Zara Case Analysis

(Table I). H&M and Forever 21 have certainly nailed the price with either the quality or image but never all three. Zara has done this with ease. Each piece of merchandise is priced at a comfortable price, if not a little higher than what other industry competitors may offer. Economics of Scarcity heighten the sense of now-or-never, supplying only handfuls of dresses at a time. Zara uses a method call; ‘rapid design change’, they move around most of the garments in the store, so that the floor looks new, also the floor is never flooded with garments. Thus, Zara is self-considered a Designer boutique, but it contrasts with the prices they practice. So it can be a good point saying that Zara has the best of both, the fashion design from boutiques like Louis Vuitton and Armani with the prices of dedicated ranges like H&M. It leads to the thought of a comparative advantage. Scarcity in fashion increases desirability, which means shoppers need to buy quickly as the item may not be available next week. Lower quantities also mean there are not much to

The line “Zara Women” mainly target the white collar working woman aged 25+. The style has amore haute couture appeal and consist of many business and workplace related pieces that complement each other and can be worn as formal suits. Zara’s “Basic” line is more self-explanatory. The pieces found here are very versatile and can be worn by any Zara female customer aged 18+. This consists of selling casual everyday t-shirts, evening party gowns, to business attire, at very affordable prices. It is the largest of the three sections found in Zara’s women’s clothing. The “Zara TRF” line focuses more on the urban appeal for the Zara customers aged 13-25.Trendy denim as well as graphic t-shirts can be found in this section