Case Study 2
1. Zara is a late but successful entrant to the global textile market. How did it search for – and create – opportunities to give it a niche? Is the Zara model sustainable? What would you do to preserve their edge over the next 5–10 years, given that many other players are now looking to follow their example? If you don’t think it can survive, give your reasons for why you think the model is unsustainable and will fail.
2. You have been hired as a consultant to a small clothing manufacturer who wants to emulate the success of Zara and Benetton. She wants advice on an innovation strategy which takes the key lessons from these successful firms. What would you offer?
3. Zara Home has just opened using the same basic business model and deploying the same innovative approach as the rest of the business but in the home goods field. Do you think it might succeed and why?
4. How might Zara search at the edge of its current business to avoid being surprised or disrupted by a new entrant entrepreneur reframing the business?
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