Is there an opportunity here ?
When establishing the business, the entrepreneurs identified the opportunities and challenges for the venture. Through the research, the company recognized that many parents tend to purchase the products which significantly encourage the development of their children. Moreover, it was discovered that most of play furniture of children was made for miniature adult rather than for the kid. The statistics in the case also showed that the playroom industry have grown of 7% per annum.
The high rate depreciation of furniture is a challenge to the industry. The children would grow year by year and the new toys may attracted them. The time aspect is hard to foresee, it could be a few years, months, weeks or days. Therefore, the space for playing would becomes overload. The parents have to consider about purchasing the suitable toys for their kids. Base on this research, P’kolino Company took the benefit to develop their product to fulfill the customer demand.
Through PEST analysis, it was found that rules and regulations executed by the government would promote the safe toys furniture for the children. By following that rules, the company is trying to design the product become safer and friendlier to the kid. This factor should be used by P’kolino to promote their product. The excellent product would inspire to the consumer. This point should be main target of the company as well.
The high-end segment is the essential target market for the company. This segment would be approached with the combination of popular channels, public relations and distribution. The main customer of the company will be high income parents who want to buy the best toys for their kids, they will focus on the quality of th...
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...owns a huge segment in the playroom furniture worth 800 million dollar. This may cause a big trouble than expected.
9. Recommendations
P’kolino should grow the consciousness regarding the positioning of its future strategy. It should be more familiar with the segment market since this may drop short of the estimated target. It is also beneficial for an organization to target a broader segment such as medium and low-income consumers (Nassif et al. 224). P’kolino also needs to invest more about the capital aspect. This is very important because it may have to spend huge finances at the original steps as opposite to later steps. Moreover, the company also needs more capital for maintaining operation in case fail to reach the sale target. In the future, P’kolino should consider the option that merge with other well-organized organizations to expand more the operation
In 2005 Bail capital Partners LLC, Kohlberg Kravis Roberts & Co and Vornado Realty Trust purchased Toys “R” Us, Inc. for $6.6 billion. Toys “R” Us has a strong mission statement that states, “At Toys “R”Us, we love kids. Since the company’s founding more than 65 years ago, kids have been central to who we are and what we do. We approach our business operations with responsibility and integrity, understanding the trust parents place in us to do the right thing and act as a reliable partner as they navigate the various stages of parenthood”(Inc.toysrus.com, 2016. 3.).
. G. Toys is a leading supplier of high quality dolls that are manufactured in two plants within Illinois, one in Chicago, one in Springfield. These dolls are sold in retailors throughout the United States and have an established, loyal customer base due to their high quality and popularity (Campbell & Kulp, 2004). In the last few years, due to rising production costs, their most popular doll, Geoffrey, has seen a decrease in profit margin. In this evaluation we plan to address G.G. Toys existing cost system and offer recommendations on whether management should change the costing system in both the Chicago and Springfield plant. We will calculate the costs of the Geoffrey doll, the specialty branded doll #106 and the cradles using the cost
Mattel wants to improve their execution of the existing toy business and globalize their brands; extend their brands into new areas; identify new trends, create new brands, and enter new industries; develop people and improve productivity by simplifying processes and maintaining customer service levels. Mattel wants to make a positive impact in children’s lives around the world by using unrivalled creativity and innovation to create high-quality toys that will be loved by children and trusted by parents.
This paper is aim to have a quick analysis of current competitive position of Build-A-Bear Workshop in the toy industry and challenges it faces, and to provide Build-A-Bear Workshop with some short-term and long-term recommendations to continue its success in toy industry. This paper mainly apply Porter’s five forces analysis, external environment analysis, financial analysis and value chain analysis.
Toys R Us is the world's largest children's specialty retailer. The company operates toy stores throughout the world and is publicly traded on the New York Stock Exchange. In this paper I will give a brief company history, cite where the competitive environment is coming from, strategies that were attempted, and where they stand today.
Executive summary of the event. In this business case, a shift from seasonal to monthly production of toys will change the seasonal cycle of Toys World's working capital needs and necessitate new bank credit arrangements. It has to analyze the company's performance, forecast fund needs and make a recommendation. The case introduces the pattern of current assets and cash flows in a seasonal company and provides elementary exercise in the construction of the pro forma financial statements and estimation of fund needs.
