Zara Holds a Competitive Advantage Over Its Rivals in Spite

question 41

Multiple Choice

Zara holds a competitive advantage over its rivals in spite of:

• A) refusing to implement technology in its operational model.
• B) conducting business only through online storefronts.
• C) its globally distributed contract manufacturing model.
• D) operating through fewer stores across the world than its closest rivals.
• E) Keeping large portions of its production processes in-house.

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Definitions:

Debenture

An unsecured bond that relies on the creditworthiness and reputation of the issuer, without collateral.

Face Value

The nominal or dollar value printed on a financial instrument like a bond or stock certificate, representing the amount to be repaid at maturity.

Principal Amount

The original sum of money borrowed in a loan, or invested, upon which interest is calculated.

Loan Term

The length of time over which a loan agreement is scheduled to be repaid.