MINOR PROJECT REPORT SUBMITTED TOWARDS THE PARTIAL FULFILLMENT OF

BACHELOR OF BUSINESS ADMINISTRATION

MINOR PROJECT REPORT

ON

Topic of project
Batch: 2021-2024

Submitted By: PROJECT GUIDE

Name of student: Vaibhav Gupta Name: Mrs. Tanya Chatwal
Enrollment No: 6524001721 Designation: Assistant Professor

Trinity Institute of Professional Studies

Affiliated To Guru Gobind Singh Indraprastha University, New Delhi
 CERTIFICATE

TO WHOM SO EVER IT MAY CONCERN

This is to certify that the project work “Comparative Study Between Zara and H&M” made
by: Vaibhav Gupta, BBA, SEC.B, Enrollment no. 6524001721 is an authentic work carried
out by him under the guidance and supervision of Mrs. Tanya Chatwal.

The project report submitted has been found satisfactory for the partial fulfillment of the degree
of Bachelor of Business Administration.

Project Supervisor

Signature

Name
 ACKNOWLEDGEMENT

It is in particular that I am acknowledging my sincere feeling towards my mentors who

graciously gave me their time and expertise.

They have provided me with the valuable guidance, sustained efforts and friendly approach. It
would have been difficult to achieve the results in such a short span of time without their help.

I deem it my duty to record my gratitude towards the Project supervisor __Name_____ who
devoted his/her precious time to interact, guide and gave me the right approach to accomplish
the task and also helped me to enhance my knowledge and understanding of the project.

Signature:

Name of Student:

Enroll. No:

Course:

Shift/Sem/Sec:
 DECLARATION
I hereby declare that the following documented Project report titled “Minor Project” is an
original and authentic work done by me for the partial fulfillment of Bachelors of Business
Administration degree program.

I hereby certify that all the Endeavour put in the fulfillment of the task are genuine and original
to the best of my knowledge & I have not submitted it earlier elsewhere.

Signature:
Name of Student:
Course:
Class & Shift:
Enrolment No.:
 Table of Content

S. NO Particulars Page No.

1. Chapter-1 (Introduction & Literature Review) 1-15 approx.

➢ Introduction (Topic)
➢ History (Topic)
(Theoretical concept about the topic such as Importance, Functions, Types
Roles) etc.

2. Chapter-2 (Research Objectives & Methodology) 15-30 approx.

➢ Research Objective of the study
➢ Research Methodology
➢ Research Design
Types of research design
➢ Data Collection
Sources of data collection (Primary & Secondary)

3. Chapter-3 (Data Processing, Analysis & Interpretation) 30-45 approx.

➢ Data processing
➢ Analysis of the problem under study
➢ Interpretation of the result

4. Findings 46
5. Limitations 47
6. Suggestions & Recommendations 48
7. Conclusion 49
8. Bibliography 50
9. Annexure 51
INTRODUCTION
 ZARA
Zara is a Spanish fast fashion retailer brand. It is focused on
design, production, distribution, and sales through its extensive
retail network. Zara’s products range from clothing, accessories,
shoes, swimwear, beauty, and perfumes.

The company was founded in 1975 by Amancio Ortega and Rosalía

Mera. Zara is the main brand of the Inditex group, the world’s
largest apparel retailer. The fashion group also owns brands such
as Massimo Dutti, Pull&Bear, Bershka, Stradivarius, Oysho, Zara
Home, and Uterqüe. Zara manages up to 20 clothing collections a
year.

Zara has presence in 202 markets through its online platform and
it has over 7,000 stores in 96 markets. And it employs 174,000
workers around the world.
 H&M
H & M Hennes & Mauritz AB (H&M) is a Swedish multinational
retail-clothing company, known for its fast-fashion clothing for
men, women, teenagers, and children.

H & M Hennes & Mauritz AB comprises six independent brands:

H&M, COS, Monki, Weekday, Cheap Monday and & Other Stories.

Founded in 1947, H&M’s design team creates sustainable fashion

following a low-cost principle. The collections include everything
from dazzling party collections to quintessential basics and
functional sportswear – for women, men, teenagers and children,
and for every season or occasion. In addition to clothes, shoes,
bags, jewelry, makeup, and underwear there is also H&M Home –
fashionable interiors for children and adults.
HISTORY
 ZARA
Zara was founded by Amancio Ortega and Rosalía Mera in 1975 as
a family business in downtown
Galicia in the northern part of
Spain. Its first store featured
low-priced lookalike products
of popular, higher-end clothing
and fashion. Amancio Ortega
named Zara as such because
his preferred name Zorba was
already taken. In the next 8
years, Zara’s approach towards
fashion and its business model
gradually generated traction
with the Spanish consumer.
This led to the opening of 9 new
stores in the biggest cities of
Spain.

In 1985, Inditex was

incorporated as a holding
company, which laid the
foundations for a distribution
system capable of reacting to
shifting market trends
extremely quickly. Ortega
created a new design, manufacturing, and distribution process
that could reduce lead times and react to new trends in a quicker
way, which he called “instant fashion”. This was driven by heavy
investments in information technology and utilising groups
instead of individual designers for the critical “design” element.

