Question

Due to limited production runs, Zara's customers:

a. tend to delay their shopping until the products go on sale.
b. visit the stores more often.
c. buy products at discounted rates after a few weeks.
d. visit stores less often.
e. create a greater opportunity for increased markdowns and writeoffs.

Answer 1

Zara's customers tend to visit the stores more often due to the brand's limited production runs and frequent release of new items that align with current fashion trends.

Step-by-step explanation:

Due to limited production runs, Zara's customers are more likely to visit the stores more often. This behavior is because Zara's fast fashion model is designed to create a sense of scarcity and urgency among consumers. They release small batches of new, trendy items frequently, which often sell out quickly. This approach contrasts with traditional retail models that may have larger inventories and more predictable sales cycles.

When it comes to buying clothes, teenagers often follow social norms motivated by a desire to fit in and not necessarily driven by saving money. This social pressure can lead to frequent shopping visits to keep up with trends. On the supply side, while it is easier for producers to expand production over several years, Zara's model capitalizes on the short-term production capabilities, focusing on agility and responding to fashion trends rapidly, rather than expanding for long-term production increases.