Analysis Inditex Group
Unit Introduction- GBO
Group Award: Global Trade and Business
Candidate’s Name: Cristina Diaz Alama
Xianda College of Economics and Humanities
Shanghai International Studies University
Select a Global Business Organization and describe its development from inception through to its present status as a global trader.
Describe its expansion including any global acquisitions and mergers, and its business structure- whether centralized or decentralized.
Industria de Diseño Textil, S.A. (Inditex) is a Spanish multinational clothing company headquartered in Arteixo, Galicia, ...view middle of the document...
Describe its expansion including any global acquisitions and mergers.
The first Zara shop opened its doors in 1975 in A Coruña (Galicia, Spain), the city which saw the group's early beginnings and which is now home to its central offices. Today Inditex's stores can be seen in places like New York's Fifth Avenue, Milan's Corso Vittorio Emanuele II, London's Regent Street and Oxford Street, Frankfurt's Zeil, Shanghai's Nanjing West Road, Tokyo's Shibuya, Istanbul's, Seoul's Myeong-dong, and Vienna's.
In the 1990s, Inditex began creating or acquiring subsidiaries to manage different collections: Bershka, Pull and Bear, Massimo Dutti, and Stradivarius.
Inditex won the 2006 Wharton Infosys Business Transformation Award for their innovative and successful implementation of information technology to drastically decrease the time it takes to get new merchandise from the design stage to the in-store stage.
In 2010, Zara has sales of € 12.5 billion with only twice a year newspaper advertisements.
On 20 April 2011, opened the first Zara flagship in Australia. Thus, the Inditex group was present for the first time in 5 continents, and in 86 countries. Today Inditex is the biggest fashion group in the world.
Time Line of Inditex
Zara shows its revamped image based on four guiding principles: beauty, clarity, functionality and sustainability. Simplicity is the byword throughout the store as part of Zara's mission to bring customers into direct contact with fashion. Inditex opens its first stores in Armenia, Bosnia-Herzegovina, Ecuador, Georgia and the Former Yugoslav Republic of Macedonia and reach 6,000 stores worldwide.
Stores opened for the first time in Taiwan, Azerbaijan, Australia, South Africa and Peru, bringing Inditex Group's commercial presence to five continents. Inditex thus passed the 5,500-store mark, with shops in 82 markets. Building on its multi-channel retail strategy, the company launched online stores for all of the Group's brands and opened online Zara stores in the United States and Japan. At the company's General Shareholders Meeting, Pablo Isla was appointed Inditex Chairman and CEO.
Inditex opened its first stores in Bulgaria, India and Kazakhstan, bringing its presence to 77 countries. Zara began selling its products online and by years end the online store was available in 16 European countries. At the Annual General Meeting of Shareholders, Mr Pablo Isla, CEO and Deputy Chairman of Inditex, presented the Group's new Strategic Environmental Plan.
Inditex signs a joint venture with the Tata Group to open stores in India beginning in 2010. The Group debuts its first stores in Syria, while the concepts Stradivarius, Bershka and Pull & Bear open its first stores in China.
Launch of Uterqüe, a retailer specialising in accessories and other fashion extras. Inditex reaches the 4,000-store milestone with an opening in Tokyo. The number of countries on its global store map rises to...