Inditex Vs.H&m

inditex

H&M

Competitive advantages and strategies

Opening new markets, often through a joint venture with a local partner. .When it settles, and knows the country, the implementation starts, slowly but surely.

Last year the company achieved a turnover of 13.793 million euros

Inditex has more stores.

Diversification strategy.

Renovations are nearly constant ratio, there is always a changing concept teaches local.

Its second brand COS (equivalent to Massimo Dutti) only has a sales network of fifty local.

H & M's net sales reached SEK 109,999,000 (12,514,000 euros).

Their advertising campaigns are constants.

The demand price is an essential part of the strategy.

They use the name of great designers .

Keys to their success in the market

Fashion is the fundamental reason that the flagship brand of the company  stays ahead of its main competitor.

The ability to offer modern and classic clothes in a fast way.

They please not only teens, but also "their parents".

Feeds the shelves of its stores with new designs continuously,

strategy of annual campaign.

focuses its marketing efforts on one or two campaigns per year.

Customers come attracted by the designs of designers brands.

Plans for growth and expansion         

New stores will be open in Asia.

Their online presence will increase.

Expansion efforts abroad instead of locally since the Spanish domestic consumption has been on a decline.

Spain will reduce the group size to 20% at the expense of the development of the Asian market.

H&m is growing with quality, sustainability and high profitability.

It will be  growing with new stores the world over.

H&M’s growth target is to increase the number of stores by 10–15 percent per year, and at the same time increase sales in comparable units.

The strong pace of expansion continues into 2014 with a planned 375 new stores net. The highest rate of expansion will be in China and the US.

There is also great potential for expansion in other markets such as Russia, Germany, Italy and Poland.