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    The Main Competitor SHEIN (Enregistré Automatiquement)

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    Amel NAJM
    The document compares the supply chains of fast fashion retailers Zara and SHEIN. While both companies use agile supply chains to quickly produce and distribute new products, there are some key differences. Zara has a more extensive and global supply chain that provides more flexibility to respond to uncertainty. In contrast, SHEIN's supply chain is more focused on specific regions like Asia, allowing it to better target certain markets. Another difference is that Zara has more vertical integration and control over its supply chain compared to SHEIN, which relies more on external suppliers and manufacturers.

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    The Main Competitor SHEIN (Enregistré Automatiquement)

    Uploaded by

    Amel NAJM
    12 views4 pages
    The document compares the supply chains of fast fashion retailers Zara and SHEIN. While both companies use agile supply chains to quickly produce and distribute new products, there are some key differences. Zara has a more extensive and global supply chain that provides more flexibility to respond to uncertainty. In contrast, SHEIN's supply chain is more focused on specific regions like Asia, allowing it to better target certain markets. Another difference is that Zara has more vertical integration and control over its supply chain compared to SHEIN, which relies more on external suppliers and manufacturers.

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    The main competitor SHEIN (Enregistré automatiquement)

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    The document compares the supply chains of fast fashion retailers Zara and SHEIN. While both companies use agile supply chains to quickly produce and distribute new products, there are some key differences. Zara has a more extensive and global supply chain that provides more flexibility to respond to uncertainty. In contrast, SHEIN's supply chain is more focused on specific regions like Asia, allowing it to better target certain markets. Another difference is that Zara has more vertical integration and control over its supply chain compared to SHEIN, which relies more on external suppliers and manufacturers.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    12 views4 pages

    The Main Competitor SHEIN (Enregistré Automatiquement)

    Uploaded by

    Amel NAJM
    The document compares the supply chains of fast fashion retailers Zara and SHEIN. While both companies use agile supply chains to quickly produce and distribute new products, there are some key differences. Zara has a more extensive and global supply chain that provides more flexibility to respond to uncertainty. In contrast, SHEIN's supply chain is more focused on specific regions like Asia, allowing it to better target certain markets. Another difference is that Zara has more vertical integration and control over its supply chain compared to SHEIN, which relies more on external suppliers and manufacturers.

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    The main competitor: SHEIN

    SHEIN is another fast fashion retailer that, like Zara, uses an agile and responsive supply
    chain to quickly produce and distribute new products. However, there are some key
    differences between the supply chains of these two companies.
    One major difference is the scale of the supply chain. While Zara has a more extensive
    and global supply chain, SHEIN's supply chain is more focused on specific regions, such
    as Asia. This allows SHEIN to more effectively target specific markets, but it also means
    that the company may have less flexibility when it comes to responding to changes in
    demand or other uncertainties.
    Another difference is the way that these companies respond to uncertainty. Zara uses a
    framework to assess the level of uncertainty in the market and tailor its strategies
    accordingly. For example, if there is high uncertainty, the company may focus on
    producing a larger number of different products to ensure that it has something for every
    customer. In contrast, SHEIN may be more focused on producing a smaller number of
    high-quality products, which allows it to offer competitive prices to its customers.
    Overall, both Zara and SHEIN have effective supply chains that allow them to quickly
    produce and distribute new products to meet changing customer demand. However,
    Zara's more extensive and global supply chain gives it more flexibility when it comes to
    responding to uncertainty, while SHEIN's more targeted approach allows it to more
    effectively target specific markets.
    COMPARISON

    In comparison to the supply chain of another fast fashion retailer, such as SHEIN, Zara's
    supply chain has some key differences. While both companies use an agile and
    responsive supply chain to quickly produce and distribute new products, Zara's supply
    chain is more extensive and global in scope. This allows the company to reach a wider
    range of customers and respond to their needs more effectively.
    Another difference is the level of control that each company has over its supply chain.
    Zara has a more vertically integrated supply chain, meaning that it has control over many
    different aspects of the production process, from design and sourcing to manufacturing
    and distribution. This allows the company to be more agile and responsive to changing
    customer demand. In contrast, SHEIN relies more on external suppliers and
    manufacturers, which can lead to less control over the production process.
    supply chain drivers of SHEIN
    Those are all factors that can impact the performance of SHEIN's supply chain. Here is a brief
    overview of each factor:

    Supply chain drivers of SHEIN Description


    The location and layout of SHEIN 's facilities,
    Facilities including warehouses, distribution centers,
    and factories, can affect the efficiency and
    effectiveness of its supply chain.
    Shein's inventory management practices,
    including the level of inventory it maintains
    Inventory and how quickly it can be turned over, can
    impact the performance of its supply chain.

    The mode of transportation used to move


    goods within Shein's supply chain, as well as
    Transportation the routes and schedules followed, can affect
    the efficiency and speed of product delivery.

    The quality and timeliness of information


    flowing throughout Shein's supply chain,
    including data on customer demand,
    Information production schedules, and inventory levels,
    can impact the efficiency and effectiveness of
    the supply chain.

    The sourcing practices of Shein, including the


    countries and regions it sources raw materials
    Sourcing and finished goods from, can impact the cost
    and quality of its products.

    Shein's pricing strategies, including the price


    it charges for its products and the discounts it
    Pricing offers, can impact the demand for its products
    and the overall performance of
    its supply chain.

    supply chain drivers of ZARA

    Supply chain drivers of ZARA Description


    Zara has a decentralized manufacturing
    model, which means that it has production
    facilities located in various regions around the
    Facilities world. This allows the company to be close to
    key markets and reduce lead times for
    production and delivery.
    Zara uses a "just-in-time" inventory approach,
    which means that it only produces and holds a
    small amount of inventory at any given time.
    This allows the company to minimize waste
    Inventory and reduce costs, but it also requires a highly
    efficient supply chain to ensure that materials
    and products are available when needed.

    The mode of transportation used to move


    goods within Shein's supply chain, as well as
    the routes and schedules followed, can affect
    the efficiency and speed of product delivery.
    Zara uses a variety of transportation methods
    Transportation to move materials and products throughout its
    supply chain, including air, sea, and land-
    based options. The company works closely
    with logistics partners to optimize routes and
    reduce costs.

    Zara uses advanced technology, including


    artificial intelligence and machine learning, to
    manage and analyze data throughout its
    Information supply chain. This allows the company to
    make more informed decisions about
    production, sourcing, and logistics.
    Zara sources materials and products from a
    global network of suppliers and
    manufacturers. The company has a strong
    focus on sustainability and works with its
    Sourcing partners to ensure that materials are sourced
    responsibly.

    Zara's pricing strategy is closely tied to its


    supply chain. The company uses a value-
    based pricing approach, which means that it
    determines the price of its products based on
    Pricing the value they offer to customers. This
    requires a thorough understanding of the costs
    and margins associated with each product
    throughout the supply chain..

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