Distribution channels play a significant role in the success of international marketing efforts. As explained in Cateora, Graham, and Gilly (2016), “Getting the product to the target market can be a costly process if inadequacies within the distribution structure cannot be overcome” (p. 444). For this discussion, read Case 3-4 from your text. Then, write a post addressing the following questions:
What are ways that Inditex ensures that “fast fashion” is truly fast?
Fast fashion is truly fast due to several factors. Due to the innovation and change in technology with the passage of time, the company can track shipped products. Changes in store design and improvements in the delivery process have helped the company make the difference regarding rapidness and efficiency. The distribution is integrated with the technology, and therefore, it seems fast (Baack, Harris, & Baack, 2013).
Why would a retailer introduce its online store country-by-country?
The retailer can introduce an online platform to integrate with target customers effectively. For Instance, it seems tough for the retailer to invest heavily on the local distribution channels. Online platform enhances the visibility of easy targeting and sales, which can also create a good impact on the company’s profitability. It is good for customers living in different countries, as the management can depict varieties of products in no time and wait for the customer’s responsibility. Thus, comparatively, it is better than the traditional distribution model.
Why was Inditex slow to embrace online sales when it is so tech-savvy in other ways?
Inditex embraced slowly to the online sales. It is a fact that it is a tech-savvy company in many other ways. The big reason is the buying behavior of customers. Customers want to navigate fashion products closely. Physical appearance is a big factor in the management of the company to make people increase buying process. Thus, despite having a low-cost option, the company has to retain the brick & Mortar business model to integrate with the needs of customers. Slowly, the company is looking to shape the behavior of customers (Baack, Harris, & Baack, 2013).
How does Inditex/Zara take advantage of international marketing channels and distribution?
Zara takes advantage of international channels of distribution regarding cost, rapidness, and customer reach. These distribution channels contain good international experience, as they are capable of reaching desired destinations at low cost. When entering into different markets, these international distribution channels are assisting to make successful entry and justify the targeting (Baack, Harris, & Baack, 2013).
Reference
Baack, D. W., Harris, E. G., & Baack, D. (2013). International Marketing. SAGE.
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