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12 views

Case

Uploaded by

trinhntpds180187
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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1.

Discuss the role of technology in SHEIN and Temu’s business models:


- Both retail websites rely on information technology to directly match
consumer demand to dispersed production by a collection of factories in
China. This method of reaching customers should inspire any business
that provides products or services that come from many producers to
reconsider their manufacturing and distribution methods.
- They use data and software to match consumer demand for designs to the
capabilities of particular members of its manufacturing network, and it
also keeps close tabs on customer outreach, order receipts, payment
guarantees, and direct shipping services offered by manufacturers to
customers. It monitors manufacturer performance as closely as it
monitors customer preferences.
- The internet has enabled high-income consumer markets that respond to
direct-to-consumer branding and low-cost producer markets that
respond to data-driven coordination, more tightly coordinated models of
global business have become possible and are likely to grow
- The system “the large-scale automated test and reorder (LATR) model
allowed the platform to add thousands of new items daily based on direct
consumer feedback. Similarly, Temu uses its parent company’s software
to match extensive manufacturing capacity with consumer demand,
making it a formidable player in the retail market.
2. Why is SHEIN called a digital marketer?
- Shein is called a digital marketer because it know how to use the platform
that has remarkable sensitivity to the fashion tastes of its consumers. It
monitors what trendsetters wear on social media, influencer
partnerships, email marketing, and online advertising.
- They pushed E-commerce, advertising, connection, and the gradual
supplanting of the sales and marketing roles of brands by consumer
reviews, giving American shoppers the courage to venture beyond the
safe harbors of retail mass merchants. This led to convincing consumers
to move much of their purchasing power online.
- Shein focused on digital marketing, therefore it can improve advertising
and attract a large target customer around the world.
3. In what ways do SHEIN's and Temu's business models challenge
established retail brands like H&M and Zara, and what implications does
this have for the future of fast fashion?
- SHEIN and Temu challenge established brands like H&M and Zara by
fundamentally altering the speed and responsiveness of the fast fashion
model. Their diverse products with reasonable prices and the ability to
quickly identify trends and test new products through data-driven
approaches enable them to outpace traditional retailers in terms of
product variety and availability. This operational contrasts sharply with
the more old supply chains of established brands, which often rely on
longer design and production cycles.
- With the development of rapid technology, these implications have
meaningful things for the future of fast fashion, they need to update and
improve to adapt by integrating similar technology-driven models to stay
competitive.
- They could adopt more agile supply chain practices, enhance their data
analytics capabilities, or strengthen their direct-to-consumer marketing
strategies. As SHEIN and Temu continue to grow, they may redefine
consumer expectations around pricing, variety, and speed of delivery,
pushing the entire industry toward greater innovation and efficiency.

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