|Strength |Weaknesses |
|Top class in the fast fashion retailing |Centralized distribution system |
|Low level of inventory |Higher cost of manufacturing |
|Fast delivery of new product, design and trends |Old information system |
|Opportunities |Threats |
|Online market |High cost of rent |
|The Indian market |Hong Kong many competitors |
SWOT Analysis of Zara
The first one is introduction of new products in small quantities; the inventory cost can be lower. When item is out of stock, it can help to sell other products.
Second, Zara has hit on a formula for supply chain success that works. Zara can design and distribute a garment to market in just fourteen days. Zara have are centralized design and production center is attached to headquarters with three spacious halls—one for women's clothing lines, one for men's, and one for children's. Store managers will provide feedback that about the look of new designs, such as style, color and fabric in the quick time. (Refer to reference 1)
Last one, according to below figure with caption in other colors, fast fashion retailing industry is clearly in the top class if you compare its scale of sales with other specialty clothing retailers from around the world.
|Company Name |Country |Fiscal Year End |Sales |
|(Flagship Brand) | |...