Analysis of German Stationery Market

This report provides an in-depth analysis of the German stationery market, highlighting the importance of product quality and diversification. It also includes a study on the production team's impact on total manufacturing cost and customer satisfaction levels. The findings suggest that German stationery suppliers prioritize these factors to ensure success in the market.

Analysing Data

Table of Contents
INTRODUCTION...........................................................................................................................1
2. ANALYSIS OF ISSUES FOR DUQUE PAPETIERS GROS....................................................2
2.1 Overview of the wholesale market in the Germany:........................................................2
2.2 Annual Spending on Writing/Drawing Materials per Capita...........................................2
2.3 Analysis of Duque’s last three financial years of sales data (2015-2017).......................4
a). Assessment of total sales...................................................................................................4
b). Mixed pie chart.................................................................................................................5
c). Presenting correlation co-efficient via scatter plot............................................................5
d). Forecasting sales trend for the period of 2018 and 2019..................................................6
2.4 Feasibility of Expanding to Germany & International Standards....................................6
a). Pros and Cons evaluation:.................................................................................................6
b). international standards with which cited organisation needs to comply:..........................7
2.5 Costs of a New Building...................................................................................................2
a. Computing a monthly cost of 30-year repayment mortgage:.............................................2
b. Re-calculating monthly cost assuming that the interest is applied to the loan every month3
2.6 Mean Value of Orders......................................................................................................4
2.7 Customer Satisfaction.......................................................................................................5
A. Stating ways that can be used for enhancing customer responsive rate:...........................5
b).Analysing data set gathered through survey:.....................................................................5
Conclusion..............................................................................................................................6
REFERENCES................................................................................................................................7
APPENDIX......................................................................................................................................8

