Structure of the answer: 1- Conduct a basic SWOT analysis for Rosewood 2- Suggest how can Rosewood maintain a good relationship with the customers. 3- Specify the type of scanning he needs for the internal and external environment 4- Specify the type of research he needs to conduct with a full research plan 5- Suggest a basic segmentation plan

Management, Loose-Leaf Version
13th Edition
ISBN:9781305969308
Author:Richard L. Daft
Publisher:Richard L. Daft
Chapter10: Designing Organization Structure
Section: Chapter Questions
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Case Study – Rosewood

Oak Inc. is a furniture and interior designs huge company where Ahmed Abdel Aziz used to work in. Abdel Aziz was one of the assets of the company as he was the Director of the interior design department. A very creative artist in every sense of the word, thus, he was never about the show. He was a part of almost every single success story in the company on both managerial and creative aspects. Abdel Aziz is in his mid-40s, he started as an interior designer in Oak Inc. back when the company was still struggling in as a relatively new company in the market.

In 2016, a new CEO came on board, he didn’t see Abdel Aziz as much of an asset thus, forced him to resign. Abdel Aziz resigned with no job offer in hand. He spent two years trying to find a job without any hope, thus, he had no other alternative but to open his own company, he didn’t make any type of research, he doesn’t know the competitors, he was living in a complete isolated island in Oak Inc. thus, when he started his company Rosewood, he didn’t know where to start, and he couldn’t afford hiring professionals to start the company.

Rosewood has only 4 junior employees, Abdel Aziz’s assistant who handles all the requests from clients, and helps Abdel Aziz in his drawings, and designs, as well as the handmade artwork he provides.

A general admin, who meets clients, schedule meetings, answers the company’s phone, book-keeping, and other admin related tasks.

An office-boy who cleans the office, and finally a freelance sales guy, who barely gets new clients, because he can’t afford getting someone better with a higher salary.

However, and due to COVID-19, Rosewood has been struggling pretty much in getting new clients, because, hello, no one really wants to redecorate in a pandemic – that’s what his salesperson says. Rosewood has a small number of loyal customers, and a very good word-of-mouth, yet not enough to penetrate the market. The quality of their work is beyond questioning, they’re super professional, they know how to serve customers, they’re detail-oriented and have a beautiful taste – yet, the ordering process is very hectic.

Customers have to submit a request on their website, Hanady receives the request, calls the client, asks for more details then schedules another call with Tamara, after-which, clients have to submit another request on the website with the details agreed upon with Tamara, then she gives Abdel Aziz the details so that he can start working on them. Then, Abdel Aziz starts drawing the design, then meets with the clients for the first time for amendments. By then, a lot of time is consumed, as the clients always have tons of amendments to make for their designs – which is time consuming and double work. Clients however, admire Abdel Aziz’s work, but throws comments about the long process.

 

Abdel Aziz, knows only one person who gives him with all the raw materials needed for his work. He doesn’t know anyone else, and this person he deals with that delivers all materials to his office. Hanady, the general admin, calls him every month and asks him to send them the items needed. Tamara, his assistant priced the items sold with a very small markup yet still the customers’ only complaint is that they are overpriced. When Tamara negotiated this matter with Abdel Aziz, he said “we can’t lower our prices, because that way, we won’t be able to put food on our tables”.

Rosewood can become a very big company but they just can’t seem to penetrate the market properly. Abdel Aziz felt like he’s missing something, he decides to hire you as his consultant to help him penetrate the market.

Please specify to Abdel Aziz what he needs to know exactly, and make a full detailed plan of the type of knowledge he needs to obtain with recommendations of what to do next applying all the chapters covered including chapter 4, the market research and Chapter 9 – The segmentation only.

Structure of the answer:

1- Conduct a basic SWOT analysis for Rosewood

2- Suggest how can Rosewood maintain a good relationship with the customers.

3- Specify the type of scanning he needs for the internal and external environment

4- Specify the type of research he needs to conduct with a full research plan

5- Suggest a basic segmentation plan

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