Zara’s Marketing Activity - Essay Example

Ezra can make use of the Porters Five Forces as follows: Ezra can avoid relying heavily on imitations and instead come up with its original designs in order to counter competition. This enables differentiation of its product range thus increasing the competitive advantage. It also enables the company to retain its customer base since most of them will not easily switch to competitors items. Ezra can make use of PEST analysis as follows: Ezra can take advantage of the readily available raw materials to increase production quantities.

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In addition, deconsecrating production could reduce shipping costs that contribute to an increase in overall cost of production. Through analysis of its marketing mix, Ezra aims at minimizing all costs of production to enable selling its products at the lowest possible cost. It therefore captures the price sensitive customer with little regard to the product quality. This enables the company to counter competitors who produce expensive items.

Vigorous opening of new stores Ezra expands into new locations thus its customer base keeps growing. Some of the money used to open new stores could be used to advertise the company; such that he geographic locations which are hard to access can make purchases through the online platform. Proximity of Sara’s retail shops to high end designers Price-sensitive customers can switch stores easily.

Customers keen on quality and originality will ignore Sara’s products because they are imitations of inferior quality Window displays and attractive store designs Passers-by are attracted into the store based on the appealing displays and beautiful store designs. This reaches out to the people who are in close proximity to the store. Potential customers who are located in other regions cannot see this message. Word f mouth advertising Customers who encounter a good shopping experience spread the word thus indirectly influencing their audience to visit Sara’s stores.

This reaches out to a smaller audience in comparison to mass communication methods such as television and radio advertisements; which its close competitors capitalism on. One-stop shopping experience for the family Sara’s stores offer a wide range of clothing options for all age groups and genders encouraging families to make visits together. Conservative consumers may find it hard to walk into a store with members of the opposite gender or children to shop for inner-wear.

Occasional and renewed inventory The small and steady shipments make customers to buy items immediately and visit the stores regularly to check for new arrivals. Some customers are not thrilled by fads. Therefore, they would not buy an item that will run out of fashion after a short period of time. Centralized production centre This makes it easy to co-ordinate and control production activities It is highly risky in case natural disasters occur or there is a change in legislation. In addition, the company incurs shipment costs which increase the overall cost of production.