Zara is the meaning of "instant fashion". Instead of creating demand for new trends and using fashion shows- Zara uses another method. They study the demands of the actual customers in their stores and then delivers that design at very high speeds. They saves tons of money on their delivery methods(you can find in the article link). I would say they are very much ahead of the fashion market in terms of production and sales.Zara is the #1 most profitable out of 8 other companies in the Inditex Group. Their production cycles are much faster than H&M! In 1 year Zara launches 11,000 new items compared to 2,000-4,000 from H&M!
This all sounds like Zara is doing just fine, right? Yes, that is right but they want to do even better! Over the next 4 years the brand plans to double in size opening over 4,000 new shops! They plan this expansion to mostly start out in Europe before pushing anywhere else. They have already opened a new distribution center to get the ball rolling with expansion plans!
I believe this will be a great successful for Zara and they are profitable enough now I think they should grow. That is 1,000 stores every year for 4 years. That is an extreme goal and even if they make half of it, they will still be successful. You can view much more information from this article, just click on the link below.
http://www.economist.com/node/4086117
