Fast expansion leads to Zara's bad-look in quality
- Source: Globaltimes.cn
- [16:34 April 13 2011]
Too fast an expansion has impulsed famous Spanish clothing and accessories retailer, Zara, into quality scandals for seven times since August, 2009, the China Business News reported Wednesday.
In a recent testing report by Beijing Consumer Association, 57 sample products from famous brands in the market were tested. And Zara's had quality problems in fiber content, only that this time the company refused to offer justifications.
Expanding too fast has been regarded as the main reason leading to Zara's quality problem, according to experts in the clothing industry. "Low price plus expanding too fast will definitely lead to the decline in quality of a company's products. The company has to reduce the cost of materials and human resources as market costs increase," an unnamed expert said.
Zara inaugurated four stores in Shanghai in the first half of 2009, exceeding the total number of stores it opened in Shanghai since 2006 to 2009. The clothing company also aims to enter 42 cities in China from the current 30 in 2011.
According to Cui Hongbo, a senior partner of United Wisdom, in the short term, these tid-scaled scandals are not likely to affect its sales. "Consumers would rather care for the style of some clothes than their quality. Quality is a factor that can ensure the purchase instead of one that can stimulate purchasing behavior," Cui said.