There is aggressive competition to be seen in this industry as this industry has been around for a relatively long time. Rivalry occurs because competitors will either feel the peer pressure or seeing growing in opportunity of the business. The potential competition can be seen from sustainable innovation competitive advantage, price competitions and corporate strategy (Cafferky, 2015).
The rivalry between the furniture retailers is viewed as medium to high threat as competitors have been providing excellent delivery services, innovation in sustainable product and customer satisfactory. The new invention of sustainable product will catch public attention due to the awareness of sustainable living and going green ideology. In order to get attach …show more content…
With the advance of mobility access, many customers have switch towards mobile and online engagement purchasing method. HVN has developed a strong online platform to engage closely with buyers with organisational philosophy “think mobile first” (Kelleher, 2015). While creating integrated in-store and online experience with the intro of “live chat” to ensure customers are always in their best satisfactions. The successive used of Omni Channel Strategy of “quality”, “value” and “service” embraced strong growth in franchising operating up to 39.4% in 2015 (HVN, 2015).
Even with a strong based of products variety that hold large amount of customers, HVN facing threats bringing up by similar competitors such IKEA. IKEA has taken action in cutting prices across the board up to 50% (Stafford, 2012). While moving into a stronger competes in the industry IKEA will be commencing new store with larger product capacity, mix of small pick-up stores and greater delivery services to increases its efficiencies and building better customer experience (Chung, 2015). The action will be challenging of HVN as customer may choose to consume business
The rivalry between the furniture retailers is viewed as medium to high threat as competitors have been providing excellent delivery services, innovation in sustainable product and customer satisfactory. The new invention of sustainable product will catch public attention due to the awareness of sustainable living and going green ideology. In order to get attach …show more content…
With the advance of mobility access, many customers have switch towards mobile and online engagement purchasing method. HVN has developed a strong online platform to engage closely with buyers with organisational philosophy “think mobile first” (Kelleher, 2015). While creating integrated in-store and online experience with the intro of “live chat” to ensure customers are always in their best satisfactions. The successive used of Omni Channel Strategy of “quality”, “value” and “service” embraced strong growth in franchising operating up to 39.4% in 2015 (HVN, 2015).
Even with a strong based of products variety that hold large amount of customers, HVN facing threats bringing up by similar competitors such IKEA. IKEA has taken action in cutting prices across the board up to 50% (Stafford, 2012). While moving into a stronger competes in the industry IKEA will be commencing new store with larger product capacity, mix of small pick-up stores and greater delivery services to increases its efficiencies and building better customer experience (Chung, 2015). The action will be challenging of HVN as customer may choose to consume business