Known as one the largest global home-furnishing retailers, IKEA currently has over 139,000 employees located in 53 countries and generates roughly 39.3 billion US dollars in annual sales (IKEA, 2014). Ingvar Kamprad began selling different types of items and founded the company in Agunnaryd, Sweden in 1943. Kamprad found that his greatest entrepreneurial opportunity was in furniture. Many households at that time were changing from receiving furniture that was handed down to desiring new, inexpensive, and stylish furniture. Kamprad was able to find a business opportunity to change the current social situation since a lot of the furniture was priced high at the time. He wanted to be able to offer his customers a wide selection of functional and well-designed furniture at a price many could afford (Bartlet & Nanda, 1996). Kamprad had a better understanding of what the customer desired and how to go about meeting those desires at prices that were lower than other furniture companies, in turn creating a competitive environment (De Kluyver & Pearce, 2011).
P’kolino’s story is all about passion for superior products and how they can change people’s lives. Founded by Antonio Turcos-Rivas and J.B Schneider, the Company’s goal is: to “make better products to improve play at home”. In the course of developing safe and quality products, implementing and marketing other strategies, P’kolino Company aims at improving children’s play thus , improving sales by $51million (Bygrave and Andrew, 2008). The Company’s goal was comprehended during their MBA’s study. During their study, the two entrepreneurs began a thorough research and development project with more than twenty international design students.
... in the toy industry is to make toy safety the number one priority and to fulfill the customers’ needs.
The deeper part of this report has shown the need of "Your Choice Furniture" for new business system, which will help the company to support their customers and employees, also more ef...
Top managers should be reminded that they are ultimately responsible for the quality of a product and the company. Quality management is one of the keys. By defining quality in operational terms, understanding the costs and benefits of quality, recognizing the consequences of poor quality, and recognizing the need for ethical behavior (Stevenson, 2012), will lead to a more productive operation. If Toys, Inc. specifically doesn’t want to hire additional positions to inspect quality they could outsource to a company such as SATRA whom from its website states, “SATRA can assess the risk of injury from a toy, as well as carry out analysis for the presence of restricted metals such as lead, chromium and mercury(2015).” Quality is the ability of a product or service to consistently meet or exceed customer expectations (Stevenson, 2012). Quality when it comes to manufacturing of toys especially those that have moving parts also brings in safety concerns. “Market watch officials and technological experts have warned parents to pay more attention to the quality of toys they purchase to better protect their children (Hazell, C 2011).” Parents will associate a poorly made toy, especially one that already knows that it’s poorly made by having a trade-in program as potentially dangerous for their son or daughter. Continuing to have customer dissatisfaction will further question the quality of our product and in turn the safety of our
Ashley Furniture is the largest furniture manufacturer in the world. Once the CEO, Todd Wanek, informed himself of the benefits of sustainability in furniture design, he chose to alter their manufacturing process by using engineered wood opposed to lumber. For over 60 years Ashley Furniture has specialized in furniture design which has won them the title of "World-Class Furniture Manufacturer". With all of the innovation and experience in the furniture industry, they have come to be known as the "largest manufacturer of quality home furnishings". Ashley strives to achieve the best quality possible for their furniture and they are also continuously looking for ways to refine their products. After rea...
The children are put through different learning experiences and tasks, for the professionals to evaluate and observe their different development stages. All this helps to understand the children’s adult characteristics for future life as every child’s play experiences are crucial to their adult life.
Each and every piece is conceptualized with designer and a full scale drawing. A prototype is made to finalize the templates before the actual production is commenced. All the furniture is made using traditional joinery, where each piece of furniture is independently fitted and joined to provide with the coordinated greater strength. All the fine details are hand-carved, distinguishing it from assembly line furniture. Each piece of furniture is treated like a piece of art with several long processes before it is finally ready. The wood is sanded properly to bring out its inner beauty and the stunning grain structure. The grains in the wood react with the stain to give the furniture a natural look. We use water-based stains to stain the wood. There is no total destruction or clouding to cover the original grains. In the final finish, we use natural organic ingredients such as shellac dissolved in denatured alcohol and apply it on the surface of the wood. In the end, we finally hand- rub the surface with oil to give an incrustation and protection which gains an gracefully beautiful as it ages.
product. Animated characters, catch phrases, and toys are used to lure a child to the product.