Germany Stationary Business Expansion Analysis

This project report analyzes data to determine the feasibility of expanding a stationary business in Germany. It examines per capita income as a reliable indicator of market potential and assesses total sales incurred by the company. The report utilizes trend line charts to project future sales and includes calculations for mortgage repayments. Ultimately, it presents a positive outlook for expanding operations in Germany.

Analysing Data

Contents
Introduction.............................................................................................................................................1
Analysis of Issues for Duque Papetiers Gros.............................................................................................2
2.1 An Overview of the Wholesale Stationers Market in Germany..........................................................2
2.2 Annual Spending on Writing/Drawing Materials per Capita...............................................................3
2.3 Analysis of Duque’s last three financial years of sales data (2015-2017)...........................................5
Mixed pie chart:...................................................................................................................................5
Correlation co-efficient via scatter plot:...............................................................................................5
Estimating sales trend for the period of 2018 and 2019:.....................................................................6
2.4 Feasibility of Expanding to Germany & International Standards........................................................7
a). Pros and Cons assessment...............................................................................................................7
b). Defining international standards with which Donald Duque needs to comply:..............................7
2.5 Costs of a New Building......................................................................................................................9
a). Computing a monthly cost of 30-year repayment mortgage...........................................................9
b). Re-calculating monthly cost assuming that the interest is applied to the loan every month..........9
2.6 Mean Value of Orders......................................................................................................................10
2.7 Customer Satisfaction.......................................................................................................................11
a). Stating ways that can be used for enhancing customer responsive rate:......................................11
b). Evaluating data set collected from a survey..................................................................................11
Recommendation...............................................................................................................................12
Conclusion..............................................................................................................................................13
References..............................................................................................................................................14
Appendices.............................................................................................................................................15

Introduction
Donald Duque is a small sized family stationery business company which have their
business Germany is the development country which have strong economy situated in Northern
France. Although, he does not require to assess the significance and practical criticality of the
organisation data analysis in order to form a most effective decision (Stewart, 2016). This is
rightly said that Donald Duque is engaged in wholesale trading and form a strong customer
base in the past fifty years. Companies have diverse products which have cartridges of printers,
office furniture’s, low price printers, shredders, diverse kind of furniture, low price, paper
based suppliers and drawing related material. The current research which totally focus at
assessing its sales for last 3 year years to form strong decisions. In addition to this, future
business about its expansion would be assessed which would be assessed via “pros and cons”
tools and survey emerged that which be assessed via basic statistical methods for purpose in an
efficient decision.
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Analysis of Issues for Duque Papetiers Gros
2.1 An Overview of the Wholesale Stationers Market in Germany
Stationery market in Germany is at the peak from various centuries and various things
are really operated in an effective manner (Uemura, O. and et.al., 2016). It is highly as of new
items emerged to customised customer habits, desires and choices along with emerged vitality
and superior issues which has elevated in this industry. Association for Office Supply
&Writing Material stated that industry had exceeded its annual revenue over 14.8 Billion by
enhancing individual spending above €182 per year. Out of these, €35.2 expenses on writing &
drawing material, as an outcome, various European market achieved on 2nd position after the
Switzerland. Germany Stationery Brands Association reported that emergence domestic
demand by the residents and demand from abroad during the growth rate at 2.5% and 5%
demonstrating sound growth of 3.5% during 2014-2015 (MGCC Perspective - German
Chamber of Commerce and Industry, 2016). 2200 wholesale organisations are existing
working in the German Stationery market which offers office supplies, paper, writing tools,
with high of them which have a net income below €500,000. B2B intermediaries which serves
commercial consumers directly. M&A strategies of the organisation is the perfect tool which
can be used by the specialist retailers who offer labelled and standardized quality products.
Immense growth which formed a strong brand image with have crucial market share.
Although, during the same time, this is struggling along with diverse challenges such like
paper & its regards to product sales which is forecasted to regular its existing path of lowering
sales revenue. This is occurred due to the digitalization of work, due to which, office supplies
and writing instrument experienced at a growth rate @ 5% per annum. HBS forecasted the
trend to be constantly in future.
