Last four digits of student IDENTIFICATION #: 8964
Name of business:
Characteristics of business:
Haefren Baum is definitely an independent furniture retailer that sells high end furniture. The corporation began like a partnership more than 40 years ago. Haefren Baum became a retailer to get Wiegandt in 1968. 2 years later, it officially became a corporate enterprise. Haefren Azyklischer, zusammenhangender graph is located in Cologne, one of the most filled and successful cities in Germany. The company retails home furnishing from a single location in downtown Cologne, and from three recently constructed outlet stores in the suburbs of Rhineland.
Haefren Baum's business to business, distribution network with Wiegandt incorporates a 2% 12, net 30-credit term, which can be consistent with competition in the industry. Haefren Baum's business to customer relation begun to dwindle once consumer self confidence and demand slipped due to negative percentage growth of genuine GDP in 1993. Consumer demand decreased, leading to reduced furniture sales. Haefren Azyklischer, zusammenhangender graph felt pressure to decrease rates in order to maintain sales amount. The on-set of this event forced Wiegandt to extend a much more flexible credit term to Haefren Baum while trying to maintain its personal volume. Nevertheless , the presence of excessive interest rates still threatens Wiegandt current business strategy. Through the early several weeks of 95, the A language like german furniture marketplace continued to show off weaknesses although the overall economy began to retrieve. Competition intensified as other European home furniture retailers came into the German born market as well as some larger home retailers declared heavy failures. The full industry also began launching outlet stores in suburban areas, hoping to attract consumers back again with affordable prices and wide selections. Even though the number of outlets has grown to five times their size in a 2-year period, growth in sale volume remained flat. Wiegandt were required to make a decision in whether to look out for the best...