MM BASC 523

Zara (Group Case)

This is a closed case. That is, only use information available in the case and at the time of
the case. When your group writes the case report for Zara, I would like you to consider
the following questions.

Can you explain the business model of Zara and why they have been successful? What is
the “magic”, i.e., operationally what is it that they are doing that is remarkable for the
fashion industry. How do they achieve this?

Now some more specific questions --- (1) What will you do about further US/Canada
expansion? (2) How sustainable is the model and do you believe it is suited for
US/Canada expansion? If yes, what do you think they need to do? In answering this
specific question, I would suggest you ignore Zara’s current N. American strategy and its
performance in N. America. It is important you stick to the time of the case when you
make recommendations.
Please pay attention to the financial information that is given the cases, the statements of
inditex and gap in particular. Compare the operational performance of these two
companies using data that is given in the case. You can ignore H&M’s financial
statements.

Your report is due June 23rd Wednesday at 9 am.

Please upload your case at the designated dropbox on Canvas.

One report per team please.

Please see the case report guidelines for the format of the report and other
instructions.

Best of Luck!