INDUSTRY DESCRIPTION AND OUTLOOK

Furniture Dream Enterprise is an online retailer that sells different type of furniture
and material at a lower cost while maintaining high quality. Furniture Dream
Enterprise's operating performance on the online platform, which is a business-to-
business (B2B) ecommerce business model, is superior to that of a traditional retail
store selling furniture because it is a fully online business operational company that
provides consumers with greater convenience by allowing them to browse our
products, prices, and information about us on the internet platform. Furniture Dream
Enterprise is spending a lot of money on advertising and marketing in order to reach
out to a larger and more diverse regional community of potential customers that is
businessmen.
Furniture industry is the companies and activities involved in the design,
manufacture, distribution, and sale of functional and decorative objects of household
equipment.. The steady increase in disposable income and the consequent rise in
living standards are responsible for the continuous growth of the market, as is the
constant demand for furniture. The growing number of internet and smartphone
users has not only changed consumer behavior, but has also fundamentally changed
the sales channels and retail landscape. The adoption of online shopping by
consumers has made furniture one of the fastest growing markets in that regard.
The furniture industry, like many others, has experienced rapid changes this year.
Most notably: Consumption Patterns. The existential COVID-19 mandate to work (or
for many, live) at home all day, every day, has been a boon to home and home office
furnishings suppliers, as many consumers realized they needed a better home office,
while others took the opportunity to upgrade dining and living areas. Many employers
now give employees home office stipends of $250-$1,000, with flexible work from
home (WFH) policies that should last until at least mid-2021. This work from home
trend is unlikely to dissipate with a COVID vaccine or treatment. This has helped the
industry recover from stark sales declines in March-April, with estimates that new
orders in June were up 30% over 2019. 
The Growth of E-Commerce correlated strongly with changing consumption patterns
(due to COVID-19 closures), the e-commerce channel grew at a 10-year rate in just
six months. While e-commerce adoption has long been a juicy topic of discussion in
the industry, it’s now a must have, not a luxury. We have noted rapid sales and
profitability growth of the e-comm majors like Wayfair and Overstock, as well as
smaller competitors reaping the rewards of long-term technology investments.
Consumers continue to become more comfortable with making purchases online,
and those companies able to satisfy this need will continue to grab market share. 
With the evolving imports landscape once believed to be a minor trade tiff, the
overall U.S./China relationship is now at an all-time low (at least since President
Nixon’s fabled trip to Beijing). We now know that U.S. Furniture Imports from China
officially plunged 28% in 2019; the balance was mostly made up in Vietnam (35%
growth YoY) along with growth in Malaysia (27%), Indonesia (8%), and India (7%).
We now hear about Vietnam everywhere we turn, as well as the smaller producing
countries, as capacity there becomes constrained. We do not expect this flight from
China—at least for those in the U.S. market—to change in the short-term given the
built-in effects of the trade tariffs and seemingly unbridgeable political tensions
between both countries. 
Market need
The furniture market is evolving as demographics shift and consumers’ buying habits
change. No furniture seller can afford to have a poor marketing strategy. Having
great products and stellar service isn’t enough to compete. We need to be top of
mind at the right time and provide a buying experience that compels shoppers to
complete the sale. Having a comprehensive strategy for your furniture business will
help you determine who your ideal customers are, how to provide the experiences
they crave where they crave them, and how to cultivate relationships that lead to
long-term customer engagement.
Our Furniture Dream Enterprise is doing a business model which business to-
business e-commerce business model. We sell to customers who businessman or
entrepreneur need certain features when buying a product or service, which are
known as market needs. To be effective, every business, including ours, must learn
more about the needs, the requirements, the wants, the specifications, and the
expectations of its customers. There are four key consumer or market needs that a
company or entrepreneur should remember. Price, consistency, selection, and
convenience are the four factors to consider.
The furniture industry is booming, so there’s never been a better time to get into the
industry. In fact, the furniture market is anticipated to be valued at more than $750
billion by 2026. Part of this massive industry growth was likely sparked by COVID-
19-related lockdowns. Since people were spending more time at home and less time
out and about, there were shifts in personal budgets. Many people took the extra
money that they would’ve spent on vacations, going out to eat, and other activities
and spent it on revamping their living spaces with new furniture and home decor.
Home office furniture was also a huge hit since working from home became the norm
for a while.
Although the industry is projected to grow at a healthy rate, some COVID-related
trends were less than favorable. Since new constructions halted and new
construction often correlates with furniture purchases, the industry took a hit from
that angle. Something else that is worth noting is that some major furniture
companies, including IKEA, are publicly shifting towards sustainability. Although
sustainability does not matter to all potential buyers, it does to some. If that is an
area that you’d like to compete in, that is something to keep in mind.
