H & M And Zara Analysis

1284 Words 6 Pages
4.0 Product
Moreover, product is a product assortment, which the total number of product lines that a company offers to customers. H&M and ZARA both is the fast fashion industry, the product line of H&M and ZARA is same, which selling styling men, women and kids clothing worldwide. Both of this two brands have a same type of product categories such as tops, shorts, jackets, shoes, underwear, accessories and many more.
H&M clothes use own design and more for street fashion in tend to younger generation wear their clothes in their daily life. The usefulness of products to consumer is daily life, night out, sport casual and comfortable home wear. The quality of the H&M products is standard and tailoring with lower cost fabric to let customer
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It comes in variety shapes and may be located in planned locations or unplanned locations. The similarities between H&M and ZARA is both of them is located in planned locations which is shopping center. For example, both of them have a store located in Lot 10 shopping center in Malaysia. Besides that, both of this two stores have a similarities that both are worldwide store and located in multiple cities. For instance, H&M located more than 3900 stores in 61 cities, at a same time there are over 2000 ZARA stores located across 88 countries. Both the size of H&M and ZARA stores is between 20,000-25,000 square fit. The operation hours of this two stores is same which is from 10am until 10pm open …show more content…
Extremely flexible and responsive supply chain is one of the point. Compare with other retailers, most of the Zara’s suppliers are local European establishments. By having 50% of manufacturers in Spain, 25% in Europe and 25% in Asia, the company can have changes in merchandise in unparalleled speed. Zara doesn’t have huge warehouses as other retailers, because most of its factories are domestic and owned by the Zara itself. On the contrary, other retailers spend a lot of money for operating their warehouses. One of the main points being that Zara are able to differentiate their product line faster than others close competitor. It allows them to offer their new fashions in less than two weeks. Moreover, Zara able to produce and distribute new fashions in a short amount of time, it allows Zara to change over 75% of the merchandise on display every 3 or 4 weeks. This increases the frequency of customer visits. Furthermore, Zara’s business is characterized by their vertical integration. The vertical integration enables their shorter turnaround times and gains greater flexibility while reducing their stock risk. Time will be their important factor for their decision-making, and this helps them controlled their production cost. In the other side, Zara have the technological advantage through the use of effective and artificial information

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