In the next decade, Zara began aggressively expanding into global

markets, which included Portugal, New York (USA), Paris (France),
Mexico, Greece, Belgium, Sweden, Malta, Cyprus, Norway and Israel.
Today, there is hardly a developed country without a Zara store.
Zara now has 2,264 stores strategically located in leading cities
across 96 countries. It is no surprise that Zara, which started off
as a small store in Spain, is now the world’s largest fast fashion
retailer and is the flagship brand of Inditex. Its founder, Amancio
Ortega, is the sixth richest man in the world according to Forbes
magazine.

Today, Inditex is the world’s largest fashion group with more than
174,000 employees operating more than 7,400 stores in 202
markets worldwide including 49 online markets. The revenues of
Inditex was USD 23.4 billion in 2019. The other fashion brands in
the Inditex portfolio are:

Zara Home: Home goods and decoration objects founded in 2003.

Operating in 183 markets, 70 of them with stores.

Pull & Bear: Casual laid-back clothing and accessories for the
young founded in 1991. Operates in 185 markets, 75 of them with
stores.

Massimo Dutti: High end clothing and accessories for

cosmopolitan men and women acquired in 1995. Operates 186
markets, 74 of them with stores.
Bershka: Blends urban styles and modern fashion for young
women and men founded in 1998. Operates in 185 markets, 74 of
them with stores.

Stradivarius: Casual and feminine clothes for young women

acquired in 1999. Operates 180 markets, 67 of them with stores.

Oysho: Lingerie, casual outerwear, lounge wear and original

accessories founded in 2001. Operating in 176 markets, 58 of them
with stores.

Uterqüe: High-quality fashion accessories at attractive prices

founded in 2008. Operating in 158 markets, 17 of them with stores.

Apart from fashion brands, Amancio Ortega has also set up a

global real estate investment fund, Pontegadea Inversiones, which
manages corporate offices across 9 countries including United
States (Seattle), Britain (London), France (Paris), Canada, Italy,
South Korea. These corporate properties house large companies
including Facebook, Amazon and Apple, and prestigious luxury
and retail brands.
 H&M
In the year of 1946 the 30-year-old Swedish entrepreneur Erling
Persson goes on a road trip through the USA. In New York, the idea
of selling women’s fashion in a new way is born.

The following year, 1947, Persson opens a new womenswear store in

Västerås, Sweden. He calls it Hennes, Swedish for “Hers”.

The soon-to-be-famous Hennes logotype is designed by the

founder himself. A first store in Sweden’s capital, Stockholm,
opens in 1952. When a second Stockholm store opens in 1954, the
popularity is already at fever pitch.

That same year, Hennes takes out a full-page colour ad in

Sweden’s largest daily; a pioneering belief in the power of
marketing.

The 1950s closes with the opening of a flagship store in the first of
five skyscrapers built in the Hötorget area in central Stockholm.

In 1968, Hennes acquires the Stockholm-based hunting apparel

and fishing equipment retailer Mauritz Widforss, and the name is
changed to Hennes & Mauritz. This is the start of offering of men’s
and also children’s clothing, leading to H&M offering clothes for
the entire family.

The expansion is rapid: by 1969, Hennes & Mauritz has 42 stores.

During these decades, the international growth begins. Norway
comes first, followed by Denmark, U.K., and Switzerland.

In 1973, Hennes & Mauritz starts selling underwear. The same

year, ABBA-member Anni-Frid Lyngstad becomes the first
“supermodel” to be photographed for the company, wearing make-
up from the new cosmetics range.

The growth pace increases even further, with five or six new stores
opening every year.

In 1974, Hennes &

Mauritz is listed on the
Stockholm Stock
Exchange. The same
year, the stores are
rebranded with the
abbreviation “H&M”.

In the late 1970s,

modern teenagers get
their own version of
H&M as the Impuls
concept is launched,
inspired by U.S. denim
stores.

In the 1980s, the

foundation is laid for
the upcoming global
expansion. New
openings include the
first H&M stores in
Germany and
Netherlands.

Long before the term e-commerce was even born, sale of H&M
fashion move into the customer’s homes through the acquisition
of Swedish mail order company Rowells in 1980.
In 1982 – 35 years after the start in Västerås, Sweden, the company
gets its second-ever CEO, as Erling Persson steps aside to make
room for his son, Stefan Persson.

In the 1990s, traditional newspaper advertising is largely replaced

by large city billboards. The choice of models signals that H&M
has become a truly
international brand.
Super models are used
next to famous actors
and artists wearing
H&M clothes. The
fashion speaks for
itself.

The famous annual

Christmas underwear
campaigns are
launched in 1990,
featuring super model
Elle Macpherson.
The campaigns gain a
lot of media attention.

Throughout the 1990s,

models from “The Big
Six” – Elle
Macpherson, Cindy
Crawford, Naomi
Campbell, Claudia Schiffer, Christy Turlington and Linda
Evangelista – are used in H&M’s campaigns.