As a result, customer who businessman or entrepreneur demand has a direct impact
on industry demands, which may lead to a rise in a company's revenue. As a result,
the company will begin by determining the customer's needs, wishes, interests, and
personal profits. Hence, selling what the customer wants and desires is preferable to
attempt to sell something they cannot see the value of. Therefore, we have sold
various types of furniture that are hard to find in the market with good quality to
businessmen or entrepreneurs, for metal, wood and bamboo. Thus, this is due to the
variety of types and hard to find in the market can attract more customer who
businessman or entrepreneur and giving them to make a choice by not on one type
of our furniture only.
Personal profits apply to all income obtained by all individuals or households in a
country, including benefits from a variety of sources such as salaries, wages, and
incentives earned through jobs or self-employment, dividends and distributions
earned from savings, rental receipts from real estate investments, and profit-sharing
from companies. As a result, the personal benefit has a major impact on consumer
spending. Personal benefit is tracked periodically or annually by national statistical
agencies, economists, and analysts because consumer buying drives much of the
economy. The World Bank classifies the world economy into four income groups
namely high, upper-middle, lower-middle, and low.
Therefore, excessively high product costs for low-income customers are an ongoing
problem. This is because many goods are already designed for high-income
customers, making it impossible that any businesses would be able to create a
commercially viable business model to market the product to low-income. On the
other hand, our company Furniture Dream Enterprise is to sell cheaper and quality
furniture than other furniture companies or from companies that traditionally trade-in
stores, this can help our consumers that are small entrepreneurs can afford to buy
resources who want to start a business. Meanwhile, cost of our operating in a
business-to-business e-commerce business mode is lower compared to physical
stores that had to pay rent and other utilities, and this allows us to offer our furniture
prices cheaply and quality for sale to businessmen or entrepreneurs.
In the B2B e-commerce model, our company takes an individual pricing strategy for
each client. As a result, for wholesale accounts, our company sets pricing depending
on parameters such as consumer segments, volume orders, exclusive commodity
rates, geographic prices, and so on. Prices, regardless of these conditions, will
replace any of them and are applied differently for each client.
TARGET CUSTOMER
In B2B (business-to-business) e-commerce business model, the company is playing
a supporting role and providing products that other companies need to operate. It is
totally different compare to B2C (business-to consumer) which sell the product
directly to consumer. For example companies will sell their products such as raw
materials, finished parts or service to other businesses and the business will sell the
end products or service to consumer. Hence, B2B companies have more complex
and have different target audience compare to B2C business which have fixed
customers. (Uzialko, 2021)
Furniture Dream Enterprise is a B2B e-commerce business which will sell the
industry product such as different types of furniture for others business to sell for end
consumer by using the website of Furniture Dream Enterprise . Therefore, the target
market that aim by Furniture Dream Enterprise is all the B2C business, wholesalers
and manufactures that selling different kind of furniture products and service.
The first target customer by Furniture Dream Enterprise is all the B2C business that
selling furniture product such as table, chair, bed and many more. Furniture Dream
Enterprise will produce different types and material of furniture and selling to all the
B2C business and then they will selling to end consumers. Normally, they will buy
the furniture from Furniture Dream Enterprise in a large quantity and keep the stock
in their store.
The second target customer by Furniture Dream Enterprise is wholesaler. A
wholesale furniture business is a company that supplies products to retailers.
Wholesale furniture businesses also use a B2B model, which means they sell to
other businesses rather than directly to buyers. As a wholesale furniture distributor,
they’ll mostly sell their products in bulk quantities. Bulk orders are subject to
discounts when compared to retail prices. For example, dressers may retail at $500
apiece, but they could be purchased in bulk quantities at $300 apiece from Furniture
Dream Enterprise . Some wholesale furniture businesses also partner with
dropshipping companies which like Furniture Dream Enterprise. In this situation, the
wholesaler would also be responsible for order fulfillment. This is definitely a bit
different from normal furniture wholesaling but it has become a bit more popular in
the past few years.
The third customer focused by Furniture Dream Enterprise is manufactures.
Industries in the Furniture and Related Product Manufacturing subsector make
furniture and related articles, such as mattresses, window blinds, cabinets, and
fixtures. The processes used in the manufacture of furniture include the cutting,
bending, molding, laminating, and assembly of such materials as wood, metal, glass,
plastics, and rattan. However, the production process for furniture is not solely
bending metal, cutting and shaping wood, or extruding and molding plastics. Design
and fashion trends play an important part in the production of furniture. The
integrated design of the article for both esthetic and functional qualities is also a
major part of the process of manufacturing furniture. Design services may be
performed by the furniture establishment's work force or may be purchased from
industrial designers.