Competing with Fast Fashion at Zara

Competing with Fast Fashion at Zara

  • Case
  • Teaching Notes

This short case intentionally provides students with only limited background data on two clothing chains. Zara is a real firm with a major presence in Europe, a growing footprint worldwide, and only a limited presence in the United States. Wearable Wishes is a fictional firm that represents a conglomeration of clothing chains that serve customers with a substantial number of U.S. stores and compete to a lesser extent overseas. The use of this fictional firm gives the student the opportunity to do background research on a variety of firms in the fashion industry. Each firm has a somewhat different product and customer strategy, allowing the student to make choices about which are applicable to Wearable Wishes. The many variations in the approaches different firms utilize mean students make different assumptions and come up with diverse responses to the case requirements. This variety generates opportunities for discussion of why these differences exist. The case provides only minimal financial information, so students do not fixate on numbers (as they are prone to do). Instead, they must focus on underlying strategic, production, informational, and behavioural factors that are influenced by the environment in which the firms operate.

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