Dual Supply Chain - 1824 Words

Introduction Benetton is an Italian brand created in 1965 by Benetton family. Its core business is clothing and fashion wears. The Benetton group is composed by four brands specialized in different segments: †¢ United Colors of Benetton: which is a global brand well known all around the world present in different sectors like eyes wear, perfumes, accessories and every day wear. †¢ Undercolor of Benetton: which is an extension of the united color of Benetton .this brand is specialized in undergarments. †¢ Sisley is another brand of Benetton group to answer to fashion wear request. Sisley makes a special attention on design, fabrics and new ships. †¢ Play life this brand is specialized leisure wear.†¦show more content†¦It however had a few drawbacks. It required the network partners to place most of the orders around eight months in advance. At that time, most of the stores did not have much idea about the upcoming fashion trends. The feedback from the customer also was not incorporated. Problems of Benetton on the 1990’s During the 1990’s, the fashion market had changed. Offering good quality products and presenting a â€Å"cool† brand image was not enough to maintain a leading position on the fashion industry. Indeed, other competitors like ZARA and HM had appeared. These companies introduce a new concept which is the â€Å"fast fashion†. Each brands offered the opportunity for customers to discover an average of 12 collections per year. In order to guarantee a good â€Å"rotation† of their stocks, they created specific Supply Chain systems. After that, the price of clothes was affordable to seduce the most potential customers possible. Finally, for these low prices, these brands offer trendy product. Design began having a strategic importance. For instance, ZARA had approximately one hundred designers to create ZARA products. Comparatively, Benetton had an old Supply Chain management. In fact, the company only produced two collections per year. Their clothes had a too classic way: Bright colored Clothes .Price of Benetton’s clothes was high, compared to HM and ZARA products. The other big issue of the company is their way to commercialize heirShow MoreRelatedDistribution Channels4793 Words   |  20 Pageswhom they sell.1 COPYRIGHTED MATERIAL There are several types of participants that make up a distribution channel, so let’s begin by listing them, as in Chapter 1 with supply chain participants. You will notice some overlap because, as also previously mentioned, retailers belong to several (or many) different supply chains, each group focused on making and marketing different products. Retailers The characteristic that sets a retailer apart from other members of its distribution channelRead MoreDist Channel3946 Words   |  16 Pagesdistribution channels facilitate the flow of goods from a producer to an organizational customer. B2B can also consist of – * producer to agent to buyer and next, * producer to agent to distributor to buyer Multiple Marketing Channels – Dual Distribution – Network that move products to a firm’s target market through more than one marketing channel. Conventional distribution channel v/s vertical and horizontal distribution channel A conventional distribution channel is a channelRead MoreFast Fashion3100 Words   |  13 PagesBergen 1997). However, results of an exploratory study (Birtwistle et al 2003) shows that the advantages of quick response strategy have not been fully understood by fashion retailers. They tend to implement quick response strategy for internal supply chain management. Moreover, Iyer and Bergen (1997) tried to use formal model to examine the impact of quick response strategy on fashion retailers. Although there is companies already adopted both strategies, limited attention has been paid to theRead MoreMaterial Flows And Inventory Policy During Military Scm1484 Words   |  6 PagesJoshua M. Lenzini in his article Anticipatory Logistics: The Army’s Answer to Supply Chain Management, â€Å"Supply chain management is similar for both corporate and military organizations. However, some significant differences are evident in these models. The first is the absence of maintenance on the corporate model. Another is that transportation, distribution, and warehousing are unidirectional in the corporate model but dual directional in the military model (see Figure 3, Lenzini, 2002)).† This backwardRead MoreA High Level View Management Structure1659 Words   |  7 Pagesrecognized as the Supply Chains. Therefore, the value of DLA Troop Support is to procure the items, with the best quality at the best price possible and delivered to whatever location needed in the planet. Since the mission is to have no profits in this process, the charges for DLA’s services is based on a concept called Cost Recovery Rate (CRR). This is to only add the costs incurred in procuring and delivering the product/service. How is the value chain managed? Each Supply Chain has a directorateRead MoreMarketing Mix Of Body Spray Essay1070 Words   |  5 Pagespersonal care product, which in most cases convenience products purchased using a routinized response. AXE body spray is also sold in many retail outlets, including places like Walmart, Kroger, and Walgreens (Walmart; Kroger; Walgreens). Also, AXE uses dual distribution to distribute its body spray, which is the use of two or more marketing channels to distribute the same products to the same target market. They do this by directly selling their products on their website, thus using a producer to consumerRead MoreWhat Is Linkage Between Upstream Supply Chains? Essay2024 Words   |  9 Pagesfurther improve the flexibility. To achieve this objective, the companies have to ensure each component in their supply chain must be designed with respect of flexibility (Borhanazad and Tran, 2012). Relevant theories reveal the linkage between upstream supply chains must be well-maintained thr ough the sourcing strategy. The sourcing strategy is determined as new evolution in supply chain management in comparison with traditional sourcing method. Previously, the companies made sourcing decisions throughRead MoreDual Approach For Information Technology Strategic Management Essay1465 Words   |  6 Pages we develop a framework for analyzing the contribution of IT in the logistics sector. We conclude that IT will contribute to competitive advantage in limited cases and that most often the â€Å"strategic necessity† hypothesis will apply. We suggest a dual approach to information technology strategic management: on one hand, the firm should develop the capability to implement efficiently some â€Å"standard† solutions on an opportunity-based approach; on the other hand, it should embed its IT system in theRead MoreArchitectural Knowledge And Modular Knowledge1489 Words   |  6 Pagesarchitecture (Henderson and Clark,1990). It also defines how different activities interface in the supp ly chain. The architectural knowledge constitutes the composition embedded within the organization. Modular knowledge contains the individual characteristics and functions in different components respectively. The knowledge of different types of product and innovation divides the different components in the supply chain. Distinguishing it from modular innovation, which is the innovation that has impact in componentsRead MoreSUPPLY CHAIN MANAGEMENT-LUCENT TECHNOLOGIES Lucent Technology was an American multinational company2200 Words   |  9 PagesSUPPLY CHAIN MANAGEMENT-LUCENT TECHNOLOGIES Lucent Technology was an American multinational company headquartered in New Jersey, in the United States. It was established through the divestiture of the ATT Technologies which included Western Electric and Bell Labs. Lucent Technologies are a part of well renowned USA based company American telephone and Telegraph Corporation or ATT Corporation. Lucent technologies deal in manufacturing of communication equipments. Later in 1996, it became an independent