Read the case below and answer the questions that follow. Zara is a large global clothing and acc…

Read the case below and answer the questions that follow. Zara is a large global clothing and accessories retailer that has continually appeared in lists of the top 50 global brands. By implementing a specific vision statement in a unique and thoughtful way, Zara has become one of the biggest success stories in fashion history. Zara’s vision statement is as follows: “Zara is committed to satisfying the desires of our customers. As a result we pledge to continuously innovate our business to improve your experience. We promise to provide new designs made from quality materials that are affordable As a luxury fashion company can reasonably expect, Zara’s customers desire a quickly changing selection of items. Customers are only interested in this season’s styles and therefore, items leftover from the last season become obsolete with every new product introduced. Because of the rapid and changing nature of the fashion market Zara has implemented a plan to plan less Most apparel retailers commit to designs for up to 90 percent of their seasonal lines six months in advance. This strategy guarantees that new products are available by the start of each season and costs stay low because companies can choose to outsource production if necessary. But, as stated above, the fashion market is highly olatile and constantly changing. Once a retailer commits to a design, the only thing they can do is sit and hope with fingers crossed that the designs they have chosen are the designs that people will want in six months Zara, on the other hand, only commits to 50-60 percent of its designs six months in advance. As a result, Zara responds to demand as it develops and changes during each season rather than forecasting demand in advance. Not only does Zara keep its initial design production low, but the company also stocks extremely limited amounts of each design in stores. These scarce inventories are a result of small and frequent shipments that continually deliver new designs. As a result, customers are compelled to visit stores frequently and buy items immediately because they are in short supply and may not be available at any other time Zara’s retail managers provide valuable information about customer wants and preferences and continually change out poorly selling designs with new options. This quick response system reflects the market’s quickly changing demand and results in happy and stylish Zara customers