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Branding Strategy: Fast Fashion in China

Branding Strategy: Fast Fashion in China
This should contain a summary of the key academic literature on the topic.
(Evidence fast fashion global and china)
sources need at 30 from academic Literature and academic journals.
In order to ascertain the correct position of this matter, this study will seek to respond to the question; HOW fast fashion brands displacing the established Chinese casual wear brands?  Therefore, the research will focus on a number of objectives that it will seek to achieve by the end of the survey. The objectives that will be used include:
I.To analyze the current market trends of the clothing industry in China.
II.To critically examine the clothing industry of China in relation to Zara and H&M.– specific branding strategy
III. Survey ,Q. (think of some questions asking consumers ) why purchasing fast fashion . consumer behavior .consumer purchasing theory. — small Q. Open questions. 20 people.10-15 questions. Ask why & reason.
IV.To evaluate the profit margins of the biggest fast fashion brands and analyses the reason why the brand successful.
1. Introduction
The MSc International Business Dissertation is the culmination of your course and is intended to be a research based practical application of your studies to date, particularly the research skills developed in the M11BSS Research Methods workshops. If you have any queries such as “how can I choose a focused research topic?”, “how do I critically review and evaluate the relevant academic literature?”, “which are the most appropriate research methods to use?”, or “how should I apply for ethical approval?” you should refer to the relevant section of the M11BSS Research Methods module for guidance.
These guidelines are intended to inform you of:
•    What is expected of you
•    Support from your supervisor
•    The dissertation format
•    Research ethics
•    Confidentiality
•    Dissertation length
•    Submitting your dissertation
•    Assessment
•    Marking
These guidelines tend to use the terms “project” and “dissertation” interchangeably. This reflects common usage although strictly the dissertation is the written document that is based on the research whilst the project is the task of carrying out the research.
2. Expectations
2.1 Dissertations are Professional Documents
It is important to you, and us, that your final project report looks the part and is presented in a professional manner. The following requirements must be adhered to in the format of the final dissertation.
1.    The dissertation should be around 12,000 words in length. References and appendices are not included in the word count. Dissertations exceeding the maximum word count of 13,200 words will be penalised by 10%.
2.    The dissertation should be submitted for assessment electronically via Turnitin.
Students who wish to have a hard bound copy produced as a memento for themselves or for their family may still do so, but this must not be submitted.
3.    The font should be Arial and the minimum font size for the body of the text 12 point. One-and-a-half spacing must be used.
4.    Pages should be numbered consecutively through the main text, including photographs and/or diagrams which are included as whole pages.
5.    The title page should give the following information
(i)    The full title of the dissertation
(ii)    The full name of the author
(iii)    The legend “A project submitted in partial fulfilment of the
requirements of the Coventry University MSc International Business.”
6.    References and quotations should be correctly cited using the CU Harvard method .
7.    Diagrams, tables and pictures should be appropriately labelled.
8.    The dissertation must be submitted through Turnitin.
9.    ALL students must obtain ethical clearance for their work.  If primary data is gathered by the student ethical approval must be obtained before the commencement of the data gathering stage.
No mark will be awarded to work submitted without appropriate ethical approval. See https://ethics.coventry.ac.uk for the approval process.
4. Dissertation Format
All dissertations must contain the following (this is not meant to be a list of required chapter headings but a checklist of items which must be covered somewhere):
•    Front Pages
•    Abstract or Executive Summary
•    Background and Objectives
•    Literature Review (a critical review of the relevant academic literature)
•    Methodology
•    Data Collection, Presentation, Analysis and Findings
•    Conclusions
•    Recommendations (where relevant)
•    List of References
Front Pages
These should include
•    Title page
•    Student’s name
•    Supervisor’s name
•    Chapter headings with page numbers
•    List of tables
•    List of figures
•    List of appendices
•    Glossary
Abstract/ Executive Summary
This synopsis of about half a page calls for concentrated thought, and is typically written after the rest of the dissertation is complete.  It should state briefly, the research problem or research question being tackled, how the research was addressed and a summary of the findings of the research.
Background and Objectives
This should tell the reader what the project is about, so accuracy is important.  Be clear what the topic is about because it is upon this that judgement is made. It should contain the essential background material, the research questions, the research aim and the research objectives
Critical Review of the Academic Literature (The Literature Review)
This should contain a summary of the key academic literature on the topic. You should identify key authors in your chosen field, synthesise their contributions and critique their immediate relevance to your work. The links between the literature review and the research question(s) needs to be strong and clear. If you are unsure about this section there is a chapter explaining it in all of the key research methods texts (see for example, Saunders, Lewis & Thornhill (2012) Research Methods for Business Students).
