Five Forces Analysis Of Zara

1894 Words8 Pages
Nowadays, with the improvement of living standard, fashion has becoming more and more important to the world. There are lots of different types of fashion companies all over the world. One of the most popular companies called ZARA. ZARA is a fashion clothes company which was founded at 1975 by Amancio Ortega who is a fashion retailer group company’s founder from Spain. That means ZARA is a subsidiary of INDITEX. ZARA’s business scope including clothe, accessory, shoes, hat and perfume. Because of their excellent operating capability, they can become successful each and every year.
Clothes, food, shelter and travel are the four elements for life. Clothes being priority in order to shows how important it is. China have more than 1.3 billion people nowadays, enormous people formed enormous clothing consumer market. With the GDP growing up, China’s market will soon enter into high-quality consumer market and clothing consumer not only for basic need, but also for psychological need and self-gratification. Especially for some people who are becomes middle class. ZARA is a special company that can satisfy their demands. More and more people seek to higher quality of life. ZARA is one of the biggest fashion companies that can help people get their high quality of life.
This report will focus in conducting PESTEL & Porter 's Five Forces analysis of ZARA. Finally management recommendations will be provided with relevant conclusion.
2.0 PESTEL Analysis
2.1 Political
After