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1 INTRODUCTION

The company that is going to be analyse in this essay is Inditex and particularly Zara, its main brand. Inditex Group is a textile company, the most important in the Spanish textile sector and one of the most important multinational and one of the most weighty multinationals in Spain.

The most important of all the brands of the Group is Zara, which was the first to be created. Zara offers trend clothes of average quality at an affordable price to a female audience, teenage, male and child

In 1973 Amancio Ortega Gaona, Inditex Group president and main shareholder, created a company specialised in producing dressing gowns and underwear. Two years later he opened the first Zara store in La Coruña.

That was when he started building the whole holding. During the 70’s and the 80’s he surrounded by cloth-designers who used to travel to the main catwalks in Europe, where they can copy the most original ideas.

The big growth of the company happened in the 90’s, when the Group increased the supply with new brands.




2 STRATEGY

Depending on the objectives that company has, it will follow one different strategy, although it is very common to use a combination of different strategies to move abroad, and particular ones depending on the country the company is moving into.

Inditex Group has always wanted to have the main control in all its operations since its main strategy is the wholly owned subsidiary formula, although in the last few years this policy has changed and some other strategies have been developed, such as joint ventures and franchising.

The business model used in this design allows business to respond to customer tastes in record time (just in time). With more than 200 designers, the latest trends are followed in stores, street and the constant travel to international fairs.

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