Methodology/ Research Plan
This states how the research was conducted. The chosen research methods need to be linked together into a research strategy linked to the work being undertaken. The research method(s) used needs to be justified in terms of the research objectives and not for its own sake, i.e. is the research method chosen appropriate, and why?
Data Collection and Analysis
This is often the most substantial part of any dissertation (particularly if primary data are gathered).  It contains the structured analysis of your work.  It must be written carefully and logically, preferably under chapter and sub-headings to give guidance to the reader.
These should be fairly short and, rather than a summary, be an illumination of the main lessons or points that can be drawn from your findings. Conclusions are not the same as recommendations. Conclusions should lead to recommendations (where appropriate). For example a conclusion of a piece of work might be that employees are confused and ill-informed about company policy. An associated recommendation would suggest ways in which communications might be improved.
These should be relevant to the initial problems being investigated as well as those encountered subsequently as the dissertation progresses.  Recommendations must also be feasible and above all justified by the research.  Finally, the implications of implementing the recommendations must be addressed.
List of References
Place all references collectively at the end of the dissertation. Include only material that has been cited. The CU Harvard style is to be used for citations and referencing.
Appendices contain additional materials that support your dissertation: charts, graphs, tables, extracts, photographs.  If, however, any of these is crucial to the understanding of the main text then it should be placed where directly relevant.
The mark standard :
Literature Review and Referencing
How widely/deeply has the student read the subject?
Have the key seminal texts been mentioned?
Have the most relevant theories been covered?
Has there been critical analysis of the literature?
Is there a theoretical framework?
Is there a clear and logical need for the research proposed?
To what extent is the text adequately referenced?
Research Plan
Has the student justified their research plan in terms of perspective, design and data collection and analysis?
Have the issues of validity, reliability and generalisability been addressed?
Have the data collection methods been fully explained?
How sound is the sampling method and make up of the sample?
Have ethical issues been fully addressed?
Background and Objectives (1000 words)
Background (what’s more needed) –why interested in this one why is important
Fast fashion is a term used to describe cheap and affordable clothes which are the result of catwalk designs moving into stores in the fastest possible way in order to respond to the latest trends.
Fast Fashion concept originated in Europe.
Traditional clothing brand from Paris, London, Milan, New York Fashion Week T stage major release of the trend, continuing the product to the store, the counter goods, generally take several months, or even half a year of high-end brand.
According to the concept of fast fashion companies can in a very short time the product concept transformed into consumer goods, this process need about six weeks, and today, the fastest enterprise can be done within 15 days.
Fast fashion can be defined as a business model that combines four elements: (i) fashionable clothes mostly for consumers under 40; (ii) affordable prices in the mid-to-low range; (iii) quick response; and (iv) frequent assortment changes.
Fast fashion stresses quick turnover of stocks and reasonable prices. Swedish brand H&M, Spanish brand Zara, Japanese brand Uniqlo and US brand Gap, are often categorized as the “fast fashion” brands. This report will mainly analyses H&M and Zara — how they successfully created its own brand. Fast fashion brands have been so successful in China because their small inventories and quick turnover allow them to quickly adapt to changing consumer demands.
Fast fashion is through minimizing the lead time, as well as an essential part of the supply chain, so that the latest trend products faster into the sales process, to better meet the needs of consumers.
• Fast fashion meanings:
• 1, product update faster;
• 2, cheap;
• 3, keeping up with fashion trends
Fast fashion drawbacks
• “cottage” big, lack of originality force
Fabric is poor, rough work these brands become unavoidable embarrassment.
• plagiarism
To ensure the continued selling of products, fast fashion tend to follow the trend of keeping up with the trend rather than creating product. Original design is not the selling points of fast fashion, therefore, copying other fashion brand design has become one of the fast fashion brand “hidden rules.”
ZARA established in Spain in 1975 and is part of Inditex Group which is the world’s third ranked and Spanish first clothiers. It set up over more than two thousand of clothing stores in 56 countries around the world. ZARA loved global youth fashion, designer brand of superior design. The price is cheaper to allow civilians to embrace High Fashion. In 2006, ZARA into China, now has more than 150 stores in China’s major cities.
