Abstract

The case discusses the supply chain practices of three of the leading apparel retailers in Europe – Zara, Hennes & Mauritz, and Benetton. Zara, one of the pioneers of fast fashion, developed a fully integrated supply chain model. The processes like design, production and distribution were carried in-house and it owned and operated all the stores. H&M, on the other hand, designed and distributed the garments, and owned the stores, while the manufacturing was completely outsourced. Benetton designed and manufactured all the garments, but did not own any stores. The case details the design, production and distribution practices of the three companies.

Learning Objectives

The case is structured to achieve the following Learning Objectives:

• Study the supply chain practices of Zara, H&M and Benetton
• Understand the importance of supply chain in the apparel industry
• Analyze the strengths and weaknesses of different types of supply chains, and the linkage between strategy and the choice of supply chain type
• and Evaluate how the three companies, through efficient supply chain management, were able to hasten the product delivery process.

Keywords

Supply Chain, Zara, H&M, Benetton, Design, Production, Distribution, Dual Supply Chain, Central warehouse, Distribution center, Store management, Franchise operations, Fashion industry, Emerging trends, Replenishment, Third party suppliers, Restocking