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In other words, how does Zara’s supply chain support the company’s business model.
• Class discussion establishes the idea that Zara’s success probably derives from how various parts of its supply chain and business model fit together. Some counter-intuitive ideas emerge during the discussion: for example, Zara has made a virtue of stockouts in its retail stores because consumers expect the store to stock out and hence, come often to the store and buy something they like right away.
• Analyses
– Quantitative analysis shows that new IT would not be prohibitively expensive
– Qualitative analysis (i...
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