INTRODUCTION
Germany is the developed market which having its economy on peak level. Stationery
industry in Germany also contributes in an effective manner. Here, this report is based on the
Germany market in which wholesale stationery industry is having the majority business
operation and there are less retailers. Donald Duque is a tiny family stationery organisation
which is located in the Northern France. It has engaged in more than 50 years in the wholesale
market in an effective manner. Company specially categorised into the cartridges of printer,
office connected supplies, least-priced printers, shredders, furniture, paper-based suppliers and
drawing or writing connected material (Germany – A Potential Stationery Market, 2018). The
existing research has mainly based at assessing its sales for last 3 years in order to form
decisions. Donald Duque is having business operation in France in wholesale market and it
wants to operates it operations in Germany in the retail market.
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2. ANALYSIS OF ISSUES FOR DUQUE PAPETIERS GROS
2.1 Overview of the wholesale market in the Germany:
Germany is the most developed nation in the European country for stationary country
which contains brands of stationery operating which names Faber-Castle, Montblanc, Staedtler,
edding along with Stadbilo and Lamy. Its stationery market staying top of the success for various
centuries (Cleary, Real Time Genomics Inc, 2011). This is highly as of the new product emerged
to the tailor customer habits, desires and choices along with developing vitality and superiority
issues which has be emerged in this sector. Association for Office Supply &Writing Material
which has been reported that industry which enhanced its annual revenue over €14.8 billion by
enhancing individual spending which is more than €182 per year and €35.2 is spent on writing
and drawing material in Germany. As an outcome, among entire European Union member
countries, Germany market ranks 2nd position after the Switzerland (MGCC perspective- German
Chamber of Commerce and Industry, 2016). Germany Stationery Brands Association reported
that raise domestic demand by the residents and demand from abroad during the growth rate of
2.5% and 5% demonstrating sound growth of 3.5% during 2014-2015.
2200 wholesale organisations are currently working in the Germany Stationery market
who is offering suppliers, paper, writing instruments, with higher of them have a net income
lower €500,000. B2B intermediaries are offering commercial customers in an effective manner.
M&A strategies of the organisation are lower the wholesalers' number. However, there are
various specialist retailers who offer labelled and standardized quality products (De Vaus and de
Vaus, 2013).
Strong development had formed unique image by having crucial market share. Although,
during the similar time, this is struggling with diverse constraints such as paper & its connected
product sales which is estimated to regular its current path of lowering sales revenue. This is
highly as of digitalization of work, due to which, office supplies and writing instrument have a
growth rate of 5% per annum. HBS forecasted the trend which is to be regular in future.
2.2 Annual Spending on Writing/Drawing Materials per Capita
Country
Per capita
(€)
Switzerland 35.5
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Germany 35.2
Austria 35
France 28.3
Italy 18.6
Spain 8.9
Poland 8.5
Above bar graph stated that Germany is at the second position in the stationery market
which comes after Switzerland along with per capita spending of €35.2 on writing and drawing
material. In the stationery market Germany has secured 2nd and France attained forth position. In
addition to this, product gathering by supermarket which has formed crucial contribution in
achieving of leading position. In addition to this, with the aim to emerge awareness among
consumers for attaining of leading position. In addition to this, along with the motive in order to
emerge awareness among the customers and affect their buying their buying decision emphasis
has placed by suppliers on rendering advertisements on newspapers, magazines etc. This major
pharmacy chain which consistently enhanced their range of goods in their portfolio (Fade and
Swift, 2011). In addition to this, supermarkets which had emerged stationery in their
assortments. In addition to this, considerable changes in the market which has determined after
the launch of digitalization. Online offerings of goods renders great level of convenience to the
consumers. Therefore, this is the crucial aim due to which consumers buy goods by taking help
of online tool. As this is the most crucial tool which is used by the organisation in order to gain
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the sustainability in an effective manner. By using online tools, company can gain the
sustainability in an effective manner. This can't be possible in offline manner. Apart from that,
more development has bee seen by using the online tools such as e-mail and other online tools as
this enhanced 17% growth in this industry in Germany, retailers have likewise formed
concentrates on strengthening or enhancing their market share. By considering the industry trend,
this could likewise be depicted which would be emerging in the future year. In addition to this, in
Germany, retailers are required to concentrate on enhancing the market share (Frantti and
Fujioka, CON BOYS, 2012). By adopting this trend, this could be likewise that this would
enhance in future time. Adopting industry trend, this could be likewise be depicted which would
emerge in the forthcoming years.
2.3 Analysis of Duque’s last three financial years of sales data (2015-2017)
a). Assessment of total sales
Refer appendix 1
For identifying the total sales, revenue of entire products items which are covered in the
product portfolio which are to be considered. In addition to this, for demonstrating the desired
results of sales value or trend comparison of existing year which has been completed with the
current year. In the year of 2015, 2016 and 2017, which total sales accounted for €165000,
€182000 & €178000 significantly. This can be said that assessment that sales revenue of the
organisation enhanced by 10.30% in 2016. on the other hand, this can be said that in 2017,
reducing trend (-2.20%) which have evaluated in the sales revenue of the cited Donald Duque.
The crucial reasons behind such decrease sales trend or level which are less demand for
printer and general office supplies. In addition to this, for optimising the sales revenue and
margin organisation unit requires to emergence strong strategic framework which could improve
the demand for both of the printer and office material.
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b). Mixed pie chart
By evaluating the pie chart, this has been concluded that the Donald Duque have the low
cost printers which have contributed less percentage in 2016 and 2017. other things are to be
considered , printer cartridges accounted for the 16% during 2016 that mostly raised to 18% out
of the total sales.
c). Presenting 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 might be elaborated as an effective served as an efficient statistical tool
which could be implemented for identifying the connection which emerges between two
variables. Emergence of correlation assessment demonstrates which moderate level of
connection between variables like year and sales. In addition to this, if the correlation falls within
.25 to .75 then in that case, this is known as moderate (Holt, 2014). By considering in mind of
the outcome or trend, this can be said that sales would be enhance positively in forthcoming in
the forthcoming time peiod.
d). Forecasting 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
2.4 Feasibility of Expanding to Germany & International Standards
a). Pros and Cons evaluation:
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Pros Score/10 Cons Score/10
Customer base improvement 9 Excessive staff turnover 5
Economies of scale in an
effective manner 8 Affect on quality 8
Skilled staff 7 High capital need 7
Relocation possibilities 6 Loss of operational control 6
Total Pros 30 Total Cons 26
Net results or outcome: Total score of pros – cons
= 30 – 26
= 4
By adopting the final outcome, this can be said that Donald Duque is planning to expand
their operations in an effective manner. Therefore, this can be demonstrated that the current
strategy is relied upon the expansion of the running operations of the organisations in the
Germany and Belgium which would improve to be an efficient advantages. This in turn assist the
business unit which improve the customer base and henceforth sales and profit margin could be
enhanced. Henceforth, this can be said that the organisation is keen to expand their operations in
an effective manner (Postlethwaite, Brown and Dennis, 2013). This can be said that the Donald
Duque is trying to make an effective manner in order to provides an effective manner.
b). international standards with which cited organisation needs to comply:
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There are different international standards by which EU business require to follow while
performing different functions and activities of business entity. Therefore, it associate with the
business operations and activities of Donald Duque which are determined as below:
ISO 14000 family-environmental management: Under this stranded, business entity has
more role and responsibility in order to perform all activities in a systematic eco friendly way.
Main objective and motive of applying this standard is to encourage effective and friendly
environment management method in business. ISO 14000 render cost effective techniques that
make apply of foremost activity for applying and organising data regarding environmental
management.
ISO 45001 Occupational health and safety: According to this standard, Donald Duque
has more accountability and duty in order to make an accurate arrangements about the health and
safety of an individual or employees at workplace.
ISO 31000 risk management: This standard is more essential and beneficial for the
organisation in order to accomplish their predetermined goals and objectives in limited time
period. In this need and requirement of company is to apply risk management strategies and
practices in a proper way.
Further, business entity apply Data Protection act which assist them to record entire
information regarding employees and their backgrounds (Richards, 2014.). This act also assist in
the achievement of long term goals and targets in given time period. In addition to this, an
organisation require to comply and follow with the international quality while offering and
producing stationery goods to the target and potential customers at reasonable price.

