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Zara

AH

Anum Haq

Transcript

Entry and Expansion within India

Conclusions and Recommendations

Porter's Five Forces Model

  • Market Analysis
  • Threat of competition (Cervino, 1998)
  • New Laws, lower barriers to entry

  • Advantages and criticisms of entry modes
  • Expansion overview
  • INDITEX growth in India (Economic Times, 2012)

  • Further Recommendations

Regional Entry Mode

References

Baumhart, R., Christie, P. M. J., Kwon, I. G. and Stoeberl, P. A. (2003). ‘A Cross-Cultural Comparisonof Ethical Attitudes of Business Managers: India, Korea and the United States.’ Journal of Business Ethics, 46 (3) pp. 263-287

BBC. 2012. India PM Manmohan Singh urges economic investment boost. [ONLINE] [Accessed 03 November 12] Available at:http://www.bbc.co.uk/news/world-asia-india-19264560

Betty, W. (2011) porters five forces-Zara. [Online] [Accessed on 27th November 2012] http://blogs.ubc.ca/bettyw/2011/11/21/porters-five-forces-zara

Bloomberg Businessweek/Rachel Tiplady. 2006. Zara: Taking the Lead in Fast-Fashion. [ONLINE] [Accessed 29 October 12] Available at: http://www.businessweek.com/stories/2006-04-04/zara-taking-the-lead-in-fast-fashionbusinessweek-business-news-stock-market-and-financial-advice

Chakravarty, C. and Jacob, S. (2012). ‘Decision on Massimo Dutti's India foray today.’ The Economic Times. [Online] 29th June. [Accessed on 5th Novemeber 2012] http://articles.economictimes.indiatimes.com/2012-06-29/news/32472788_1_inditex-brand-owner-jv

Crown Relocations. (No date). Cultural Dimensions in India. [Online] [Accessed on 25th October 2012] http://web.crownrelo.com/relo/globalpassport/culture.india.html

Dash, M.S, 2011. International Review of Management and Marketing. Next-Generation Retailing In India: An Empirical Study Using Factor Analysis, [Online]. 1/2, p.25-35. [Accessed 28 October 2012] Available at: https://www.econjournals.com

Fan, Y. and Lopez, C. (2009) ‘Internationalisation of the Spanish fashion brand Zara.’ Emerald, 13. [Online] [Accessed on 25th November 2012] Available: http://www.emeraldinsight.com/case_studies.htm/case_studies.htm?articleid=1793756&show=html

Forbes/Saumya Roy. 2010. Fast Fashion: Zara in India. [ONLINE] [Accessed 03 November 12] Available at:http://www.forbes.com/2010/07/29/forbes-india-zara-business-model-tweak.html

Goel, M., 2008. COLLABORATIVE MODELS FOR RETAIL INDUSTRY AND AGRICULTURE: A RESEARCH ON MEANS OF MUTUAL BENEFIT FOR BOTH SECTORS. [Online][Accessed 04 November 2012] 7/2, p.103. Available at:http://www.welingkar.org/welingkar/v1/AboutUs/Journals/Research_Journal_Cover_Sep08.pdf#page=105

Gupta, R. (2012) FDI in in Indian retail sector. Bangalore. Unknown publisher. [online] [Accessed 25th November 2012] Available from: http://cci.gov.in/images/media/ResearchReports/FDI%20in%20Indian%20Retail%20Sector%20Analysis%20of%20Competition%20in%20Agri-Food%20Sector.pdf 

Gutman, P., 2008. Trade liberalisation, rural poverty, and the environment: global discussions and local cases. Development in Practice, [Online][Accessed 12th November 2012] 18/6, p.789-800. Available at:http://www.jstor.org/stable/pdfplus/27751986.pdf 

Hill, Jones, C.,G., 2012. Strategic Management Theory: An Integrated Approach. 1st ed. Canada: Erin Joyner.

Hofstede, G. (2001). Culture’s Consequences: Comparing Values, Behaviors, Institutions, and Organizations Across Nations.  2nd ed., Thousand Oaks CA: Sage Publications.

Hofstede, G., Hofstede, G. J. and Minkov, M. (2010). Cultures and Organizations: Software of the Mind. Revised and Expanded. 3rd ed., Unknown place of publication: McGraw-Hill.

