterns

2. Business models
3. Present position and prospects CONCLUSION Recommendations for Inditex and Zara

Founded in1947 in Sweden by Erling Persson; began selling women’s clothing Founded in 1965 in Italy by Luciaono Benetton; started selling woolen sweaters Founded in 1969 in San Fransisco, California, by Donaldand Doris Fisher; began selling jeans, records and tapes.

Went public in 1975 International expansion in 1976 in Great-Britain One country by another and one distribution center in eachcountry 2001: 96% of sales in the European market

 Went public in 1976  International expansion in 1987 in London then Canada in 1989  Opens online store in 1997 to counter physical expansionproblems  2001: 87% of sales in the US market

Went public in 1986 International expansion in 1979 in North America and Europe By 1982 Benetton opens a store per day 2001: 78% of sales in theEuropean market


Apparel for women, men and kids between 15 and 30 years old
 Motto: “fashion and quality at the best price”  All the production is outsourced  continous controls  Hugeinvestments in advertising: giant billboards with famous models  H&M sells under sundry concepts or labels: strategic collaborations with well-known designers such as Karl Lagarfeld or Sonia Rykiel

6  Apparel for younger generations (generation gap)  Products are designed by Gap but 90% of the production are outsourced abroad  Store operations are US centric  The Gap Inc., uses different brandsto appeal to different targets: Gap (iconic American style), Banana Republic (Accessible luxury) and Old Navy (latest fashion at great price)


 vertically de-integrated = dyeing and wool...