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2.2 Annual Spending on Writing/Drawing Materials per Capita
Country Per capita
(€)
Switzerland 35.5
Germany 35.2
Austria 35
France 28.3
Italy 18.6
Spain 8.9
Poland 8.5
By assessing the graph, it is visualizing that Germany have the second largest market fr
the stationery after Switzerland with per capita spending of €35.2 on writing and drawing
material. In addition to this, various supermarkets which are located throughout the Europe
have a diverse stationery items (Shevlyakov and Smirnov, 2016). They are required to target
highly mass-market consumers instead of professional or premium good demanding people
such as expert retailers who diversify their product portfolio covers postal services, magazines,
newspapers, concert tickets, articles and diverse which are not easily available at the time
traditional stores.
Digitalization had introduced crucial changes which ultimately assist the organisation to
optimise the sales in an effective manner. By using online tools, cited organisation improves
the sales of their product in an effective manner. In addition to this, ascending employment rate
also enhanced consumption rate. The company also uses various tools which are used for
contributing for the economy. In addition to this, the main constraints which are faced by the
stationery distributors is vague global economic conditions which ultimately helps the Donald
Duque to cope up with the market fluctuations and emerging the demand by enhancing goods
quality and introducing innovation.
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2.3 Analysis of Duque’s last three financial years of sales data
(2015-2017)
Refer appendix 1
For determining value of the total sales, sales of products captured in goods portfolio
that have been introduced. Here, sales trends are forecasted in an effective manner. During
2015,2016 and 2017, total sales are forecasted to be the €165000, €182000 & €178000 in a
crucial manner. This also has been assessed which sales revenue of the organisation which is
improved by 10.30% during 2016. On the other hand, sales value of Donald Duque is reduced
to (-2.20%) which demonstrates the reducing trends. This is rightly said that the sales revenue
is maximised and margin of profits needs to be formed for the unit needs to be done.
Mixed pie chart:
Assessment of pie chart, this is rightly said that Donald Duque low cost printers contributed
least percentage during 2016 and 2017. On the hand, printer cartridges accounted for 16%
during 2016 that would rise to 18% from the total sales.
Correlation co-efficient via scatter plot:
Year Total sales (in €)
2015 165,000.00
2016 182,000.00
2017 178,000.00
Correlation coefficient 0.73
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2014.5 2015 2015.5 2016 2016.5 2017 2017.5
155000
160000
165000
170000
175000
180000
185000
Total sales (in €)
Correlation Coefficient is the tool which is implemented by the cited company which assess
link between two variables and years (Piekkari, Welch and Welch, 2014). This could be said
that coefficient correlation which is assumed to be elaborated as an efficient statistical tools
which could be used for identified link between two variables. Emergence of variables like as
year and sales. Henceforth, as range of .25 to .75 which are to be known as the moderate. For
evaluating the crucial, this could be crucially which are connected to the year.
Estimating sales trend for the period of 2018 and 2019:
Year Sales
2018 €6500x + €162000
= €6500 (4) + €162000
= €188000
2019 €6500x + €162000
= €6500 (5) + €162000
= €194500
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2.4 Feasibility of Expanding to Germany & International Standards
a). Pros and Cons assessment
Pros Score/10 Cons Score/10
Client base improvements 9 Excessive staff turnover 5
Economies of scale in an
cost-efficient manner 8 Effect on quality 8
skillful personnel 7 Progressive capital demand 7
Relocation prospect 6 Non-achievement of
operational control 6
Total Pros 30 Total Cons 26
Pros refers to the advantages which have scored cons by (39-35)=4 point. Henceforth, net
results: total score of pros- cons= 30-26=4.
