The exhibition was based on different furniture brands that are looking for possible business companies to work with to bring their brands overseas and franchise. There was a large area to showcase the big range of different company’s furniture design.
Buyers from all over the world come in to take a look at the latest design. There was this particular company that interest me a lot. This company’s furniture is tied up with the theme of Disney collection, whereby everything furnished in the bedroom is in different Disney theme! It looks simply beautiful! But cameras were not allowed in the exhibition; so sad to say I wouldn’t be able to provide pictures of it. Each bedroom unit range from 5000 RMB to 10000 RMB and if you wish to bring in to your own country to franchise its 50% off this rate. But needless to say, there are other requirements they would have to discuss over again with you over your tea session. I do have the contacts of this company, if anyone is interested feel free to approach me menx! =)
Furniture Factory
The company does exports to US and Europe, which its designs are most suitable for sale there. The picture below will be able to tell you the reason why it is so.
The company is in operation for more than 10 years. Factory opened in the year 2004 and is specialized in sofa sets only. Their designs are by the local designers, whom have done their own research on the latest designs. Every year there is about 2000 to 3000 sofa sold. Of this about 80% of the sofas will be exported to the Middle East. $200,000 is their cost of production. When we asked about how the company has done to improve its competitiveness, the answer was to maintain and always improve on their designs and allow buyers to send in their own photos of their desired designs. They will then be about to manufacture for them.
They have attracted foreign investors through Internet communications, advertising on Internet about their product and services to make themselves get to know more businessmen. Trade companies can introduce buyers to them as well. Anyone can come in to purchase from them also, simply because over here, they will be able to buy low and sell high. In this way profitability has attracted them to buy from this company. They have also sold much of their products to Singapore trade fairs.
Difficulties faced by them were the different needs of furniture during different seasons, for example, there will be a higher demand of furniture during the festive season; chinese new year. Hence there will be months with low and slow sales. Transportation cost was mention to have cost to about 10% of the product price when one wishes to transport to Singapore; on the average its about 1000 Sing dollars depending also on the availability of empty containers and people sharing the containers. It is gauge that one container will be able to store up to18 sets of furniture. Where one sofa set is about 3000 RMB. It is also brought up during the Q and A session that they do not carry export licenses, therefore they have to make use of logistic companies to help them in this field of trade.
One tip given by the presenter when prompt about building good “Guan Xi” was to make use of local people to communicate and foster a trustworthy relationship and gain business trust. It is also expressed that in order to maintain a good “Guan Xi” it had be best done if the company is able to maintain a good quality of goods produced as promise to the buyers. They do not spend money on entertainment cost as they feel even if your quality is not good, you treat them to anything expensive they will not choose you as they supplier. It will be a waste of effort, because poor quality product cannot be sold, and no on e will be so stupid to buy them even after a spread of good expensive food. Therefore she enforced repetitively that the quality control of their own product is the key to success.
No comments:
Post a Comment