Zara The Capabilities Behind The Spanish Fast Fashion Retail Giant Case Solution

1. Complete the VRIO assessment based on the various resources to determine their level of competitiveness from the four VRIO factors (yes or no). 

Management of internal resources, including Human resources, is valuable for the firm. Zara has leveraged its resources to gain a competitive advantage. The model that Zara is operating is providing fast fashion to customers before anyone else. The fast pace cannot be maintained without leveraging internal resources and capabilities. The practice is very crucial and valuable for business success. Although it's not very rare or difficult to imitate as many successful brands do the same. The brand name and reputation is also precious but again not very rare or difficult to imitate. Innovation is the most crucial component of business success and growth (Tohidi & Jabbari, 2012). It is also rare and difficult to substitute, and many business fail in this particular dimension. The supply chain is another critical area that makes or breaks a business. The right product should be delivered at the right time for business success (Abdul, Mia, Islam, & Csca, 2017). Zara has used that to control the supply chain elements, like maintaining the supply of basic clothes and their dyeing. The strategy of using sales specialists to gauge customer preference is also rare and valuable as few organizations go to that length to connect with the customers. The online sales strategy is pulling instead of push, and it is unique as customer follow the brand will entirely for its creative fashion and designs.

2. Provide a determination for each element as to the implication for competitiveness: disadvantage, parity, temporary advantage, or sustained advantage. Why?

1. Management of internal capabilities & resource: Temporary competitive advantage, it is valuable but not very difficult to imitate neither rare.