A few Spanish companies have succeeded in imposing themselves into the clothes retailing market, internationally. Indeed, most Spanish companies in this market do not have sufficient income to expand internationally. However, some of them have succeeded, surpassing the difficulties they met. This is the case of Zara and Mango. Zara and Mango are two Spanish multinationals, competitors in the clothes retailing market. They are direct competitors, firstly, in their home market, and now internationally. We choose them because they are apparently similar, but have some important differences in their marketing strategies, such as advertising. Moreover, the situation of the clothes retailing market nowadays has allowed them to take even more comparative advantages and in their market share. Thus, we are going to study their uniqueness in the clothes retailing market, comparing them together and with their main competitors, and look at how they make their business a success. We will, first of all take a glance at the clothes retailing market worldwide, and then study their strengths and weaknesses, their marketing strategies, segmentation and positioning, and, finish with their marketing plan.
[...] Other qualities that Mango is searching in his staff are youthful, a fighting and enterprising spirit and the sharing of responsibilities. As well Mango uses techniques of motivation between the salespeople to create better climate in the shop. However, some decisions of the process such as work by commission may create a competitive atmosphere. Two examples: - Increasing the level of responsibility, giving recognition of achievement and providing monetary incentives. - Encouraging the staff to express their own ideas, which increases the feeling of participation into the organisation. [...]
[...] Zara and Mango are multinational companies, that is to say that they are implanted in many countries, but make most of the time different products, according to the country and the consumers they target. There are 2 kinds of direct competition, national and international. The main competitors vary according to the country, but they are 3 main multinational competitors: Benetton and Gap, who target more or less the same consumers. However, most of them have a larger range of products, like Benetton, Gap or Zara, who make products for women, men and children. [...]
[...] Advertising is maybe where there is the most important difference between the two: when Zara does not make a lot of advertising and does not spend much money on it, Mango bets on celebrities and graphic ads to make it even more famous and exclusive. For example, it spends about 2 milliards of euros in advertising for Europe, per year.[12] Place ZARA Zara's customers buy on its own stores, which have always have good locations (see promotion). The stores' arrangements are well studied and are almost similar in each one, which allow the consumer to keep up their landmarks. [...]
[...] If a distributing and selling in a short and possible company lowering selling and run to compete with reactions to the prices the delivers a fair Zara force to the the company's rest will follow rate of return company to higher own pricing this change. for its effort the prices. moves. and risk. Organizational Mango´s price are Other external Considerations: handled by the Factors: Actually, this Management must product line Must also market have an decide who managers in the consider economic boom and within the central. [...]
[...] As for behavioural, people who buy at Mango have a bigger income but buy the same way as Zara's consumers - Positioning[7] Concerning the age of the consumers, Zara focuses on the quite young people, between 17 and 25 years old. It is situated on the middle of the scale in relation to the kind of clothes in that there are both casual and formal clothes sold at Zara's. Indeed, they do not restrict themselves in a particular style but propose all of them, which give it a larger target. [...]
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