By initiating the key outcome, which is recommended that Donald Duque totally focus on the
expansion strategies. Addition to this, this is totally forecasted that the strategy regarding to the
expanding of business in Germany and Belgium that will enhance higher benefits (Ghilani,
2017). This helps in Germany and Belgium that will enhance to have higher benefits. This
ultimately helps the business for enhancing customer based and henceforth, profits and sales
that are highly effectively.
b). Defining international standards with which Donald Duque needs to comply:
For emerging effective efficient adequately organisation, managers are needed to implement
international standards. They are diverse types of standards that are associated with
organisation for rendering protective data. There are so many kinds of the standards which
have been layout via which European companies are going to comply for their organisation
activities. Further, these standards are linked with cited company are elaborated below:
ISO 14000 family-environmental management is a family of standards which are connected
to environmental management which currently to assist the firms in order to lower the side
effects, Such as- cause adverse changes to air, water, or land. This comply the applicable laws,
regulations and other environmentally oriented needs.
ISO 45001 Occupational health and safety: This is the main norm which is related to the
health and safety related norms (Holcomb, 2016). The main aim of the firm to assist the
organisations which would limit the workplace related risks and form a batter safety, and
effective working conditions all around the globe. This standard was formed by the committee
of the occupational health and safety specialists which limit this burden by rendering
framework in order to enhance employee safety throughout the planet.
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ISO 31000 Risk Management: This is the family of standards which are related to the risk
management which are codified by the International organisation for standardization. The main
aim of ISO 31000:2009 is to renders principles and guidelines on the risk management. ISO
31000 requires to renders a universally approved paradigm for the practitioners and
organisations employing risk management processes to changes the myriad of current
standards, tools paradigms which differentiate between the industries, contents and regions.
Donald Duque is required to comply the Data Protection Act and according to the same
confidentiality requires to be mentioned.
Apart from that, Donald Duque requires adhere the quality standards at the time of production
and offering stationery goods to the consumers.
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2.5 Costs of a New Building
a). Computing a monthly cost of 30-year repayment mortgage
Particulars Figures
Time 30 years
Loan payment = Total loan amount /
Discounting factor
=
= € 21215.85
Monthly repayment € 21215.85 / 12
= €1767.98
b). Re-calculating monthly cost assuming that the interest is applied to the loan every month
Particulars Figures
Time period (n) 30 years * 12 months (each year) = 360 times
Interest rate per month (R ) 10% / 12 = 0.00833
Monthly repayment
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2.6 Mean Value of Orders
H0 (Null hypothesis): There is no significant difference in the mean value of expected and
actual average order value.
H1 (Alternative hypothesis): There is a significant difference in the mean value of expected
and actual average order value.
Particulars Outcome
Mean of the entire population 240
Average of sample 230
Standard deviation 43
Z score assessment [ (Mean of the entire
population – sample average) / standard
deviation ]
(240 – 230 ) / 43
= 10 / 43
= 0.23
Criteria’s for selection and rejection of hypothesis
P > 0.05: Null hypothesis accepted or true
P < 0.05: Alternative hypothesis proved or true
By assessing, this has been found that p value of Z score 0.23 which accounts for .59
significantly. This result shows that p esteem is more than as far as possible prefer 0.05. From
this time forward, by rising into record such viewpoint it can be expressed that invalid theory is
acknowledged and in the meantime other one rejected. Based on p esteem decided, it can be
involved that no measurable huge distinction happens between the mean estimations of
expected and genuine normal request esteem (De Muth, 2014). At the end of the day, one
might say that estimations of genuine and expected requests are moving comparative way.
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2.7 Customer Satisfaction
a). Stating ways that can be used for enhancing customer responsive rate:
According to the mentioned case about making improvement in the overall current offering and
achieving overall success for Donald Duque conducts research in every year. Thus, for the
purpose of collecting effective feedback from related customers (Chambers, 2018). Apart for
this, issues which is responsive rate of people or choosing from total number of respondent
which lies from 5%. This has been assessed for the purpose of analysing overall customers
those are related to retuning a company overall set of questionnaire. Likewise, through
undertaking a reasoned actions method in accordance with Donald Duque can help to increase
possibility for increasing customer responsive rate.
