Zara Company could use various strategies to enter the Indian Market Such us
Zara Company could use various strategies to enter the Indian Market Such us, subsidiaries, franchising and joint ventures. A joint enterprise that would be very crucial for the progress of the company is allowed by the Indian Policy regarding Foreign direct investment. Forming a joint venture with another company in the clothing industry is of grave importance.
A joint undertaking is a very crucial strategy where the manufacturing services and the company reputation as well as its expertise of the affiliated local company in the clothing field , in regards to such an antagonistic industry where it is extremely difficult to acquire resources to construct retail channels or regions that have other kinds of difficulties that need an association with a local corporation to which Zara reputes its retail as one of the connected basics in its corporate model.
A major issue that can affect the company that must be taken under consideration in its effort of entering the market is the issue with cultural and demography concerns. Recent sidesticks shoe that India has a population of 1.2 individuals and its ix expected that the income in India will increase thus increasing the demand in quality of clothing. Prior entering any foreign market, it is crucial to take under consideration the cultural concerns beliefs and perspectives of that country. Since all the above will play a significant role in the development and establishment of the company in that market.
Zara’s strategy is to promote and market local clothing lines in addition to international clothing lines. Zara being established as the key brand in the country, would contribute massively in achieving company targets. As new company, ZARA in any market would attempt to target the large positions comprising the initial or subsequent position in the whole of the marketing wear lines (Ang, et.al.2015). To that affect, obtaining one of these positions would help the company in generating an extraordinary level regarding respect to manufacturing, distribution, and marketing. As a result, these positions would form a stage where Zara may vend their wear lines, and other unique cloth wears.
Moreover, to establish the clothing positions of the company, a good marketing strategy will have to be established in a broad spectre of the filed using multimedia advertisement, internet and traditional advertising products such us brochures that would cover the needs in all layers of clientele in India and the nearby locations but focusing and giving priority to the clientele located in India and the main cities. During the entire complain ZARA should utilize its fashionable and quality clothing lines to infiltrate the Indian market an example can be the Spanish market. The company will surely face great challenges that will have to overcome this can be done by utilizing effectively positional and promotional strategies that are created to support large profit margins but furthermore establishing fashion trends. Zara should utilize local associates helping the business to minimize expenses.