Rapid Turnover, Many Suppliers Seen in Success Story of Spain's Fashion Chain.

Byline: Woranuj Maneerungsee

Aug. 6--Many Thai designers dream of showing their goods on the catwalks of Milan and Paris, competing head-to-head with the traditional haute couture powerhouses of Christian Dior or Armani.

But Marcello Massarente, an Italian fashion consultant, says that for many local companies, a better model of success might be Spain's Zara.

The "high-fashion" chain generates billions of dollars in revenues each year, with investments focused more on establishing distribution channels in Europe, the United States and Asia rather than marketing or branding campaigns.

"They sell high-style, high-street priced clothing for middle-class people. Although some of their designs do imitate the leading fashion names, their products are not copies," Mr Massarente said.

The strategy behind Zara's success is rapid change and innovation, with collections turned over every two weeks instead of every three months.

"Zara can do this because of its efficiency in supply management. It has a number of suppliers," Mr Massarente said.