On the basis of all those aspects that are related various client and respondents via
email survey can increase overall productivity of the company. In accordance to this, posting
an email notification and communication is primary motive to increase maximum advantages
during increasing responsive rate up to an extent. Although, this would make maximum focus
that would needed to be placed in formulating positive responses and to increase great chance
of attaining level of respondents.
b). Evaluating data set collected from a survey
Particulars CUST_SERV QUAL_P&S SALES_STAFF PRICE_VALUE
Mean 3.5 3.15 3.45 1.95
Standard Error 0.17 0.08 0.18 0.11
Median 4 3 4 2
Mode 4 3 4 2
Standard
Deviation 0.76 0.37 0.83 0.51
Interpretation:
According to the above data which would collected during the research is providing more
crucial information regarding their overall growth and profitability. This has been seen that a
total average number of respondents are providing total average number of people that are said
to have proper customer services or support and quality of products in accordance to Donald
Duque in more effective (Ary and et.al., 2018). In respect to this, the total mean value of
element is pertaining to price which would implies for 1.95 would in turn exhibits that
customers that viewed the same as fair. Further, standard value as standard deviation is
determining as .51 respectively that is neither too high or nor too lower. Considering to the
same, it can be identified theta consumer’s perception level does not change significantly as
per the given rating though average participant number. On this grounds of set outcome by
statistical evaluation, this has been advised to Donald Duque that which depend on the cost
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control. This, in return can help organisation in rendering consumer with appropriate services
at the reasonable cost as well as thereby emerge their level of satisfaction.
Recommendation
Through summarising this report, this can state that in stationary market, Germany has
their own reputation and strong recognition. Despite this, this can be contingent that supplier of
Germany Stationary is keeping more emphasis on the product quality and diversification. This
can also summarise from the investigation that large number of people are investing their
money buying drawing and writing material. Further, this has been expressed that Duque will
achieve success along with the determined outcome level or achieve through exploring more
operations of business in other nation like Belgium and Germany. This can reflect from the
primary data outcome that Donald Duque require to lay more focused over the using competent
policy of pricing that in turn make certain the decision making influence and suitable margin in
consumer’s aspects.
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Conclusion
From the above project report, it has been concluded that data analysis for the purpose
of expanding their stationary business in Germany is more useful for the company. The report
has been formulated by evaluating per capital income generated during the time are taken as
more reliable and accurate form of data analysis. Assessment of total sales incur by the
company discuss under this report. On the basis of all the data collected by the company can be
presented through using various charts and graphs. With the use of trend line chart, total
estimation of sales can be done in more effective manner in the above project analysis. Certain
problem and conclusion is being done by evaluating all necessary data that is being presented
by the company. calculation by using repayment amount of mortgage is discussing under this
report. the overall project is delivering positive results for expanding business operations in
Germany is more reliable and effective for Donald Duque.
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References
Books and Journals
Ary, D. and et.al., 2018. Introduction to research in education. Cengage Learning.
Chambers, J. M., 2018. Graphical methods for data analysis. CRC Press.
De Muth, J.E., 2014. Basic statistics and pharmaceutical statistical applications. CRC Press.
Holcomb, Z.C., 2016. Fundamentals of descriptive statistics. Routledge.
Ghilani, C. D., 2017. Adjustment computations: spatial data analysis. John Wiley & Sons.
Piekkari, R., Welch, D. and Welch, L.S., 2014. Language in international business: The
multilingual reality of global business expansion. Edward Elgar Publishing.
Shevlyakov, G. and Smirnov, P., 2016. Robust estimation of the correlation coefficient: an
attempt of survey. Austrian Journal of Statistics. 40(1&2). pp.147-156.
Song, X. and et.al., 2016. An innovative block partition and equivalence method of the wave
scatter diagram for offshore structural fatigue assessment. Applied Ocean Research. 60.
pp.12-28.
Stewart, A., 2016. Basic statistics and epidemiology: a practical guide. CRC Press.
Uemura, O. and et.al., 2016. Mean and standard deviation of reference glomerular filtration
rate values in Japanese children. Clinical and experimental nephrology. 20(2). p.317.
Online
MGCC Perspective. 2016 [Online]. Available through:<
file:///C:/Users/user/AppData/Local/Temp/Rar$DIa1.106/MGCCReport20161518787080.pdf>
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Appendices
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