MKTG6002 Marketing Assessment 1: Situation Analysis of Furniture

This report presents a comprehensive marketing situation analysis of Progressive Office Furniture, a company specializing in office furniture design, manufacturing, and installation. The analysis begins with an executive summary and introduction, followed by an in-depth examination of the micro-environment, encompassing the company's internal strengths and weaknesses, along with an assessment of suppliers, intermediaries, customers, competitors, and publics. The macro-environment is then explored, considering demographic, economic, natural, political, technological, and cultural factors. A SWOT analysis is conducted to identify the company's strengths, weaknesses, opportunities, and threats. The report concludes with a discussion of a market development strategy, emphasizing its potential to mitigate threats and capitalize on opportunities, ultimately aiming to expand the business. The report also includes references to support the analysis.

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Situational Analysis

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Executive Summary
Marketing is essential in the organization which is a critical element of business administration.
This report includes the study for the micro and macro analysis for the business which is required
for selecting the business with the help of business market development. The analysis of
Progressive office furniture will be done which who are designing the furniture from the last 25
years. The organization is facing the threat which is faced by the organization related to the
regulations change and environmental threats are faced because of wood and competitors. The
major threats are needed the attention of the organization. It has been analyzed the different
opportunities which also include economic improvement, updation in technologies and
expanding the business. The various opportunities and threats are considered for the analysis of
SWOT. It has been analyzed that the implementation of a market development strategy will be
helpful to reduce the threats and finding opportunities.

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Contents
Introduction.................................................................................................................................................3
Micro-environment analysis........................................................................................................................3
Macro Environment analysis.......................................................................................................................5
SWOT/TWOS analysis...............................................................................................................................6
Conclusion...................................................................................................................................................8
Reference....................................................................................................................................................9

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Introduction
This report includes the progressive office furniture analysis which is required to expand the
business with the help of market development of the business. The company is dealing with the
manufacturing, designing and installing furniture from the last 25 years. It is analyzed that the
company includes the team of specialists which are divided into two segments which are
dealership and corporate solutions.
The division of corporate includes the things which are required for installing loose furniture for
the offices for turning the projects for incorporating the designs, managing projects and
completing the building. In the case of dealership solutions, it offers services for the multi-
franchise organization which is required for designing and installing the furniture in Australia.
The company is serving in Australia for the last 25 years which requires them to expanding the
business in the global market (West, et al., 2015).
This report includes the analysis of the environment which includes the macro as well as
microenvironment analysis. In the micro-environmental analysis, the internal analysis will help
in analyzing the strengths as well as weaknesses. In the macro-environmental analysis, the
analysis of DENPTC will be included for the threats and opportunities.
Micro-environment analysis
In analyzing the internal environment, it is analysed that the company is required to consider the
competency, cost and competitive advantages in the market. In order to expand the business in a
new market like New Zealand, the progressive office furniture is required to expand the business
which required analyzing the internal environment which includes the analysis of the company,
suppliers, intermediaries, customers, competitors and publics (West, et al., 2015).
Company- The progressive office furniture company vision is becoming the best in designing,
supplying and installing the office furniture and providing the best services to the commercial
sector. The mission of the company is to innovate designs and providing the maximum level of
services to customers (Progressive office, 2020). The values which are offered to the customers
include majorly on personalizing the services and working with the customers for forming the
production and motivating the employees at the workplace. The strategy which is adopted by the

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company is providing services to major areas of Australia. The company is a part of global
alliances which helps them in keeping updated with the latest trends.
Suppliers- The company maintains a strong relationship with the suppliers in Australia which
helps them in sourcing the raw material on time which includes wood, equipment, steel devices,
and other products that are required. It is analyzed that by expanding the business in a new
market, it will help in dealing with different suppliers and improving the contacts in the new
market like New Zealand. It is analyzed that with the rise in the environment it is a high
possibility to get the supply of wood in the new market (Wooldridge and Cowden, 2020).
Intermediaries- People who are linked with the business and work as mediators. As Progressive
office furniture company is working for the last 25 years by building a strong image in the work
and it is analysed that with the help of intermediate, the company is able to get the maximum
order to order in the Australia market (Progressive office, 2020). In the case of expanding the
market, the company will take the help of intermediaries for getting the maximum support for
getting the contracts of furniture in offices.
Publics- The people who are linked with the company includes the employees, manager, and
volunteers who help in contributing to achieving the goals of the company. The employees who
are working with the company are in large number and dealing with the more than 150
employees. For expanding the business, the company will be required to grow in a number of
employees (Armstrong, 2014).
Customers- Customers are essential for the growth and development of the business and in
Progressive office furniture also it is necessary. The company is required to build trust in
customers. the trusted clients of the company are Coca-Cola, IKEA, Telstra, etc. The company
provides the best quality work to customers (Chernev, 2018). This helps the company in
managing the clients in the new market in an effective manner. It is essential to retain the
customers with the best products, services, and prices.
Competitors- In the market, competition is increasing in every business and the progressive
office furniture company is facing the more competition in providing the commercial interiors in
the Australian Market. With the help of innovative designing of contemporary offices, the

