As Inditex looks to China for its next phase of growth, this Economist piece shows why the short supply chain has worked for the Spanish fashion company. But it also outlines problems ahead: Zara’s clothes are pricier than rival garments in China, and the era of throwaway fashion may be ending. Will the company have to adapt its business model for Asia, and what will that mean for its supply chain? Meanwhile, the founder is close to retirement, and the gulf between Inditex and its rivals looks set to diminish. An illuminating read for anyone interested in the fast-fashion business.
By Alex Lennane