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Zara’s strategies for a better distribution of its products in different markets
Most companies as we know how to strategies as well as their own processes to have a better performance and of course obtain that competitive advantage of other companies, which is why we will take the Zara company in this case in this case of how this company has Made knowing how to invest strategically to have a better distribution of their products in the different encompasses and thus be able to have an immediate and safe response time, as well as as in a way can a supply channel help to be a competitive advantage.
What are the key success factors of the Zara company?
Although mention is made in the video and in the Zara reading is characterized by having a good administration of its processes and supply chains, and that is why from the beginning Zara made the distinction of the focus to the manufacturing process and another by the Customer service causing both parties to be neglected and that the supply field is more complex and everything is connected in good communication to have faster production, a more complete and most important distribution at low costs.
According to Zara reading, it is based on keeping the pace in all the processes that you have and that is why Zara invests in everything that contributes to increase and reinforce the speed and response capacity. Likewise, investment A in distribution and production centers do and have helped increase the capacity to respond to their supply chains and market demands
How do your supply chain manage to be a competitive company?
The main point that Zara has in which it has an investment profitability for its own venefice as we mentioned previously makes investments in things that help to have a higher response index in all aspects, for example, if it is invested in the purchase of a Other country distribution center The response and supply time for that market will be quickly and at low cost while perhaps another afternoon clothing chain days to carry out the operations to carry their items from one country to another and use greater resources. Likewise, investing in to produce their own textiles and some other raw materials make and level of production fluidity do not have complications, such is the case of other companies where they depend on their suppliers and that if in case they would be left bad production would be affected.
The aspect of Just in time is also resumed that, like Toyota or Dell that were previously seen which focuses on this case to always manufacture on demand, with the idea of covering the most immediate needs of the market in the shortest possible time possible and thus also make the amount of goods produced limited. It is the idea that Zara fashion chain has followed in this way, Zara’s points of sale receive new models constantly.
What links do you identify in Zara’s supplies chain?
Mainly its form of investment, since it is the majority of reading and the video mentions that thanks to the fact that it has been invested in different points of invasion Zara does not present any problems in a matter of supply of its branches or high demand if it reached introduce oneself. Likewise, investment to produce their own resources and thus have its supply of raw material without depending on external suppliers, as well as many companies depend.
Another link that can be mentioned is the way in which it maintains the administration of its processes, since it mentions that referring to its infrastructure maintains a wide form of distribution in order to be able to supply and supply the orders channels faster without any situation without any situation delay and therefore rule out the warehouse shape that many companies do and that instead Zara makes the product not stop and this reaches its final objective that is the customer.
How can the supply chain be a source of competitive advantage for many organizations?
From my point of opinion, the aspect of the chain was supplied has to do a lot that a company can obtain competitive advantage, since if you have a good supply chain management in combination of technology and best business practices in Everyone companies can better better to achieve greater savings and benefits by improving the processes and exchanges of information that occur between the same areas. Now, if we go further in matters of the client and taken into account the aforementioned, if one as a client sees the form of speed and the time of attention of a company and determines that it is quite good very surely that customer returns and vulva to Buy for the speed that was provided that in many other stores fail and therefore makes that store where the attention was rapid to have that competitive advantage over the other stores.
Every company, what it seeks is to generate profits and be profitable in every aspect and there are possibilities to achieve it by having and taking into account how our business structure is and how it is composed, in this case we talk about what was the supply chain important factor factor so that an organization can have an immediate response about the demand that it came to have and how is its product to the buyer’s hands. While much of this process helps determine the product cost and that is why it has to be very clear what factors will be taken in your distribution channel from what would be the shipment to your other branches and what tools you will use to do so to do it.
That is why if you have a good distribution channel, pues have a great supply of merchandise at low cost and May profitability in your company and the most important thing is that customer response attention will be effectively and efficiently causing them to return to Buy and structure a competitive advantage based on IT distribution channel.