Tuesday, November 3, 2015

Supply Chain Management

       After reading a article about Zara I learned how they are one of the most profitable clothing companies in the world. They always have the latest and most trendy clothes in their stores. This is because they focus on selling the most fashionable clothes as soon as possible at a low cost. They make a lot of money from this because every time a customer comes into the store there is a more fashionable piece of clothing for them to buy, that was not there last time they went to the store.
       The company H&M uses a similar approach to selling clothes. They do not change out the inventory of their stores as often as Zara. Instead, they have less trend items that are seasonal, and that are very unlikely to be unfashionable, that are changed every season. They also have a smaller amount of items that get changed every 2 weeks that are very trendy. Both companies are using a new and very profitable approach to clothing retail.

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