H&M founded by Erling Persson in Sweden in 1947. Today, H&M has more than 3000 stores around the world throughout 28 countries. Germany was the biggest market, followed by Sweden and the United Kingdom. They sales of clothing, accessories and cosmetics. H&M’s business concept is “best price, fashion and quality.” H & M has been success of Europe, thanks to the company emphasizes popular, quality and price of triple philosophy and policy of aggressive expansion. From 2007 to 2008, H&M began stationed in main cities of China, first in Shanghai and Nanjing. As H&M opened in Beijing Sanlitun store in the Pacific, the number of stores reached 200 in the Chinese market.
research questions(what kind of questions)
research aim —–(what are they ) -focus on area  branding strategy .fast fashion
and research objectives (how to achieve that)
The concept of fast fashion brands in China has raised a contentious issue as to whether the trend has shifted from the well developed casual wear brands or not. Some people argue that fast fashion brands are taking over the Chinese clothing marketing and replacing the already established Chinese casual wear brands (Chevalier &Mazzalovo, 2008). Some Chinese still argue that the casual brand is still dominating the clothing industry in China because it still has the highest number of customers compared to the firms like H&M, and Zara among others (Mitchell &Jolley, 2003). In order to ascertain the correct position of this matter, this study will seek to respond to the question; HOW fast fashion brands displacing the established Chinese casual wear brands?  Therefore, the research will focus on a number of objectives that it will seek to achieve by the end of the survey. The objectives that will be used include:
I.To analyze the current market trends of the clothing industry in China.
II.To critically examine the clothing industry of China in relation to Zara and H&M.– specific branding strategy
III. Survey and Questionnaire. About why people purchasing fast fashion, consumer behavior and consumer purchasing theory.
IV.To evaluate the profit margins of the biggest fast fashion brands and analyses the reason why the brand successful.
How well does the background set the scene?
How clear is the rationale for the project?
How clear and realistic are the objectives?
Critical Review of the Academic Literature (The Literature Review) (4000 words)
This should contain a summary of the key academic literature on the topic.
Evidence fast fashion global and china
(how much academic literature I need?)
How widely/deeply has the student read the subject?
Have the key seminal texts been mentioned?
Have the most relevant theories been covered?
Has there been critical analysis of the literature?
Is there a theoretical framework?
Is there a clear and logical need for the research proposed?
To what extent is the text adequately referenced?
Methodology/ Research Plan (1000 words)
(Is this the reason why I choose questionnaire as my research methods?)yes
(shall I explain the process of the research methods?)yes
(are there include primary and secondary methods here?) yes
How to do the ques.. Email and print ..
Has the student justified their research plan in terms of perspective, design and data collection and analysis?
Have the issues of validity, reliability and generalisability been addressed?
Have the data collection methods been fully explained?
How sound is the sampling method and make up of the sample?
Have ethical issues been fully addressed?
Data Collection and Analysis (4000 – 5000 or more) objective 1.2.3….
How successful was the data collection?
Is there an explicit data analysis strategy?
Has the data been analysed using appropriate techniques?
Is the data clearly and accurately presented in an appropriate format?
Is there a transparent link between the data and the findings?
Has the student attempted to apply the theories discussed to their findings?
Are the primary data research findings synthesised with the secondary data findings?
How well does the analysis address the research objectives?
With ZARA, H&M as the representative of fast fashion brand in common
1, ZARA and H & M success lies in captures the essence of the industry, in line with the current social situation, but also in line with the current and future trends.
Praised the “different”, “unique.”
2, it is very clear appearance of the image, product design and pricing of the three great unity.
“first-class image, second-rate products, third-rate prices.”
3, ZARA and H&M have greatly improved the lead time.
China’s garment industry is generally 6 to 9 months, international brands generally to 120 days, and ZARA usually 7-12 days, H&M clothes from the design to the shelves the time compression, the shortest only 21 days.
4, hungry marketing + “comprehensive and a variety of small amount”
Whether ZARA or H&M, will let you have less than a man-made supply, prompting consumers to quickly purchase.
Coats, sweaters, shoes, belts, evening dresses, sportswear, men’s and children’s clothing …… You can buy clothes in their stores for various occasions.
5, with advanced logistics and analysis systems, rapid feedback market, the latest designer leadership and market feedback to unite.
ZARA is to start with the consumer, and then feedback to the store, each store aggregated to the design, and then by adopting trafficking, production of new fashion. This design does not closely integrated production, so they can production in different countries, and local sales.
H&M use country and stores as a unit every day, each garment separately analyze sales performance, seize which products are selling immediate need to increase production, but also to the supply of goods more smoothly. The company advertised purchase products every day to cover consumers most need.
