Is Zara an expensive brand? Is Louis Vuitton better than Chanel? Is Versace better than Gucci? Is Zara an expensive brand? All these questions and more should be popping into your head if you are thinking of investing in a designer handbag.
First, let us define luxury. Luxury is defined as having superior taste, good comfort, and lasting value. In the world of fashion, these are some of the most important traits needed to be successful in fashion. With regards to designer handbags, these three characteristics are very important. These brands provide their customers with great fashion experiences every time they wear their bags. So is Louis Vuitton better than Chanel or Versace?
The prices are indeed high. It is not that Louis Vuitton and other luxury brands are actually “expensive.” Instead, it is the quality and durability of the products that make them so expensive. Chanel and Versace brands do provide excellent quality clothes but compared to the prices of these luxury brands, their quality clothes last longer.
Is it true that Louis Vuitton and other luxury brands guarantee that their products will last longer than average designer clothes? Yes, they do. Their warranty covers materials used as well as labor and pay for return shipping. Compare this with many cheap knockoffs out there whose warranty does not extend to these things. Buying Louis Vuitton or any of the other luxury brands may cost you hundreds of dollars but buying cheap designer clothes that last less than a year is much cheaper.
Is it true that the largest apparel retailer in the world has a Chinese manufacturer? Yes, it is. Giehl clothing is owned by the Zara Group, which is owned by the Mexican clothing giant, Cifuro. This means that the Zara Group makes more money from selling zara blouses than they do from selling other designer brands. In fact, the company makes more profit from selling shoes and handbags than it does from manufacturing anything else.
Is it true that Louis Vuitton and other luxury brands have a vertical integrated supply chain? Yes, it is. This is how they obtain their precious silks, fabrics, and leather goods. If they did not use a vertical integrated supply chain system then they would be forced to purchase the products they sell from the factories of foreign sweatshops where the workers live in terrible conditions and earn pennies on the dollar.
The Zara Group’s business model is nothing new. They are using their wealth and power to leverage their brand to become a household name in the fashion industry. Their business model makes sense. It allows them to purchase materials and labor from overseas at a lower cost, which allows them to offer new designs every year at prices that everyone can afford. This is exactly what consumers want; they want to know that when they buy a product like a zara blouse, that they are buying high quality clothing at a great price.
Is zara a luxury brand worth one billion dollars? It most certainly is. When you consider the economic benefits that this retailer offers as well as the positive impact that a horizontal line of distribution has on labor standards in developing countries around the world, it becomes clear that there is no other retailer that can compete with the Zara Group on price, quality, reliability, or customer service.
The real question then becomes, does the economy allow consumers to pay a premium for a lower quality product at a cheaper price? While there may not be a legal requirement for a retailer to charge a more affordable price, if the consumer is provided with better service, better prices, and a higher level of service than their competitor, they will. This is why luxury brands have such a commanding grip on the fashion industry. Because they provide high fashion items at a relatively cheap price, there are millions of people that cannot afford to buy them and many who cannot afford to buy cheap either.
Is zara a luxury brand worth one billion dollars? At the current market value, it is not. However, just as they say that you get what you pay for, there is a very good chance that they will be able to withstand the economic downturn that is coming. In fact, they already seem to be under pressure from the retail industry and are adjusting their pricing to make more products available to their customers at a more affordable price. They already have one of the largest clothing lines in the world, allowing them to cater to those who want to look glamorous yet comfortable at the same time.
If they can maintain their current levels of production, they will continue to succeed. They have a history of success, starting out in Italy with only a few designers, and making it big in the fashion industry. Even with massimo dutti and uterq e pattaya, they are well above the competition and have several signature pieces that are sought after by women around the world. The demand is high and the brand offers something for everyone including teens.