Gabriel's customer relationship on the Chinese market

Résumé du document

This report will focus on the customer relationship on the Chinese market due to the high growth. The revenue growth is accounted for 60% in 2010/2011 in Gabriel China. Gabriel's customer rela-tionship on the European market was also investigated because differences between these two mar-kets and the diversity in consuming behaviour on the European market and the Chinese market. To explore the relationship between Gabriel and the suppliers the focus is based on Gabriel SBU's due to the fact that the SBU's form the main part of the suppliers.
The report is limited to the segmentation for the Chinese marked.

China is the second most populated country with a population of 1,343,239,923 (July 2012).The assumption relies on that most people and companies need furniture's and can create a derived de-mand for Gabriel's fabrics. Considerations has been made for the possibility of the Chinese demo-graphics do not have the biggest impact and presume many of the manufactures also export the final products to the rest of the world. Also the growing Chinese middleclass wants a more standard liv-ing like in the West.

Extraits

[...] The relationship spectrum illuminates the relationship between Gabriel and the suppliers. There are used two different spectrums to show the different situations that Gabriel operates with. The build up approach is a customer orientated and effective way to segment a market. By using this model it defines the company's key competencies and the momentary state of the company. It illuminates the potential customers as well as a potential new industry without put in a lot effort Company description Gabriel is a Danish niche company operating within the furniture industry. [...]

[...] Overall the findings indicate, that Gabriel has a good relationship with their suppliers. Though Gabriel is using SBU's as suppliers it is still important that they remain a competitive approach if the current suppliers do not live up to expectations or start to lack in any areas The crisis' impact on Gabriel Gabriel experienced a downfall in revenues during the crisis. Revenues went down from 279.7 m to 204.7 m from 2008-2009. They managed to turn it around to 220.4 m in 2010 and 242.6 m in 2011. [...]

[...] The procurement has a high customer value impact. Customers of Gabriel are preferably located in areas with a lower degree of political and financial risks. Manufactures and designers in China are becoming more and more interested in products of Gabriel. All textile factories in China are modern and fulfill the demand for providing high quality and produce in an environmental friendly way. Sales on the Chinese domestic market are increasing as well as on the North American market and Asia in general, and therefore the buying potential on the Chinese market is increasing as well. [...]

[...] By strategically allocation of key account manager effort, Gabriel can ensure the satisfaction from the A and B customers in their database. In that way Gabriel can focus on building long term relationships with the most profitable customers. Key account managers are an important tool for Gabriel and helps creating a win-win situation of “value added exchanges” with customers. When they do an innovative corporation the suppliers want to know where the different raw materials are from and thereby create the situation “collaborative added exchanges”. This is necessary to manage and contain a successful corporation between Gabriel and the suppliers. [...]

[...] Innovation and design is an important element in big parts of Europe[4]. One of the big areas of competition is innovation and quality and the purchase will be a value buy focusing on consuming better. Therefore the procurement complexity is high and the business risk is high. If the fabrics purchased do not live up to the final consumers expectations or needs the choice of purchase will result in a decrease in revenue. In the Chinese market they mainly focus on the low-end textiles and volume[5]. [...]