The Chinese Yuan:Be careful of the Dragons Tail

They concentrate their core operations like productions and research development to their central location , Spain and maintain standardization in their products and production processes and strategies , hence following a Global business strategy

Ans 2 : Entry Strategy

There are three different market entry strategies that organizations may implement in to enter any market , especially when entering an international market . These strategies are , Wave Strategy , Waterfall Strategy and Sprinkler Strategy

Using wave strategy , a firm enters groups of similar markets , one group at a time . First the firm enters the group of

markets which are similar to the home market . Once steady revenue starts being generated , it heads for the group of markets which are somewhat different from the home market . After sable revenue generation is reported from the second group , the third group of markets very different from the home market is entered . In a waterfall strategy , one market is entered at a time and all target markets are entered consecutively one by one . The sprinkler strategy is the one when all the targeted markets are entered at the same time with standardized processes and products

Zara Fashion , according to the article , follows the sprinkler strategy as it plans to open around 350 to 450 new outlets during the year 2009 keeping its production and management centralized in Spain and operating at a standardized level everywhere it goes

Ans 3 : Effects of Logistics System

The average time taken for a normal clothing retail chain to materialize its products from the idea to the drawing board to the actual product ready to be sold in the stores is about nine months . For Zara Fashion however , this time frame is exceptionally low , being less than just two weeks . This super-efficient logistics system has immense positive effects on the business of Inditex as compared...