Zara Case Study

5209 WordsNov 9, 201321 Pages
Zara Case Study Table of Contents Answer 1 4 PEST Analysis 4 Porter’s Five Forces analysis 6 Industry Life Cycle (ILC) Theory 8 Answer 2 9 Financial appraisal 9 Value Chain Analysis 10 Leadership 12 Decision Making 13 Power and Politics 13 Answer 3 14 Stakeholder engagement using CSR and Ethical management concept 14 Appraisal of Business Ethics 15 Answer 4 17 Recommendations 17 References 22 Answer 1 Zara is one of the leading and most popular Spanish fashion retail headquartered in Arteixo, founded in the year 1975. Zara operates under the flagship of Inditex group. Moreover, brands like Massimo Dutti, Uterque, Bershka, Stardivairus, Pull and Bear also exists under the flagship of Inditex group. Zara has started its international operation in the year 1980 (Willcox, 2005, p.193). Today it is a successful global brand. There are all total 1721 Zara stores worldwide. Zara stores are famous for its fashionable men’s and women’s apparels that including upper garments, lower garments, various fashionable shoes and cosmetics. Moreover, the brand is famous for its cloths for children named Zara kids. This segment offers variety of fashionable clothes for kids. In order to analyze the competitive forces and the strategic issues PEST analysis and Porter’s Five Force model can be implemented below. PEST Analysis The macro environment analysis of Zara can be conducted through PEST model. This model will analyze the impact of political, economical, social and environment factors on the business performance of Zara (Grant and Jordan, 2012, p.122). Political analysis The political stability and fundamental political factors in the operating countries may influence the fashion retail industry in Europe, but the liberalization of import quotas are creating a great significance on

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