case study (Zare)


In 2003, Zara’s CIO must decide whether to upgrade the retailer’s IT infrastructure and capabilities. At the time of the case, the company relies on an out-of-date operating system for its store terminals and has no full-time network in place across stores. Despite these limitations, however, Zara’s parent company, Inditex, has built an extraordinarily well-performing value chain that is by far the most responsive in the industry. The case describes this value chain, concentrating on its operations and IT infrastructure.

Learning objective:

To show how one company makes brilliant use of multiple information channels: subjective and objective; qualitative and quantitative; and phone, face-to-face, e-mail, and modem. Also, to highlight the inside-out approach to selecting IT. To demonstrate how information and IT support a business model.

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Each team will read the above, discuss, and address the following questions. All teams will submit the assignment answers.

1-What information does Zara need to operate its business model?

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