Zara Case Study Pestle Analysis That Reveals The Brand’s Success Story
A Complete Zara Case Study with Pestle Analysis
Zara Case Study Pestle Analysis That Reveals The Brand’s Success Story
Writing a case study is not easy work students have to do a great deal of research to be able to write it authentically. When it is time to do a case study on big brands, the complexity increases manifold. There is an immense amount of responsibility to make the document well-researched and completely true. One such case study that students struggle with is the brand Zara. But to lighten the load of scholars, this write-up will talk about the Zara case study pestle analysis, which will incorporate all the achievements of the brand as well as the future threats.
A Complete Zara Case Study with Pestle Analysis
The experts who provide Zara case study help believe strongly in the pestle analysis as the mode of enquiry. This is because this analysis is one of the most well-known marketing principles for thoroughly examining any firm or business. Many businesses are known for using this method to assess their market. This in-depth investigation aids in crafting the ideal circumstance that enhances the case study’s content on Zara branding.
Firstly let us know a little about Pestle analysis. Pestle is an acronym that stands for various factors that affect the working of a company, namely;
P- Political Factors
E- Economic Factors
S- Social Factors
T- Technological Factors
L- Legal Factors
E- Environmental Factors
Together, they have the power to either boost the company’s core operations and market value or ruin it. Here is a thorough pestle analysis of Zara to help you understand the company’s modus operandi.
Political Factors
These are the factors that comprise of various ways in which a particular government can influence the working of a company. This is because the government is the supreme authority and has power over the corporations. Political factors include tax policy, tariffs, trade restrictions and reform, environmental regulations, bureaucracy, corruption level, and political stability.
For Zara, political factors look like this:
- European Trade Concords
- Import Export Ease in Europe
- Government Intervention & Financial Regulations
Economical Factors
All businesses can run smoothly only and only if there is a stable economy. As Carl Marx said, the economy is the base, and the rest is the superstructure that operates in the presence of a strong base. Economic factors are crucial to sustaining a company. These include economic growth or decline, interest, exchange, inflation and wage rates, minimum wage, working hours, unemployment (local and national), credit availability, and cost of living.
For the brand Zara, economic factors are:
- Lower Labor Costs
- Brexit
- Parallel Affordability
- COVID-19 Pandemic
- Raw Material Price Hike
Social Factors
People are and will always be at the centre of any successful business. But, at the end of the day, there is only one true goal that a brand wants to achieve, i.e., to reach the maximum number of people. Thus need to state that social factors can build or destroy a brand. These factors include cultural norms and expectations, population growth rates, age distribution, career attitudes, health consciousness, and safety.
Social factors that influence Zara are:
- Always Fashionable
- Cultural Social Trends
- Diversity in Products
- Different Sizing of Cloths
- Seasonal Discounts
Technological Factors
Technology offers a great deal of growth to companies. With advances in the tech world come lots of business opportunities. The greatest example would be the e-commerce platform. For Zara, technology has been a boon. Here are the factors that affect its functioning:
- Big on Data Analysis
- E-commerce Boon
- Partnering with Tech Companies
Legal Factors
Legal factors are both intrinsic and extrinsic. They include quotas, resources, changes to legislation impacting employment, access to materials, imports and exports, etc. Legal factors that influence Zara are:
- Laws Relating to Copyrights
- Labour Law Issues
Environmental Factors
Last but not the least are the environmental factors. They are closely related to weather, sustainable business strategies, etc. Being a fashion brand, Zara needs to focus on them a tad bit more.
- Impact of Fast Fashion
- Move Towards Sustainability
This in-depth investigation aids in crafting the ideal circumstance that enhances the case study’s content on Zara branding. With this, we come to an end of the Zara case study pestle analysis. You can use the above-mentioned points as it is or frame your own pointers. If you still face trouble writing your case study, do not worry and reach out to Instant Assignment Help Australia. They are a leading academic service provider that is trusted by many students.
All the best!