VTechWorks staff will be away for the Thanksgiving holiday beginning at noon on Wednesday, November 27, through Friday, November 29. We will resume normal operations on Monday, December 2. Thank you for your patience.

Browsing by Author "Forbes, Craig L."

Now showing 1 - 2 of 2
  • Thumbnail Image
    An analysis of hardwood lumber and other wood-based materials use in the wood furniture industry
    Forbes, Craig L. (Virginia Tech, 1992-06-05)
    U.S. manufacturers of wood household, wood office and upholstered furniture were surveyed to (1) assess wood material use for 1990 and estimate use for 1991, and 1992, and (2) to examine consumer perceptions of certain hardwood lumber and supplier attributes in order to ascertain which are most influential in consumer purchase decisions. This study also provided information about the respondents, RTA and unfinished furniture, and green lumber purchases. Total 1990 hardwood lumber used in wood furniture was estimated at over 2.4 billion board feet. Use was expected to increase 13% from 1990 to 1992. Softwood lumber used in wood furniture in 1990 was estimated at over 839 million board feet. A 6% increase in softwood lumber use was expected from 1990 to 1992. Red oak was the most commonly used hardwood species and southern pine was the most used softwood. Furniture manufacturers indicated a decrease in particleboard and MDF use, and an increase in hardboard and OSB/softwood plywood use from 1990 to 1992. Product consistency was the attribute which most influenced the purchase of hardwood lumber, followed by accurate grading, supplier's knowledge of lumber, correct orders, and shipping on time. The least influential attributes were square end trimming, square edges, protective wrapping, end coating and supplier's ability to surface. Just over 20% of the respondents manufactured Ready-to-Assemble furniture and just over 15% manufactured unfinished furniture. Overall, 26% of respondents purchased green hardwood lumber, most being larger firms. Most firms' purchases of green lumber either have not changed, or have increased, over the last 5 years.
  • Thumbnail Image
    Competitive strategy and structure in the United States wood household furniture industry
    Forbes, Craig L. (Virginia Tech, 1995-02-05)
    A multivariate measure of Porter's (1980) dimensions of competitive strategy was used to determine the competitive structure of the U.S. wood household furniture industry. Firms were categorized into strategic groups using hierarchical agglomerate cluster analysis based on factor scores. Cluster analysis resulted in a differentiation, an overall low cost, and a focus group (which appeared as a sub-group of the differentiation group). No differences (based on MANDOVA) were found between strategic groups based on performance (ROA or growth), or between firms with a distinct strategic orientation and those that appeared to be "stuck in the middle" (Porter 1980, p.41). Firms were asked to predict changes in their strategies over the following five years (1993 to 1998). The overall low cost group predicted increased emphasis primarily on the differentiation dimension, the differentiation group predicted increased emphasis on the focus dimension and the focus group predicted greater emphasis would be placed on the overall low cost and differentiation dimensions. Three firms chosen based on their close proximity to strategic group centroids were studied through case analyses to detennine how these firms operationalize their intended strategy. The firm classified as a differentiation strategist: emphasized product style and company image, and was very customer-oriented. The overall low cost firm's strategy involved manufacturing generic products exhibiting mass appeal and offering these products at the lowest cost. The focus firm aggressively targeted a particular market segment to achieve competitive advantage. The structure of the industry was investigated based of value of shipments during 1993. Over 60% of reported shipments were targeted toward a medium price point. Nearly 85% of shipments were from the largest 25% of responding firms. The majority of furniture shipped by respondents was bedroom furniture, followed by dining room furniture (19%) and occasional tables (11 %). Over one third of reported shipments were through local and regional full line furniture stores. Other important channels of distribution were national furniture chains (20% of total shipments) and discount chains, department stores and mass merchants (14%). Of the total reported value, 6.0% were exported, 15.6% were consumer ready-to-assemble (RTA) furniture and 16.9% were new products.