Case Study 2 Essay Example | Topics and Well Written Essays - 1000 words - 2

Case Study 2 - Essay Example Zara has inspired the creation of relationships with its customers that allow it to benefit in all seasons (Craig, Jones and Nieto 2004). For example, if a cloth item is popular with clients, executives can make a decision to discontinue its production so as to generate an unsatisfied demand which will benefit the firm. This means that once a trendy outfit is released, customers will immediately consider purchasing it as soon as possible so that it does not go out of stock or cease being created (Slack, Chambers and Johnston 2010). In addition, Zara has developed the rare ability to be able to cater to in-season demands. This immediately puts Zara ahead of most of its business competitors. In having an inventory system that is flexible and responsive, Zara is capable of functioning with a high close-to-sale-time production system. This results in short lead times that are unparalleled when compared to other providers of apparel. The innovative plan to produce only the trendiest produ ct lines has generated for Zara the ability to offer clients trending apparel that is more in demand than any other items that are offered by business rivals.   Today, most of the important fashion firms are based in America, Europe, Japan, and China (Taplin 2006). The fashion industry is extremely competitive. For even experienced firms such as Zara to survive, there is a need for them to keep making significant changes that will allow them to be more aligned with the best conditions in the global market. Zara strives to ensure that it reaches potential customers from different geographical areas around the world with its products. This is quite necessary as the fashion industry tends to be chaotic in nature in that it is constantly experiencing change (De La Cruz 2013). Trends can last for months or even days. Zara has to take into account this uncertainty when coming up with business policies. Some of the business strategies favoured by Zara are unlike those in other fashion