Dunder Mifflin, of Scranton, PA, is the leading manufacturer of office furniture and related items. Their products
Question:
Dunder Mifflin, of Scranton, PA, is the leading manufacturer of office furniture and related items. Their products are made from solid wood, veneer, metal, and laminate. Dunder Mifflin is introducing a new line called The Dwight. The U.S.overall furniture market is estimated tobe $24,813,556,000. Office furniture is 39% ofall U.S. furniture sales. The office furniture categoryis composed of four distinct segments:
(1) Non-solid wood – 29%; (2) Solid wood – 43%; (3) Metal – 18%; (4) Laminate –10%.
Sales of solid wood office furniture at the retail level are as follows: (1) Department stores – 22%; (2) Chain furniture stores –40%;
(3) Independent furniture stores – 17%; (4) Mass merchandisers – 8%; (5) Unfinished furniture stores – 9%; (6) Online – 4%.
(a) If Dunder Mifflin elects to distribute The Dwight line through independent furniture stores and department stores, what is the relevant market?
Auditing and Assurance services an integrated approach
ISBN: 978-0132575959
14th Edition
Authors: Alvin a. arens, Randal j. elder, Mark s. Beasley