Small Margins High Volume Philosophy
Books Teaching This Pattern
Evidence

This Is Amancio Ortega, the Man Who Created ZARA
Covadonga O'Shea · 4 highlights
“"What was the secret of their success?", many wondered at the time, and continue to do so around the world. One of the company's executives gave the answer in four main lines: "From prices, the whole process is done in-house without intermediaries or brokers"; in addition to buying the material at a good price and having cheap labor —he said—, "the business formula is that the profit margin is very small. We prefer to make little on each garment but sell many."”
“else. I was convinced that I had to dominate the customer, and at the same time be by their side, but I would only achieve it if I managed to sell to them directly. And I was also convinced of another important issue to carry out everything that was on my mind: nobody buys just for the price. The first thing someone looks for is to like what they want to buy. The product has to be right. That's the key".”