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VCGuy

Believe me, it’s not... • 3m

I assumed H&M’s lower price point would translate into healthier profits. H&M may lead in total sales, but it’s shelling out 4.5× what Zara pays in royalties — ₹865 Cr vs Zara’s ₹190 Cr, eating into margins⤵️ (source - Entrackr) From what I’ve seen

Anonymous 1

Hey I am on Medial • 3m

It’s honestly hilarious how Zara plays 4D chess here. Same mall, similar rent, way fewer stores, but 2.5x more revenue per store and 10x more profits. Zara’s brand positioning lets them charge a premium and still pull crazy volumes. H&M feels like fast fashion without the premium perception.

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