18 March 2007

Yong Xiang Furniture

Yong Xiang Furniture is a distribution factory as they do not sell it directly to customers, instead they sell through trading companies and exported to other countries such as Europe, USA and middle east. This company has operated for over 10 years specializing in sofas. They have local designers to design their sofas and the sofas can even be customize according to customers preference upon ordering. They have to constantly improve their designs to keep up with competition.

How do they attract foreign investors?
o Thru own website
o Trade companies to introduce buyers
o Advertising
o Trade fairs

One major problem that they faced is that they are unable to get wood during certain seasons such as during May to July, where they are low seasons for sale. Another major problem is that they may not have enough sales to cover all the operating costs all the time.

Why they choose to set up there?
o Nearer to the main branch
o Cut transportation costs

Disadvantage to set up there?
o Electricity limited. Therefore, there will be 2 -3 days in a week that there will be electricity cut.
o More cost incurred as a result. But they have resolved the problem by having their own generator

One interesting fact is that they do not put their company name or logo on the sofa itself. Therefore, they are able to customize any designs which the customer requests.

The most exquisive sofa set!

How cool! I could customize my own Hello Kitty sofa in the future! =)