In 1998, H&M starts offering online shopping. The first online

market is Sweden.
The expansion of H&M in Europe continues. By the end of the
decade there are H&M stores in several European countries
including France, where the first H&M store opens 1998 in Paris.

In 2000, a major H&M flagship store opens on Fifth Avenue in New

York. The opening of the first store in the U.S. marks the start of
the expansion outside Europe.

H&M and Karl Lagerfeld take the world of fashion by surprise in

2004, teaming up to show that design isn’t a question of price.

Since this first designer collaboration fashion giants like Versace,

Roberto Cavalli, Alexander Wang and Stella McCartney have been
invited to make their design accessible to fashion fans globally.

The expansion of online sales continues, initially to European

countries.

H&M goes far east, opening the first stores in Shanghai and Hong
Kong in 2007.

2007, marking 60 years after the first Hennes store opened, COS is
born. The honour of hosting the first store goes to London, UK.

Weekday, Monki, and Cheap Monday are welcomed to the H&M

group through the purchase of FaBric Scandinavien AB.

Home styling becomes more fun thanks to the launch of H&M

Home in 2009.

In 2000 Rolf Eriksen is appointed CEO. Karl-Johan Persson takes

over as CEO in 2009.
SUSTAINABILITY
GOALS
AND STRATEGY
 ZARA
Zara’s Join Life collection and the eco-stores are two
examples that underline the brand’s unwavering focus on
sustainability and improved customer experience. These
developments have been further enriched by a range of new and
innovative projects, such as the installation of clothing recycling
containers in-store and a scheme providing for free at-home
collection of used garments to complement the delivery of online
orders.

Zara has committed to eradicating all releases of hazardous

chemicals throughout its entire supply chain and products by
2020. Furthermore, Zara became the biggest retailer in the world
to raise awareness for the Detox Campaign, and switched to a fully
toxic-free production.
 H&M
H&M’s vision is to lead the change towards a circular and
renewable fashion industry while being a fair and equal company.
Using their size and scale, they are working to catalyse systemic
changes across their own operations, their entire value chain and
the wider industry. In this way, H&M can continue to engage their
customers and provide great fashion and design choices — today,
and into the future. They actually focus on circular economy,
responsible use of water and climate change.

” Big change requires bold actions and the courage to aim high. At
the same time, we have to be humble to the challenges our planet
is facing. So if we want to make real change we have to be brave,
push the boundaries and not be afraid to fail” Anna Gedda, Head of
Sustainability, H&M Group

H&M vision and strategy apply to all their brands while allowing
each of them to maintain their own brand identity. While their
business has a long and well- established history in sustainability,
projected population growth figures and natural resource levels
make it clear that a more focused approach to sustainable fashion
is needed. Their role, as leaders in the industry, is to innovate,
influence, collaborate and lead the way towards a truly sustainable
fashion future. This vision is not only necessary from a social and
environmental perspective, but it also makes good business
sense. Long-term investments in sustainability provide us with
long-term business opportunities that will keep H&M Group
relevant and successful in the rapidly changing world.
RESEARCH OBJECTIVE
&
MEATHODOLOGY
 RESEARCH OBJECTIVE OF THE STUDY
PURPOSE OF THE STUDY:

The purpose of the study is to measure the comparison difference between

ZARA & H&M.

OBJECTIVES:

• To study the marketing of ZARA & H&M and also about the current
condition of both the brands.
• To find out how both the brand holds the market and what are the areas
within which both the brands can improve.
• To study the clothing industry in India with respect to ZARA & H&M
clothes.
• To get the customer, dealers and retailer’s perception.

SCOPE OF THE STUDY:

To primary aim the study is to examine the comparative buying behavior

of consumers. On the basis of review of different studies by the experts’
various studies has taken on buying behavior of consumers towards both
the brand i.e., ZARA & H&M and comparative analysis have performed on
the factors (price, quality, style, look and brand) for the purchase of both
the brands.
METHODOLOGY
PRIMARY DATA:
Primary data refers to the pure and fresh data which are collected first time.
The primary data is not used in this study.

SECONDARY DATA:
Secondary data is collected by a third party and consumed by researchers,
analysts, etc.
The secondary data for this study has been obtained from international
journal and company website.

DATA COLLECTION METHODS:

The sample size taken was 100 consumers.
Sample unit – Clothing company (Zara, H&M, US Polo, Spykar and Uniqlo).
The area chosen was Delhi
 DATA
INTERPRETATION
&
ANALYSIS
The following is the analysis that is based on the responses filled in by the
consumers in the questionnaire. It is calculated with the help of frequency
tables, bar graph, pi-charts, etc. all close ended questions have been
included as a part of the analysis and the analysis of the face to face
interaction and the analysis of the close ended questions from the base for
recommendations.

1. Income level (per month) of respondents:

FREQUENCY

11% 10%
8% 40000-60000
60000-80000
80000-100000
ABOVE 100000
71%

2. Brand preference