A Comparative Study of the Marketing Strategies of H&M and Zara

Abstract

Firms in the apparel sector compete successfully by employing various business methods, such as H&M and Zara, to extremes in the industry. H&M’s business strategy is mostly based on outsourcing, while Zara’s is primarily based on in-house production. The issue is that existing because businesses operating in the same environment and under the same conditions select various business strategies. The goal of this categorization is to elucidate why the two apparel companies H&M and Zara chose distinct business approaches. Although our study applies to H&M and Zara since the complemented trees are based on variables observed in these two organizations, our complementarities help to explain why they chose distinct business methods. Other businesses can benefit from complementary value if they can identify their unique features. This dissertation focuses on how large fast fashion firms, namely Zara and H&M, employ marketing strategies to overcome severe hurdles. Fashion is significantly more than just dressing up, and H&M and Zara’s supply chain management is proof of that. Large enterprises, such as Swedish H&M with over 2.5 thousand stores, and Spanish Zara of Inditex with over 1.5 thousand stores, are represented in company cases collected from secondary research. H&M and Zara are worldwide regarded as successful and vast retail giants.