Data Analysis for Business Expansion

The assignment analyzes the role of data analysis in helping small businesses, specifically using the example of Donald Duque Stationery which wants to expand into Germany. It discusses how data collection and analysis can inform decision-making, identify market opportunities, and guide strategic planning. The document emphasizes the importance of primary research methods like questionnaires in understanding customer preferences and formulating effective business strategies. Additionally, it touches upon global standards compliance and the need for businesses to adapt to international markets.

Analysing Data

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Overview of stationary market in Germany..........................................................................1
TASK 2............................................................................................................................................2
2.1 Presentation of annual spending upon Writing/drawing materials ......................................2
TASK 3 ...........................................................................................................................................3
3. Analysis of last three years sales figure of Donald Duque's...................................................3
(a). Total sales.............................................................................................................................3
(b). Mixed Pie Chart....................................................................................................................4
(c). Evaluation of correlation coefficient and its interpretation..................................................4
(d). Forecast of sales...................................................................................................................5
TASK 4 ...........................................................................................................................................5
(a) Analysis of benefits and drawbacks......................................................................................5
(b) International standards required to follow by Donald Duque ..............................................6
TASK 5............................................................................................................................................6
(a) Calculation of each month cost about repayment of mortgage of 30 year............................6
(b) Re-calculation of each month cost after application of interest on loan at every month......7
TASK 6............................................................................................................................................7
TASK 7............................................................................................................................................8
(a) suggestions for betterment.....................................................................................................8
(b) Descriptive statistics..............................................................................................................9
TASK 8..........................................................................................................................................11
Summary of report....................................................................................................................11
CONCLUSION..............................................................................................................................11

INTRODUCTION
Data analysis is important concept which includes the process of inspecting, cleansing
and transforming data for the purpose of draw important conclusions and suggestions. There is
huge support is provided by such concluding results in decision making process. It provides the
opportunity to small businesses is bring sustainability in their operations and accomplish their
goals effectively. It contributes in assessment of current trend and factors which are present in
business environment to make their policies as per norms. Donald Duque is small family
stationary business. It operates their function in Northern France (Würzburg, Labandeira, and
Linares, 2013).
In the present report explain about, contribution stationary industry in the economic
growth of country, information about products and customer information. Also, suggestions
which helps in expansion of business and financial information.
TASK 1
1.1 Overview of stationary market in Germany
Overview
The situation of wholesale stationary market in Germany is well positioned. As per the
report published by Trade association for office supply and writing materials, it is observed that
the total turnover of whole industry is more than € 14.8 Billion per year. The most consumed
stationary product in Germany is writing and drawing materials on which €35.2 is spent every
year. In terms of spending upon stationary market, Germany is ranked second from all European
Union Countries. The positiveness among the behaviour of stationary business companies in
Germany is understood with the fact that around 70% of major brands have experienced increase
in sales in 2015.
Current Trends and Potentials
All the German stationary brands has good reputation in German and worldwide. Due to
having their positive image they capture large market share. There are different kind of paper
related products are provided by such companies. There are many products in which shown 5%
of growth in 2015 includes office supplies and writing instruments. It assumed that such trend
will continue in 2016 also.
Market structure
1

As per per past statistics, 2200 Wholesale companies are working in Germany's
stationary industry. It is observed that out which all companies almost half having the turnover of
less than €500,000 (William Jr, M., Glover and Prawitt, 2016).
There are many retailers are working in Germany. Around 5500 retailers are present in
market and most of them having the turnover of less than €250,000.
Contribution of stationary market in German economy
There is huge changes are seen in the amount of turnover in stationary retail market. The
two major pharmacy company of Germany select to continue as stationary business in their
assortment plans. Their main aim is to provide diversified paper and paper related products for
attraction of large number of customers.
E-commerce is one of the important method which holds 17% of market share currently.
It is grown in stationary market which effective rate. It is successful because it provides huge
rage of products with 24 hour accessibility. This feature of the online market attracts the
customers is make their orders online.
TASK 2
2.1 Presentation of annual spending upon Writing/drawing materials
Country
Per capita
(€)
Switzerland 35.5
Germany 35.2
Austria 35
France 28.3
Italy 18.6
Spain 8.9
Poland 8.5
2

