Summary of the case study

Jun 21st, 2015
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Zara’s business model was led by huge vision of its top management. Jose Maria Castellano Rios, Inditex CEO, says “The original business idea was very simple. Link customer demand to manufacturing and link manufacturing to distribution.

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OverviewThis case study provides insights about the Zara, providing information on how works in such a fast changing fashion world. How they have set up there complete supply chain network and used IT to speed up the entire processes. Future growth and growing concerns of improving IT to have better collaboration and planning are discussed in detail in this case study.Summary of the case studyZara was founded by Amancio Ortega in the year 1975 by opening its first store in La Cornua. In 1985, Inditex (Industria de Diseno Textile) was formed as a holding company atop Zara; other retails chains and a network of internally owned suppliers. Today, Inditex is one of the world's largest fashion retailers, welcoming shoppers at its eight store formats - Zara, Pull & Bear, Massimo Dutti, Bershka, Stradivarius, Oysho, Zara Home and Uterque - boasting 4,705 stores in 76 countries [Business Wire (2010, Sep 22)]. In 2003, Zara contributed 73.3% of Inditexs group overall sales. One of the three departments inside Zara, Women accounted 60% of sale, with the rest split evenly between Men and Children segment.Zaras business model was led by huge vision of its top management. Jose Maria Castellano Rios, Inditex CEO, says The original business idea was very simple. Link customer demand to manufacturing and link manufacturing to distribution. That is the idea we still live by. The business model of Zara depicts the same. Zara had invested a lot in connecting their man

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