Which of the following is one of the potential financial vulnerabilities that Zara could be exposed to? the practice of having limited production runs of its designs.
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What implications do rising fuel costs have on Zara’s operating model?
Rising fuel costs are likely to make Zara’s model of twice-weekly deliveries more expensive to maintain.
How does Zara differ from its competitors in converting ideas into products quizlet?
How does Zara differ from its competitors in converting ideas into products? a. Zara concepts appear in stores in fifteen days on average, compared to rivals who receive new styles once or twice a season.
What are the benefits for Zara to have limited production runs?
Limited production runs ensure customers do not have to visit Zara’s stores as often as they visit other stores, allowing the firm to save money through staff reductions when compared to peers.
How is the collaborative filtering software used by Netflix advantageous to the firm?
How is the collaborative filtering software used by Netflix advantageous to the firm? The software has created an enormous data advantage that is valuable, results yielding, and difficult for newcomers to match.
What can Zara do to ensure successful growth around the world?
Zara’s overarching strategy is achieving growth through diversification with vertical integrations. It adapts couture designs, manufactures, distributes, and retails clothes within two weeks of the original design first appearing on catwalks.
Why is Zara unsustainable?
The brand, along with over 100 others, has also been linked to Amazon Deforestation. According to Slow Factory, ‘none of these brands are deliberately choosing deforestation leather’ but they do continue to work with manufacturers that source their materials from opaque supply chains.
Which element of Zara’s strategy do you believe best explains its success?
logistics
I. Which element of Zara’s strategy do you believe best explains its success? logistics, unlike other clothing brands, Zara can provide everything to their customers in under two weeks timeframe, ensuing in earlier return of income.
What advantages does Zara gain against the competition?
Zara’s main competitive advantage is responsiveness and to retain it Zara source products withuncertain demand from local manufacturers because local manufacturers offer fast and flexible sourcingand such products are to be delivered quick instead of at low-cost (with greater lead time as it ismanufactured in Asia).
How does Zara manage supply chain risk quizlet?
How does Zara use its supply chain capabilities to generate competitive advantage? the management of up and downstream relationships with suppliers and customers to deliver superior customer value at less cost to the supply chain as a whole.
What are the challenges faced by Zara?
However, the brand has recently faced three main challenges: e-commerce, competition and sustainability. To sustain its global expansion, the brand made a step toward digital expansion even before the pandemic hit, and it paid off. So far in 2020, Zara reports a 74% jump in online sales alone.
What is Zara marketing strategy?
Zara sets market-based pricing strategy which sets the target price consumer is willing to pay. The budget for production according to the target price. This in turn fixes the profit margin they earn on every item.
Which sourcing strategy does Zara use?
Zara‟s method of sourcing product is very different from the traditional methods used in the fashion industry because the company controls every part of the supply chain. Instead of using an outsider to design the clothes, the firm uses 300 in-house designers and relies heavily on store managers‟ input.
Which of the following problems is least likely to be solved through grid computing?
Which of the following problems is least likely to be solved through grid computing? Linear problems. Price elasticity refers to: rate at which demand for a product or service fluctuates with price change.
Why did Wal Mart and Blockbuster managers as well as Wall Street analysts underestimate Netflix?
What issues might you advise analysts and managers to consider so that they avoid making these sorts of mistakes in the future? Wal-Mart, Blockbuster, and Wall Street underestimated Netflix because it was a dot.com without a brick-and-mortar presence, and had a comparatively small customer base.
Which of the following represents an advantage enjoyed by the Netflix DVD by mail business over traditional video stores?
Which of the following represents an advantage enjoyed by the Netflix DVD-by-mail business over traditional video stores: Larger entertainment selection.
What do you think are challenges that Zara will face to sustain its growth?
The biggest threat Zara is facing is the intense number and level of competition in the industry. With the increase in entrants due to the help of the internet, Zara must go up against online brands that are offering similar products for a lower price.
What current or potential weaknesses if any do you see in Zara’s IT infrastructure and IT strategy?
What current or potential weaknesses (if any) do you see in Zara’s IT infrastructure andIT strategy? Answer-Weakness is the old system, and training people on the new system and adapt onnew IT environment. -Potential is that sales will rise up eventually and it will improve network capabilities.
Does Zara have exploit workers?
In 2011 AHA, the contractor reportedly responsible for 90% of Zara’s Brazilian production was found to have subcontracted work to a factory employing migrant workers from Bolivia and Peru in sweatshop conditions in Sao Paulo to make garments for the Spanish company.
How does Zara greenwash?
Zara scored just below 50% for environmental sustainability. Zara has recently publicized a list of environmental commitments. These goals span the next five years and include everything from water conservation to reducing waste in landfills. They’ve also worked to ban some harmful chemicals in production.
Does Zara use child labor?
Zara used to employ Turkish sweatshops in Istanbul, where workers were forced to work without being paid. Modern slavery and child labor cases involving Zara in Brazilian factories were previously reported. Zara now cares more about its suppliers with higher transparency and worker empowerment initiatives.