Clothing And Clothing Retailer Zara Created Wealth In This Way.

This article introduces to you that

How to create wealth, Zara's parent company is now worth more than Nike.

As Zara's parent company Inditex broke through 32 euros (216.9 yuan) per share in August 5th, the world's largest apparel retailer broke into the world's 100 billion euro club.

At present, there are only more than 80 members in this club, among which is the world's largest luxury group LVMH.

Although Inditex's market value is only 1/5 of LVMH's market value, it is still far ahead of the sport's big name Nike (market capitalization of US $86 billion 200 million, or 535 billion 180 million yuan), which is far more powerful than rival H&M (market capitalization 58 billion 600 million US dollars, or about 363 billion 820 million yuan).

In Spain, Inditex is the most valuable company in Santander, before Telefonica SA and Banco Santander SA.

Earn more

Its Zara, Massimo Dutti, Bershka and Stradivarius brands grew steadily in recent years, and recorded a 8% gain in 2014.

Among them, Zara as the fast sign, contributed 2/3 revenue to the group.

Though not as good as H&M, we open a family every day.

Inditex is also expanding its presence in emerging and emerging markets.

In June 10th, Inditex announced the 2015 first quarter results. In the past three months, the company has added 63 stores in 27 countries, and plans to open new stores in 50-60 countries by 2016.

This big gesture means that nearly 85% of the capital expenditure will be used for new stores and renovations.

Of course, including China's stores, many stores have been aging since Zara first entered the Chinese market in 2006.

The general impression is that in addition to raising sales accidents, the opening of new stores will also increase operating costs.

Nearly two years after the implementation of the Zara expansion strategy, the expansion strategy is quite effective in terms of the net profit growth of 28% in the performance report.

Exchange rate and electricity providers also helped a lot.

Like LVMH, Hermes and other European brands, Inditex has made a lot of money through recent exchange rate fluctuations.

The low euro and strong dollar stimulate global sales of the group.

In October last year, Zara also broadened its channels to online, opened flagship stores in Tmall and tried to drain through offline platforms.

In this performance report, Inditex also reiterated plans to open online stores in Taiwan, Hongkong and Macao this year, which means that the brand e-commerce will soon expand to 30 countries in the world.

In April this year, Inditex announced the landing of Tmall to the brand name Stradivarius of a 20-35 year old urban woman.

Before that, Zara's sister brands, Massimo Dutti and Bershka, opened their flagship store in Tmall.

So the founder has become the second rich man in the world.

Amancio Ortega, a 79 year old Group founder, is probably the legend of the industry. He spent 40 years in a small town in northwest Spain called Zara.

The store has grown into the world's largest fashion group and has opened 6700 stores in 90 countries around the world.

Group's share price has climbed 36% in the past 12 months.

Ortega, which owns half of its equity, ranked second in the Bloomberg world's richest list earlier this year on the basis of $72 billion 900 million (about 452 billion 620 million yuan), behind Microsoft's founder Bill Gate (Bill Gates).

The widening of Zara's sales channels will surely lead to a larger consumer group and a broader market.