Group 8

SOLUTION 1
(A)
Yes! This works well in case of zara case study.
Zara is a world famous Retail Chain based in Spain and is extremely successful in their
supply chain. Zaras business model can be broken down into three basic components:
concept, capabilities, and value drivers. Concept is to maintain design, production, and
distribution processes that will enable Zara to respond quickly to shifts in consumer
demands. Capabilities: Zara maintains tight control over their production processes
keeping design and manufacturing in-house. Zara maintains the flexibility necessary to
design and produce over 12000 new items annually. Value drivers for Zara are both
tangible and intangible in the benefits that are returned to all stakeholders. The successful
implementation of Zaras business model provides great value to stakeholders and
differentiates their business from their peers.
No single strategy can serve the purpose. Like before, Zara has to decide an
implementable combination for future. It is recommended that, not to implement all the
decisions in a single step, rather act and wait for response and then decide for further
actions to be taken. Detailed assessment of scenarios is to be done before finalizing any
decision because fashion market changes frequently that rough estimates may lead to
undesired results.
Entering new markets for increasing captured market will cause supply management
issues as Zara has not developed many distribution centers. Quality management of both
products and processes will be difficult and eco friendly sale points development may
increase costs incredibly.
The success of ZARA is based on two principals: follow the trend to be able to sell
garments at a moment where people want this kind of style, without using any
advertisements as the concurrence does.
They dont want to convince people to buy their clothes but give the public what they
desire at the moment. Secondly, the trust that had been given to employees allowed the
company to delegate. Zara is able to identify new trends and to satisfy the demand of
costumers with its value chain system, that is really effective and its structure very
organized... analysis of Zara case study tells that its main strategy is the ability to give to
give a quick answer to target demanded costumers and its capacity to anticipate the
costumer's trends...
(B)
Electronics market is a place where a model like this could be fruitful. The main reason is
the short span of time from which the designs is thought, produced and delivers as soon
as possible. In the fast changing mobile and tech market having such flexibility to be able
to deliver a product before the rival would be crucial and fruitful.

(C)
Services marketing is a conventional business practice that has lot of potential of being a
competitive edge for any organization but for some reason or the other this segment is
ignored and employees here are not given the due training which would anable them to
perform in a manner that would create a positive impact in the customers. If the front line
staff of any company can manage to get this right it may become bases for competitive
advantage

SOLUTION 2
COMPETITIVE ADVANTAGE:
Competitive advantage is an advantage which a firm has over its competitors. This allows
the company to generate greater sales or margins and/or retain more customers than its
competition
Zara uses a blend of technology that has unleashed seems to break all of the rules in the
fashion industry. The firm which shuns advertising rarely runs sales, and in an industry
where nearly every major player outsources manufacturing to low-cost countries, Zara is
highly vertically integrated, keeping huge swaths of its production process in-house.
These counter intuitive moves are part of a recipe for success thats beating the
competition. Zara has an ability to give quick response to their target customers demand
and anticipate the customer trends It has a fast distribution and production which offers a
latest design within four to five weeks. Zara is unique in a way that it does not spend
money on marketing and instead concentrates on opening the new stores instead. Zara has
to face a lot of competition from H&M, GAP , and Benton internationally, Zara is
considerable to be more fashionable then the rest of the brands despite the facts that its
price is less than Benetton and gap. Zara only spend 0.3 % on advertising and its rivals
spend 4 to 5% on advertising.

Members
m.ali khalid
rusul usmani
mudassir sheikh
zeeshan usmani
sughra
samra