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Zara Owner Built a Post-Covid Retailer Before Virus Came Along

  • Inditex has local production, stores doubling as warehouse
  • Workers retrieved unsold goods from shops for e-commerce
Pedestrians pass by a closed Zara store, operated by Inditex SA, in Madrid, Spain, on Thursday, May 7Photographer: Paul Hanna/Bloomberg
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A few weeks after Spain declared a nationwide lockdown in mid-March to fight the growing coronavirus outbreak, clothing retailer Inditex SA began running low on goods.

The world’s largest fashion retailer typically operates a lean warehouse operation, preferring instead to hold the majority of its stock in stores that double as e-commerce fulfillment centers. That way, turnaround is faster, shelves are replenished more regularly and inventory is kept to a minimum.