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
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b. Re-calculating monthly cost assuming that the interest is applied to the loan every month
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2.6 Mean Value of Orders
H0 (Null hypothesis): This is not having significant difference in the mean value of forecasted
and actual average order value.
H1 (Alternative hypothesis): There is a significant difference in the mean value of forecasted 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
P > 0.05: Null hypothesis accepted or true
P < 0.05: Alternative hypothesis proved or true
By way of this assessment, this is found that the p value of Z score 0.23 which accounts
for .59 significantly. Such outcome reflects that the p value is the more than the standard limit
like 0.05. In addition to this, by adopting into account such kind of aspect which could be
elaborated that the null hypothesis is accepted and in that time other one is rejected. By relying
on the basis of p value identified, this could be stated that no statistical significant differences
which incorporates the difference which emerge place between the mean value of forecasted and
actual average order value value (Tankard, 2012). In other words, this could said that that values
of actual and forecasted orders which are moving in same direction.
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2.7 Customer Satisfaction
A. Stating ways that can be used for enhancing customer responsive rate:
The above case study reflects that Donald Duque is using the surveys as a tool to bring
corrections in their products and services on a regular basis as through this they identify their
areas of improvements. The most commonly used tool in order to get the response of various
customers is through questionnaire in which a number of questions is asked to them on which
they have to give their response (Fade and Swift, 2011). The survey is conducted online using
mail which is an easy mode of reaching to different customers at distinct places. Though the
selected mode is appropriate there is a drawback of the same as there are chances of high non
responsive candidates. In case of disinterest and non-availability of the other person it becomes
difficult to reach at correct conclusions. Apart from this the other reason why a person may not
respond is due to lengthy questions sent to them to which they find boring as they do not get any
additional benefit even if they fill the paper properly. It is required that the referred organisation
does some changes in their method of data collection like they can add some incentive points for
those customers who are sending their response properly as it will encourage other too.
b).Analysing data set gathered through 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 - From the survey conducted it is found that Donald duque is providing effective
good and services as most of the customers were found to be satisfied and supported the brand.
Different aspects of the company’s products were examined among which price was found to be
effective as its mean value was 1.95 which is found to be acceptable by customers. Thereafter the
standard deviation was 51 which is also in balance and hence can be accepted by the product
user (Holt, 2014). Therefore, lastly, after going through the conducted study it is found that the
referred enterprise needs to work on its production team so that the total cost of manufacturing
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can be reduced so that the satisfaction level of the customers can be raised and hence overall
growth can be ensured.
Conclusion
By interpreting this report, this could be analysed that the Germany has made its strong
position in the stationery market. Apart from that, this also found that German stationery
suppliers are placing highly emphasis on the diversification and the product quality. This could
be analysed that the analysis on the large number of people are spending on amount on buying
writing or drawing material. In addition to this, this can be said that Donald Duque would gain
expected level of outcome or success by investigating business operations in diverse nations such
as Germany and Belgium. This could be said that the results of primary data assessment that
Donald Duque requires to concentrate on employing an effective pricing policy which helps to
ensure the suitable margin and affects the decision making aspect of consumers.
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REFERENCES
Books and Journals:
Cleary, J. G., Real Time Genomics Inc, 2011. Method and system for analysing data sequences.
U.S. Patent Application 13/129,329.
De Vaus, D. and de Vaus, D., 2013. Surveys in social research. Routledge.
Fade, S. A. and Swift, J. A., 2011. Qualitative research in nutrition and dietetics: data analysis
issues. Journal of Human Nutrition and Dietetics. 24(2). pp.106-114.
Frantti, J. and Fujioka, Y., CON BOYS Oy, 2012. Method and system for analysing data
obtained using scattering measurements from disordered material. U.S. Patent
Application 13/390,133.
Holt, G.D., 2014. Asking questions, analysing answers: relative importance revisited.
Construction Innovation. 14(1). pp.2-16.
Postlethwaite, C. M., Brown, P. and Dennis, T.E., 2013. A new multi-scale measure for
analysing animal movement data. Journal of theoretical biology. 317. pp.175-185.
Richards, L., 2014. Handling qualitative data: A practical guide. Sage.
Rollinson, H. R., 2014. Using geochemical data: evaluation, presentation, interpretation.
Routledge.
Tankard, C., 2012. Big data security. Network security 2012(7) pp.5-8.
Urquhart, C., 2012. Grounded theory for qualitative research: A practical guide. Sage.
Online
Germany – A Potential Stationery Market. 2018. [Online]. Available through:
<http://www.malaysia.ahk.de/fileadmin/ahk_malaysia/Perspectives/MGC047-
Mar.Apr16_iPAD.pdf>.
MGCC Perspective - German Chamber of Commerce and Industry. 2016. [PDF]. Available
through: <http://www.malaysia.ahk.de/fileadmin/ahk_malaysia/Perspectives/MGC047-
Mar.Apr16_iPAD.pdf>.
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APPENDIX
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