002 Inditex Qualitative Analysis

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Inditex (fashion retailer) analysis from a qualitative standpoint.

Written post: http://stockpickinginsights.com/inditex-qualitative-analysis/

Let’s start with the basic premises of a fast fashion company:

• People like to look good. This applies to anything that others see: beauty products, a watch, shoes, an iPhone, you name it;
• People don’t like to wear the same clothes all the time. Think about when someone decides to buy new clothes because their current ones are “old”.

This is the root of the purchase. Inditex understood this and created a business model around it:

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