As per the above Bar chart, it is observed that Germany is one of the important country
which has wide stationary market in terms of turnover. The product which has largest
contribution in turnover of stationary industry is Writing and drawing materials. The total
turnover of stationary industry in Germany is € 14.8 Billion per year. From this total amount of
turnover, Writing and drawing material have solely the contribution of €35.2. There are many
other other countries where diversified paper and paper related products are sold like Poland,
Bulgaria, France, Italy etc. The main role in development of stationary market is played by
hypermarkets and supermarkets. They capture large market share which attracts large number of
customers. To attain success in such market organisation is need to apply different approaches of
advertisement like newspapers and magazines which contributes in awareness among the
customer about different products (Shagoury and Power, 2012).
Digitisation also plays an important role in attraction of large number of customers. The
major contribution which is bring by this mode is 24 hours accessibility with range of diversified
products. In Germany, online stationary market have the share of 17%.
TASK 3
3. Analysis of last three years sales figure of Donald Duque's
(a). Total sales
Refer appendix 1
3

It is observed from the above information that sales figure of cited organisation is
growing continuously. It helps the organisation is to earn large number of profits through sales of
different products like printers, office furnitures, shredders, paper-based supplies and
writing/drawing materials. In 2015, the amount of total sales obtained by organisation is
165000. It is increased in 2016 and goes to the level of 182000. Instead of only two stationary
items printer cartridges and general office supplies, all the stationary products sold by
organisation is increased in terms of sales. But after that, there is decrease in the amount of total
sales and reached to the figure of 178000. The percentage increase in revenue of organisation in
2016 is 10.30%. But in 2017, this situation is changed dramatically and amount of revenue
decreased by 2.20%.
(b). Mixed Pie Chart
As per the above mixed pie chart of 2016-17, ascertained that Printer cartridges and
general office supplies have the least contribution in generation of revenue. But growth is
measured in the sales figure of cartridges in 2017 which is increased by 2%. The contribution of
other paper related in sales and profit is constant in 2016 and 2017 (Polkowski, 2013).
(c). Evaluation of correlation coefficient and its interpretation
Year Total sales (in €)
2015 165,000.00
2016 182,000.00
2017 178,000.00
4

Correlation coefficient 0.73
Correlation coefficient is used to determine the relationship between two variables. It is
used by organisation is to ascertain the relation between sales and year. The result is said to be
optimum if presents between the limit of 0.25 to 0.75. In the present report, correlation
coefficient attained as 0.73 which shows positive outcome of result (Peck and Devore, 2011).
(d). Forecast of sales
Year Sales
2018 €6500x + €162000
= €6500 (4) + €162000
= €188000
2019 €6500x + €162000
= €6500 (5) + €162000
= €194500
TASK 4
(a) Analysis of benefits and drawbacks
Pros Score/10 Cons Score/10
Increasing customer
base 9 Extravagant staff turnover 5
Economies of scale 8 Impact on quality 8
Skilled or proficient
personnel 7 Intensive capital need 7
Relocation
possibilities 6 Loss of functional control 6
Total Pros 30 Total Cons 26
Net outcome= Total score of pros – cons
= 30 – 26
= 4
5

It has been observed from the above information that through expansion of their business
operations large number of benefits are gathered by Donald Duque. The different benefits which
are associated with expansion plan includes improvement in number of customers, economies of
scale, skilful personnel etc. Germany and Belgium are such two countries which are highly
favourable for expansion which helps in earning in large number of profits.
(b) International standards required to follow by Donald Duque
Every organisation who wants to expand their operations internationally need to follow
all the regulations which are provided by council. Global standards which are need to comply by
Donald Duque are mentioned below:
 ISO 14000 management of family-environmental: Donald Duque has stationary
business which deals in paper related items. So, their prime objective is to provide their
business function in such manner which has least impact upon environment (Masoud and
Hardaker, 2012).
 ISO 45001 Occupational health and safety: This standard is provide b council for the
benefit of employees working in companies. It brings an responsibility upon company is
to adopt adequate safety measures which ensures their safety at workplace.
 ISO 31000 Management of risk: This standard helps the organisation in implementation
of adequate control systems which results in early identification and removal of business
risks.
Data protection is another important regulation which is need to follow by Donald
Duque. Its provisions restricts the organisation about use of important information and maintain
its confidentiality. There is also presence of another standard which brings an obligation upon
the company is to provide quality stationary items (Chambers, 2018).
TASK 5
(a) Calculation of each month cost about repayment of mortgage of 30 year
Particulars Figures
Time 30 years
Loan payment = Total loan amount /
Discounting factor =
= € 21215.85
6

Monthly repayment € 21215.85 / 12
= €1767.98
(b) Re-calculation of each month cost after application of interest on loan at 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
TASK 6
 H0(Null Hypothesis): It shows that there is no difference in mean value which is
calculated from expected and actual average order value.
 H1(Alternative Hypothesis): This method shows the mean value with difference attained
from expected and actual 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
Limit which helps in selection and rejection of hypothesis
P > 0.05: Null hypothesis accepted or true
P < 0.05: Alternative hypothesis proved or true
From the above table analysed that the value of Z score is determined as 0.23. As it is
more then the limit of 0.05, it provides the optimum results. It shows there is no significant
difference in project.
7

