The Furniture Practice: Entrepreneurship Expansion Report Analysis

This report examines The Furniture Practice, a small furniture company, and its potential for expansion. It begins with an introduction to entrepreneurship and the company's operations in the United Kingdom, followed by a detailed analysis of the furniture product and market, including the use of Porter's Five Forces. The report then explores potential countries for expansion, focusing on Latvia and Australia, and analyzes market entry strategies such as partnering and franchising. A key component is the application of the marketing mix (product, price, place, promotion) to the expansion plans, with justifications for all strategic decisions. The conclusion emphasizes the importance of market analysis, appropriate market entry strategies, and the use of tools like the marketing mix to achieve successful business expansion. The report incorporates relevant references from academic sources.

Entrepreneurship
Class Work 1

Table of contents
 Introduction
 Research product or service
 Research of market
 Research of countries
 Synthesis, analysis and evaluation of information
 Identification and justification of two markets
 Market entry strategies and their appropriateness
 Marketing mix:
 Justification
 Conclusion
 References

Introduction
Entrepreneurship can be defined as the ability of an individual to formulate a new
business concept so that an organisation could be managed systematically. It is very
important for all the companies to make sure that effective strategies for managing
all the operations are formulated. This presentation is based upon the furniture
practice which is one of the small and successful entities of united kingdom. It covers
various topics such as research regarding products, market, countries, deciding
countries for expansion, marketing entry strategies etc. Apart from this, marketing
mix is also covered in this presentation in context of the organisation.

Research product or service
 The Furniture Practice is s small furniture companies which are operating business in
United Kingdom. There are various types of items that are offered by it to the
corporations and architects. There are various features of all the furniture which is sold
by the entity. All of them are as follows:
 The organisation is highly focused with innovation so all the furniture items that are
sold by it are innovative.
 Quality of furniture sold by The Furniture Practice is very good because the goods that
are used by it are of good quality

Continued…
 In order to analyse the competition in the market porter’s five forces analysis
could eb used. It was developed by Michael Porter for the purpose of facilitating
organisations to determine impact of different forces upon the business. All the
elements of it are discussed below in context of the organisation:
 Competitive rivalry
 Bargaining power of suppliers
 Bargaining power of customers
 Threat of new entrant
 Threat substitutes

Research of market
The furniture industry is very large and for an organisation it will be very beneficial
to be a part of it. With the changes in trend choices of customers changes and they
replace the old things with new one. If an enterprise is manufacturing furniture
according to the latest trend then it can help it to be the first choice of the clients.
Some of the key elements that are related to the industry are as follows:
 The size of global furniture market is large as all the individuals want to have best
furniture for their house.
 The expected growth in the market till 2024 is around 5.2%.

Research of countries
There are various countries which could be targeted by the furniture companies such
as The Furniture Practice to expand the business. It is very important for all the
entities to analyse the countries properly so that best suitable decision could be taken
for future. Some of the nations that could be focused for expansion are analysed
below and some of them are from European Union and some of them are outside of
EU:
 Austria
 Latvia
 Japan
 Australia

Synthesis, analysis and evaluation of
information
From the gathered information of furniture market and different countries it has been
evaluated that for a small as well as large entity it is very important to expand the
business in different areas. It can help to attain growth and capture a large market
area. If an organisation is not able to pay attention towards it then it will be very
difficult for it to compete with the rivalries in the industry. By expanding business in
different countries, a company can capture a large market area and increase the
number of customers.

Identification and justification of two
markets
There are various countries in and outside of European Union which could be
selected by The Furniture Practice for the purpose of expanding business. While
selecting them it is very important for the management to make sure that all the
aspects of business are analysed properly. The two main countries which are selected
for the purpose of expansion are Latvia and Australia. Latvia is selected because it is
an EU country and the standard of living of people of it is very high.

Market entry strategies and their
appropriateness
While expanding business in new country it is very important for all the
organisations to make sure that appropriate market entry strategies are identified. As
The Furniture Practice will be expanding its business in Latvia and Australia so it is
essential for it to analyse best market entry strategy for both the countries. The
options which will be used by the company are as follows:
 Partnering:
 Franchising

Marketing mix
Marketing mix is a strategic marketing tool which is used by all the organisations to make
appropriate changes in it strategies that are used to market the products and services in the
industry. There are four main elements of it which are product, price, place and promotion.
As The Furniture Practice is planning to expand its business in Latvia and Australia so it is
very important for it to make sure that it formulates effective decisions in context of all the
elements. Description of all of them is as follows:
 Product
 Price
 Place
 Promotion

Justification
All the decisions that are taken for The Furniture Practice are based upon the current
situation and future goals. Marketing mix is modified because the organisation is
required to make changes in it so that it can establish itself successfully in Latvia and
Australia. Apart from this the decision of expanding business in these two countries
is taken because these are the best suitable options for the company to expand.