Jaswante, V.W, 2001. Retail industry- Its growth and challenges. [Online]. 1/8, p.1-4. Available at: http://www.aygrt.net/publishArticles/294.pdf [Accessed 17 November 2012].

Jhamb, Kiran, D., R. , 2010. Asian Journal of management research. Organized retail in India - Drivers facilitator and SWOT analysis, [Online]. 2/1, p.267-269. Available at: http://ipajournals.com/ipabackup/ipublishing/ipublishing/ajmrvol1no1/voltwo/EIJMRS2024.pdf [Accessed 08 November 2012]

Kearney, A.T, 2010. Expanding Opportunities for Global Retailers, [Online]. 1-8. Available at: http://www.atkearney.com/documents/10192/c00fc581-e576-4186-a18f-4eaa6defa84b [Accessed 03 November 2012].

Lucintel. 2012. PESTLE Analysis of India 2012:Lucintel Forecasts Robust Growth for Indian Economy. [ONLINE] [Accessed 02 November 12] Available at: http://www.lucintel.com/press/pestle_analysis_india_2012.aspx

MBA Term Papers. (2012) Indian Retail Industry-Pantaloon Retail (india Ltd. Part V (ii) (Porters Five Forces Analysis) [online] [Accessed on 25th November 2012) http://mbatermpapers.com/indian-retail-industry-pantaloon-retail-india-ltd-part-v-ii-porter%E2%80%99s-five-forces-analysis/

Myriam Robin. 2012. Leading Company. [ONLINE] [Accessed 12th November 12] Available at: http://www.leadingcompany.com.au/big-ideas/no-advertising-no-outsourcing-why-zara-is-beating-expectations-despite-a-languishing-economy/201206151434

Nasscom. 2012. Indian IT-BPO Industry. [ONLINE] [Accessed 09th November 12] Available at: http://www.nasscom.in/indian-itbpo-industry

Rajput, N., 2012. FDI and Indian Retail Sector: An Analysis., [Online]. 1/1, p.53-55. Available at: http://dx.doi.org/10.5430/jbar.v1n1p53 [Accessed 26 October 2012].

The Economic Times. 2012. Interest rate will stay high till inflation is tamed. [Online] [Accessed 05 November 12] Available at:http://articles.economictimes.indiatimes.com/2012-08-08/news/33101043_1_interest-rates-squeeze-liquidity-high-interest

The Indian Express/Stuti Shukla. 2012. High pollution makes life hit the lows here. [Online] [Accessed 05 November 12] Available at:http://www.indianexpress.com/news/high-pollution-makes-life-hit-the-lows-here/905105/0

Unknown author. (2012) ‘retail sector in India growing at phenomenal pace’. The Times of India. [online] 25th June. [22nd November 2012] http://articles.timesofindia.indiatimes.com/2012-06-25/news/32408603_1_retail-sector-retail-industry-global-retail-development-index

Hofstede’s Cultural Dimensions

(Haq and Singh, 2012)

Introduction

A consultation regarding the potential expansion of Zara, after evaluating their successful entry into India, within the cities they are currently in.

Focusing on:

  • Porter’s Five Forces Model
  • Hofstede
  • PESTEL Analysis
  • SWOT Analysis
  • Regional Entry Mode
  • Conclusions and Recommendations

Shashi Ramsey 11072418

Tamima Khan 10983053

Hemali Shah 11014078

Akaash Ajwani 10202849

Rajinder Singh 10995234

Anum Haq 11035631

Presented by...

SWOT Analysis

PESTLE Analysis

Technological

  • High in technology (Nasscom, 2012)
  • Infrastructure improving (BBC, 2012)

Environmental

  • High pollution (Shukla, 2012)
  • Planning permission can be hard to obtain

Legal

  • Cheap labour and overheads (Gutman, 2008)
  • Taxation policies

Political

  • Deregulation
  • Government & International stability (Lucintel, 2012)

Economic

  • Higher interest rates (The Economic Times, 2012)
  • GDP increasing in regions
  • Self-reliant country

Social

  • Adopting western culture (Goel, 2008)
  • Changing demographics (Dash, 2011)