Hongying Han (Author)
Guangxi University of Finance and Economics
bullwhip effect, supply chain management, Zara, information sharing, inventory control
30-09-2026
Against the backdrop of volatile demand and shortened product life cycles in the fast fashion industry, the bullwhip effect—arising from information asymmetry and decentralized decision-making among supply chain participants—has emerged as a critical constraint on firms' responsiveness and cost control. Taking the supply chain of Zara, a fast fashion brand of the Spanish Inditex Group, as the research object and grounded in the theory of the bullwhip effect, this paper systematically analyzes the causes, manifestations, and implications of the effect. The findings indicate that, although Zara's supply chain is renowned for its rapid response capability, risks of progressively amplified demand information persist in such operations as cross-border store expansion, bulk ordering, and promotional pricing. These risks manifest as intensified order variability, an imbalanced inventory structure, and frequent revisions of production schedules, which in turn drive up inventory costs, undermine production efficiency, and diminish customer satisfaction. Drawing on the case analysis, this paper proposes several optimization strategies, including real-time sharing of store-level sales data, small-batch and high-frequency replenishment coupled with vendor-managed inventory (VMI), and the establishment of long-term, stable trust-based supply chain collaboration. The conclusions of this study offer implications for fast fashion and retail–manufacturing firms seeking to mitigate the bullwhip effect and enhance overall supply chain efficiency.
Copyright (c) 2026 Journal of Frontier in Economic and Management Research

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