6, location choose the luxury goods for the neighbors, and this is regardless of cost, the most recent costs are very high. In terms of location of the shop, Zara is very picky, only choose the best location, surrounded by top brand. And different of lot of fashion brands, Zara hardly advertise, because they believe that their stores is the best advertising.H&M also the similar site requirements.Commercial complexes, shopping malls, commercial streets property, rental demand area of 1,000 square meters -5000 square meters. Site selection criteria to be the best location to shop and top fashion brands to neighbors.
7. Finally, buy hand-made, not to create fashion, but to create stylish, fast goods are part of the factors that mimic the inside, designers will add some inspiration, but even it have to pay at some point something similar knowledge expenditure property, but in this process in order to quickly seize the initiative in order to do that they think this is their cost, some brands may have tens of millions of euros in spending a year.
With ZARA, H&M as the representative of a different point of fast fashion brand
1, the production base
• ZARA’s production base in Spain, only the most basic models of 20 kinds of garment production and other low-cost locations in three continents.
• H & M does not own garment factory, manufacturing plant entirely outsourced to nine hundred factories.
2, advertising, publicity
• ZARA has maintained a consistent advertising and without discount, use the unique marketing, pricing strategy, but use their stores to advertise.
• H&M is covering a lot of advertising, advertising to consumers through direct visual, auditory enjoyment, the most straightforward and low-cost information passed on to consumers.
3, the pricing difference
• In terms of price, H&M is more competitive and attractive. H&M’s average prices are generally lower than 50-100 yuan to ZARA. The average price of H&M clothing store is only $ 18. (Equivalent to about 110 yuan)
4, design
In design terms, H&M emphasis with a solid color, such as black and white, simple and stylish design, and ZARA clothing color is more colorful.
ZARA has nearly 400 designers, the latest design is usually just for sale by some of the top brands, ZARA will promptly publish and these designs are very similar to the top brand fashion. This design approach can guarantee ZARA keep up with fashion trends.
• H&M focus on popular and create their own popularity. All H&M’s clothing design by eighty designers in their company. H&M is also use star power to create popular, they let celebrities design clothing, attract star fans. H&M also cooperate with the world’s top brands such as Versace, Marni, Alexanderwang, jointly launched specially designed clothing, jewelry limited edition, so that people who love luxury design can buy relatively inexpensive products.
5, in the future development
• ZARA into China from 2004 to enter the Hong Kong market. And in 2006, Shanghai set up shop. Now they has more than 150 stores in China.
• H&M into China from 2006, currently has more than 200 stores.
The success of ZARA
ZARA target customer base located in the 20-35 years old, in this age when consumers yet highly sensitive, but it does not have capabilities to buy top clothes and accessories brand .ZARA meet consumer demand in this part of the guests.
– Quick imitate
Has more than 200 professional designers, launched a year of merchandise than 12,000 models, designers average of only 25 years old, they are ready to shuttle in Milan, Tokyo, New York, Paris and other fashion powerhouse to watch fashion shows, to capture design and the latest trend, and then the simulation to emulate the introduction of high fashion sense of fashion items.
Has a stain, design, tailoring and garment processing of a series of equipment; more than 20 of its own factories in Spain and has high technology and production of confidentiality; fast and stable supply of raw materials (Europe); more than 400 cooperative factories.
About 20 km underground conveyor transport connection ZARA factory goods, highly automated, with the most advanced systems; 3/4 of goods by a freight contractor from the logistics center by truck to European chains, chains for remote areas to aircraft transport, to ensure time. Inventory turnover is about 12 times per year, other operating class garment enterprises can only reach 3 to 4 times, most domestic garment enterprises in China is 0.8 to 1.2 times.
Restock shelves twice a week, once every three weeks we should comprehensive replacement of old, the shop can be synchronized global update is completed in two weeks; each store an electronic cane, either timely inspection of goods, and orders can be customized according to sales, reduce inventory and discount sales of probability.
Independent stores ZARA generally choose commercial street of the Bottom position, a large area outside the building wall forming a distinctive brand image through design. Huge store appearance form a natural billboards.
Window design
Zara window model pose and gaze came to take care of customers in all directions, wear new clothing fashion season, providing popular guide. Height are designed in transparent space, combined with structured lighting to create a fantastic visual experience. Light bits with different angles, demonstrating the fast-paced life of urban women taste of luxury.
Highest guiding strategy is to compress time, fast, drastically reduced the industrial chain, only control of the whole industry chain will be cheaper products, products will be fashion, when they put the chain 6+1 extreme compression, labor costs did not matter.
