400 words executive summary, and 250 words 3 questions each.
1. Map out Zara's value chain and explain how they create value.
2. Analyze Zara's resources and capabilities. Which resources and capabilities provide them a sustainable competitive advantage and why?
3. How specifically do the distinctive features of Zara's business model affect its operating economics? Specifically, compare Zara with an average retailer with similar posted prices. In order to express all advantages/disadvantages on a common basis, you may find it convenient to assume that, on average, retail selling prices are about twice as high as manufactures'' selling prices.