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company is able to gain the competitive advantages. The company includes the threat of
competition which requires them to bring the new and effective strategies (Duus, 2013).
Macro Environment analysis
Macro environmental analysis includes the analysis of external factors which includes the
demographic, economic, natural, political, technological and cultural environment which helps in
effectively contributing to share the environment to perform the task of expanding the business
of the organization in a different market.
Demographic
It includes the demographic factor which helps the company in determining the target market for
providing the products and services to customers. in order to expand the business in the market,
the various opportunities are available with the progressive office furniture for expanding the
office which will be available. In the case of an in-house office will be provided for customizing
the furniture. Also, the target market will be considered will be different age groups, gender,
ethnicity which requires the furniture for the office purpose (Aghazadeh, 2015). For expanding
the business in New Zealand, the company will expand the business by considering the
demographic factors.
Economic-
In the case of an economic factor, the GDP of the country will be included which will include the
customer purchasing power. In Australia, GDP will be included which is required for improving
the situation. With the rise in the GDP in Australia for the last 2 years, the company is required
to spend the amount on producing furniture and providing opportunities for the job. With the
increase in revenue, the company will be able to expand the business (Eastman, et al., 2015).
Natural
The natural environment includes living as well as non-living things for making the business
globally. It is analyzed that the wood is used for making the furniture in progressive office
furniture. The usage of wood impacts the environment by cutting the trees and it would be a

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threat. It will impact the business of progressive furniture company and they are required to use
the different ways of manufacturing the furniture for the offices (Hollensen, 2010).
Political
Every organization is required to follow the rules and regulations which are the political factors.
In the company, progressive office furniture is required to follow the rules and regulations
(Grant, 2016). It is analysed that the market of Australia is considered stable but with the change
in the regulation, the business can be impacted. It helps the company in leading the opportunity
for expanding the business in the other markets like New Zealand.
Technological-
With the change in technology it is necessary for the company to adopt the change. In
progressive office furniture company, the technology is used for preparing the designs and
offering the 3D projects. By installing the technology services, the company will be able to add
value to the infrastructure of the offices. It is analysed that the company is able to get a wide
range of opportunities in the market and by using the opportunities, the company will be able to
expand the business in the new market (Grant, 2016).
Cultural- In the cultural environment, the beliefs, customers, practices are required to be
considered by the business. In the culture of Australia, employees require comfortable furniture
and facilities at the workplace to work effectively. When the work is good, it leads to change the
customs, practices, and beliefs of employees. It is analysed that the company has a wide range of
opportunities in the market by making an effective infrastructure for the employees (Martinex, et
al., 2019).
SWOT/TWOS analysis
SWOT analysis is considered as an effective analysis for determining the internal and external
position of the business. SWOT analysis will include the analysis of the strengths, weaknesses,
opportunities, and threats of the Progressive office furniture company. The internal factors are
considered for determining the strengths and weaknesses. The external factors are considered for
analysing opportunities and threats.

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Strengths
 Progressive Office Furniture Company provides online consultation to the customers.
 It provides services to a large number of areas in Australia.
 The installation is done professionally
 Manufacturing and material used are of high quality
 Includes the license for trading.
Weaknesses
 They do not provide home furniture.
 People's management of the company is not effective.
 The technology which is used by them is limited and not updated.
 Suppliers are limited
Opportunities
 It is an opportunity to provide the home offices.
 Adopt the latest technology for expanding the business in marketing
 Promotion of business with effective strategies (Kothler, et al., 2018).
Threats
 The major threat to the organization is the change in the regulation
 Increase in competition
 Lacking the building loyalty in customers.
The implementation of a market development strategy will help the company to expand the
business which will help in providing the option of giving the opportunity of house services. And
the market development strategy will help the company in attaining all the opportunities for
achieving the goals and objectives of the business (Kothler, et al., 2018).
Expanding the business with the help of a market development strategy will also help to
overcome the weaknesses. It is analysed that the in order to overcome the weakness of people
management, it is required to implement the proper HR policies for the management.

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The company is trading the business with a license which shows that they are following the
obligations which will help the company in overcoming the threats which are related to the
regulations and licenses (Keegan, 2017). The company is required to adopt a defensive strategy
for dealing with competitors as it will help in providing the services and offer satisfaction to the
customers.
In order to perform the activities, it is essential for the company to consider the weaknesses of
the growth and this requires focusing on changing the operation. With the change in operations
will help in reducing the threats. In order to manage the operations, it is required to manage the
people management (Ajagbe, 2011).
Conclusion
In concluding the report, the analysis of progressive office furniture company is done for
expanding the business with the help of market development strategies. The entire situation of
the business is analysed with the help of internal and external analysis of the business in the
market. the various opportunities and threats to the organization are analysed which will help the
business to grow in the new market. The SWOT analysis is included which helps in analysing
the strengths and weaknesses of the business. . The organization is facing the threat which is
faced by the organization related to the regulations change and environmental threats are faced
because of wood and competitors.

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Reference
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Progressive Office. (2020). Custom Furniture Melbourne. Retrieved from:
https://www.progressiveoffice.com.au/custom-bespoke-furniture/
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