This is reflected in an extreme case is: ZARA in a radius of 200 miles of the Spanish production base, there focused 20 centers of cutting and dyeing clothes, 500 foundry sewing factory. ZARA spent billions of euros of excavation for underground pipelines with high pressure air transport fabric, a substantial increase in the efficiency of logistics between plants.
The success of H&M
The brand purpose is Right balance between fashion, quality and price at the right time.
H & M also by the following aspects to grab their customers and to improve their price advantage:
Improve lead times to reduce costs: the preamble refers to the time from design to put the clothing on the counter to sell the time. China’s garment industry is generally 6 to 9 months, international brands generally to 120 days, while H&M clothes designed to compress from the shelves just three weeks time to a minimum. Less one day lead time, costs will be reduced a little.
“Variety of small amount” strategy: Because H & M’s products are a variety of small amounts, so consumers Should not buy the first time, there is likely to buy risk. Since almost all the sold out shortly after this mentality of consumers, the company’s cargo OTC.
Cost of transport: the carriage of goods, with competitors using different air ZARA way, H & M as a low-cost means of transportation. Products from European suppliers are transported by rail, while goods from Asia is by sea, as from central warehouses to the distribution center of goods, H & M transported using trucks.
In addition, H & M clothing sales through research, innovative use of two-speed parallel procurement of dual-supply chain management. For style changed little, the long lead times of conventional basic clothing, H & M to their production in the lowest production costs in Asia to reduce costs as much as possible; for those fashion and clothing trends, which is characterized by small-scale production capacity Moreover epidemic strong need for rapid production, fast shelves, H & M put such products on the European region. Through this clever design, low-cost Asian producers supply chain and European production to keep pace with the rapid response supply chain, H & M easily play time and costs, while maintaining the rapid response to fashion, clothing prices than its competitors ZARA 30% -50% cheaper, and in a low price, while still able to maintain gross margins at about 53%.
H & M will also reasonable pricing, can be seen everywhere in the store only about 20 yuan of earrings, necklaces, bracelets, 100 yuan a variety of T-shirt, shirt, 200 to 400 yuan fine dress and little jacket, This is for the young and trendy consumers, is indeed a reasonable price. More importantly, these garments and accessories are the season’s most popular and new products similar to those of the world-famous clothing brand launched for those who aspire to big-name designer products and their prices can not be accepted by young consumers He said, H & M brand clothing is the best choice. Some high-income can afford to buy luxury goods consumers are willing to buy clothing H & M’s clothing and luxury fashion mix, this is a popular performance.
In addition to the above factors, bulk purchases, few middlemen, efficient distribution systems, cost control systems, staff awareness of cost control training, which H & M are also the main reason for the company to maintain parity policy. Due to cost control properly, not only improve the company’s price competitiveness, but also a steady stream attracted a large number of consumer groups.
H & M fashion deemed to perishable food, they must always keep it fresh. In an effort to minimize the amount of inventory, and make a steady stream of new stock supply. New ideas designers must quickly be converted to dress, so that consumers can quickly buy clothes shelves, took to the streets to show still a fresh, fashionable clothing. To achieve this efficiency, the company worked closely with its suppliers, and strictly control the entire process, while playing the role of importers, wholesalers and retailers, as far as possible to reduce the number of products handled, so the process more simple, more affordable product prices .
Strong brand strategy has become H & M to highlight the competitive advantage. H & M brand and advertise their products in the short and long term through all promotional activities. For example, through the website publicity and financial information campaigns to consolidate the brand. H & M, one of the most active stock was trading in the NASDAQ OMX Nordic stock exchange. By the end of fiscal 2008, H & M has a market capitalization of the Stockholm Stock Exchange, the company’s largest shareholders amounted to 183,000 people. H & M’s financial publicity with our other propaganda the same pattern. By providing accurate information in press conferences and conference calls and other occasions, reporters and analysts will be able to get the information they need to work, but H&M brand has been consolidated. In addition, the publicity the site, mainly to customers deliver business philosophy. Inviting them to visit the store, shop online or through mail order catalogs, and website promotion is also open to the public, media, job seekers, financial markets and shareholders, in order to expand the brand’s influence.
In the promotional aspect, H & M clothing company promotional tool is also unique: First, invite the world’s top models do product spokesperson, and shooting print ads. Most of these models are as well-known brands such as Louis Vuitton, Chanel, Gucci endorsement, in virtually enhance the H & M brand. Second, every year, in cooperation with the international famous brands, offering a limited edition product.
And after their collaboration with H & M, H & M stores in just a few hundred yuan can buy This limited edition shoes, which for ordinary consumers to form a huge attraction.
Conclusion and rec   1000- 2000

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