TASK 7
(a) suggestions for betterment
Questionnaire is important technique of primary method which includes different
research questions to gather the information from market. In present report, close-ended
questionnaire is formulate which is attached with many multiple answers from which one is
selected by respondents. Such different questions are asked to 20 respondents to ascertain their
views (Benth and et. al., 2014.).
8

(b) Descriptive statistics
Statistics
VAR0000
2
VAR0000
3
VAR0000
4
VAR00005
N Valid 21 21 21 21
Missing 0 0 0 0
Customer service
Frequency Percent Valid Percent Cumulative
Percent
Valid 2 3 14.3 14.3 14.3
3 4 19.0 19.0 33.3
9

4 13 61.9 61.9 95.2
CUST_SERV 1 4.8 4.8 100.0
Total 21 100.0 100.0
Quality P&S
Frequency Percent Valid
Percent
Cumulative
Percent
Valid
3 17 81.0 81.0 81.0
4 3 14.3 14.3 95.2
QUAL_P&
S 1 4.8 4.8 100.0
Total 21 100.0 100.0
Sales staff
Frequency Percent Valid
Percent
Cumulative
Percent
Valid
2 4 19.0 19.0 19.0
3 3 14.3 14.3 33.3
4 13 61.9 61.9 95.2
SALES_STA
FF 1 4.8 4.8 100.0
Total 21 100.0 100.0
Price value
Frequency Percent Valid
Percent
Cumulative
Percent
Valid
1 3 14.3 14.3 14.3
2 15 71.4 71.4 85.7
3 2 9.5 9.5 95.2
PRICE_VAL
UE 1 4.8 4.8 100.0
Total 21 100.0 100.0
10

TASK 8
Summary of report
Donald Duque is small family stationary business in northern France. The main of
business is to expand their operations in Germany because stationary industry performs good in
this country in terms of turnover. Through such growth plans large number of benefits are
associated like higher number of sales, improved market share, good brand image, economies of
scale etc. Still there are many risks which affects the business activities in adverse manner and
have direct impact upon the figures of sales and profit. There are many global and international
standards provided by council which are required to fulfil for their entry into new market. It
helps to attain the support of society and government in their business operations.
CONCLUSION
It has been concluded from the above report that, analysing data helps in collection of
important conclusions which improves decision-making. It provides the opportunity to small
business organisation is to grab the opportunities present in market effectively to attain success.
Donald Duque is small stationary family business provides their products in France. In expansion
of their activities in Germany, data analysis plays an important role to understand about factors
present in business environment. Questionnaire is important primary method which helps to
ascertain the preferences of respondents and formulation of effective strategies which directs in
performance of different business functions and compliance of global standards.
11

REFERENCES
Books and Journals
Würzburg, D., Labandeira, X. and Linares, P., 2013. Renewable generation and electricity
prices: Taking stock and new evidence for Germany and Austria. Energy Economics.
40. pp.S159-S171.
William Jr, M., Glover, S. and Prawitt, D., 2016. Auditing and assurance services: A systematic
approach. McGraw-Hill Education.
Shagoury, R. and Power, B. M., 2012. Living the questions: A guide for teacher-researchers.
Stenhouse Publishers.
Polkowski, L. ed., 2013. Rough sets in knowledge discovery 2: applications, case studies and
software systems (Vol. 19). Physica.
Peck, R. and Devore, J. L., 2011. Statistics: The exploration & analysis of data. Cengage
Learning.
Masoud, N. and Hardaker, G., 2012. The impact of financial development on economic growth:
Empirical analysis of emerging market countries. Studies in Economics and Finance.
29(3), pp.148-173.
Chambers, J. M., 2018. Graphical methods for data analysis. CRC Press.
Benth, F. E. and et. al., 2014. Futures pricing in electricity markets based on stable CARMA spot
models. Energy Economics. 44. pp.392-406.
Online
MGCC Perspective. 2016 [Online]. Available through:<
file:///C:/Users/user/AppData/Local/Temp/Rar$DIa1.106/MGCCReport2016151878708
0.pdf>.
International Organization for Standardization. 2018. [Online]. Available through:
<https://www.iso.org/home.html>.
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Appendix
13

2014.5 2015 2015.5 2016 2016.5 2017 2017.5
155000
160000
165000
170000
175000
180000
185000
165000
182000
178000
Scatter diagram
Total sales (in €)
1 2
2017.4
2017.6
2017.8
2018
2018.2
2018.4
2018.6
2018.8
2019
2019.2
2018
2019
Trend line
Year
Sales
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