ABSTRACT
Walmart’s low pricing strategy requires it to be a highly efficient supply chain, leveraging logistics, store operations, and technology to lower costs. 1 In contrast, Zara, one of the world’s largest apparel retailers, drives quick delivery to its stores in low batch sizes while adopting a highly unconventional strategy of an integrated firm owning procurement, fulfilment, delivery, and store operations. 2 Which strategy should firms adopt? Is an efficiency-driven supply chain always advantageous?
