Analysis of the business model of ZARA in Beijing: A comparison of consumers' choices

ZARA, a Spanish fashion brand which belongs to The Inditex Group which has been the first in Spain and the third in the world famous retailers (the top two are the GAP of United States and H & M of Sweden respectively). In 2005, its sales accounted for 6.741 billion euros, the numbers of sales amounted to 429 million, net profit is 8.03 billion euros. There are 2899 stores around 64 countries and regions until June 2006. The Inditex Group have eight retail brands, including ZARA, Pull and Bear, Kiddy's Class, Massimo Dutti, Bershka, Stradivarius, Oysho, ZARA Home, in which ZARA is the most famous brand. Established in 1975, it has 917 stores in 62 countries in the world nowadays. Despite the ZARA stores brand only accounted for one third of all the Inditex Group stores, but its sales accounted for around 70% of the Inditex Group total sales. (ZARA, 2009).
Read more...