Make or Buy Decision
MAKE
Lowering costs
Facilitating specialized investments
Protecting proprietary product technology
Improving Scheduling
BUY
Strategic flexibility
Lower costs
offsets
The Strategic role evolves over time
Labor-intensive products
The design and the final assembly of products
Upward migration
in the strategic role
Improvement
in the capabiliti
members and 350 million unique photos stored online.
The initial question of the paper is, “Is this M&A activity a right strategic move?” To conclude, this paper will study HP and Snapfish, motivations of M&A from HP’s point of view, online photo finishing industry analysis, SWOT analysis of HP in this industry, and several benefits of M&A. Then, the paper will present the conclusion.
“You need to have
five fingers touching the factory
and five touching the customer”
SCM
Flexibility
Responsiveness
ZARA have a short SCM.
So they have a ability to respond in quick changing
market’s Need.
1. About ZARA
In 1975, Zara was start in Spain.
Concept : Display the clothes after 2weeks show in Paris Collection.
Zara has the new designs amount of 10,000 every one year.
Low advertisement rate.
Achieves a higher net margin more than any other competitors.
Zara's Rapid performance
Zara keeps almost half of its production in-house.
Manufactures and distributes products in
-Zara's positioning is reasonable.
( different price each nation )
But zara's price policy is go to extremes. (100~250%)
Although many asians think high price products is good,
but many people already know the truth(original price).
So zara must adjustment price policy in asia.