Task1: Supply Fast Fashion
The fashion industry has been changing at a very fast rate. For example, in the past, most cloths used to be customized while currently only between 5-10 percent are customized. In light of this, businesses in the fashion industry must remain a breast with the changes in this market and also be competitive. In this regard, businesses in this industry must be creative in order for them to remain competitive in this market.
In order to remain competitive, businesses in the fashion industry have continuously adopted innovative technologies, designs, and manufacturing processes in order to remain competitive. On the same breath, they have also streamlined their distribution channels in order to ensure that customers can easily access their products. Similarly, enterprises in the fashion industry have modernized their retail stores by making them more attractive and welcoming to customers.
In terms of designs, the businesses in the fashion industry have reduced the number of cloths that are customized from 20% to between 5 and 10%. Accordingly, businesses now prefer to make cloths for mass consumption. Similarly, there has been a trend of reducing the seasonality in the introduction of fashionable cloths. In the past, fashion used to be based on the two major climatic changes; summer and spring. Currently, there has been a change in this trend. Major cloths manufacturing companies such as H&M and Zara are now continuously introducing new fashionable cloths throughout the year. In addition, these companies do not repeat past fashion designs, rather, they improve on these designs or introduce totally new designs (Choi, 2014).
Concerning manufacturing, the cost of this process determines the ideal location for these activity. For example, H&M has its suppliers from all over Europe and Asia who enable the company to access many raw materials needed in the fashion industry at a low price. In addition, companies in the manufacturing industry consider the lead time needed to complete an ordered batch. For high volume fashion cloths, the companies require a long lead time. However, companies such as Zara, which supplies a significant proportion of it materials enables it to be competitive by reducing its lead time.
Companies in the fashion industry also have an elaborate distribution channel. For example, Zara and Benottin have an automated warehouse system. H&M on its part has a sophisticate stock management which it uses to control its inventory levels and provides insight on the items that the company should purchase (Choi, 2014). Finally, most fashion business have uniquely designed their retail stores in a manner that they are spacious and attractive. This large spaces enables shoppers to easily trace the items that they are looking for and to be comfortable while shopping.
The quick adaption of modern designs and the failure to repeat outdated designs. Generally, the fashion industry is mainly marked with introduction of stylish designs regularly. In this regard, the constant introduction of new cloths by H&M and Zara enables these two companies to stay ahead of competition. This factor is also supported by the fact that unlike competitors who mainly introduce new cloths twice an year. The continual production and sale of the company’s items will enable them to increase their market share and dominance in the industry.
Choi, T.-M. (2014). Fashion retail supply chain management: A systems optimization approach. Boca Raton [u.a.: CRC Pr.