Competitive Advantage in Fast Fashion - 3788 Words

*CHAPTER* 3 COMPETITIVE ADVANTAGE *IN THE* FAST FASHION Fast fashion is a term used to describe clothing collections which are based on the most recent fashion trends presented at Fashion Week in both the spring and the autumn of every year. These trends are designed and manufactured quickly and cheaply to allow the mainstream consumer to take advantage of current clothing styles at a lower price. This chapter highlights the sources of competitive advantage that may exist inside the field of fast fashion, as shown in Figure 3.1, studying in detail the major players who are part of: HM, Gap, Zara and Benetton. {draw:frame} FIGURE 3.1 : THE SOURCES OF COMPETITIVE ADVANTAGE *3.1 *SUPPLY CHAIN A supply chain is a system of†¦show more content†¦Customer satisfaction is paramount. Included in this supply chain process are customer orders, order processing, inventory, scheduling, transportation, storage, and customer service. A necessity in coordinating all these activities is t he information service network. In addition, key to the success of a supply chain is the speed in which these activities can be accomplished and the realization that customer needs and customer satisfaction are the very reasons for the network. Reduced inventories, lower operating costs, product availability and customer satisfaction are all benefits which grow out of effective supply chain management. Furthermore, market demands, customer service, transport considerations, and pricing constraints all must be understood in order to structure the supply chain effectively. These are all factors, which change constantly and sometimes unexpectedly, and an organization must realize this fact and be prepared to structure the supply chain accordingly. 3.1.1 DECISIONS ON THREE LEVELS Supply chain management decisions are often said to belong to one of three levels; the strategic, the tactical, or the operational level. Figure 3.3 shows the three level of decisions as a pyramid shaped hierar chy. The decisions on a higher level in the pyramid will set the conditions under which lower level decisions are madeShow MoreRelatedRetail Market And Financial Strategy1522 Words   |  7 Pagescompany’s sustainable competitive advantage that upholds the company’s edge over its competitors. I will explain how the company’s fast fashion retail is becoming a threat to other companies with the same type of products such as Zara and HM. These companies should be worried because Forever 21 is faster and cheaper, it s expanding its consumer base, and it s fighting with the competitors head on. I will discuss exactly how Forever 21 is planning on being the number one fast fashion retailer in yearsRead MoreZara, The Owner Of Zara1497 Words   |  6 Pagesof Zara, first started out in the dressmaking and textiles industry before opening the first Zara store in Spain in 1975. 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