Abstract:
The market saturation of the retail channel and the increasing competitiveness of low cost countries have led many Italian furniture firms to enter the contract market. However, serving this market is not an easy task. The contract implies indeed a cultural and organizational change in terms of competences, roles and vertical integration strategy. Furthermore, this segment has a strong international footprint that requires a specific firm size to face such a complex scenario. The development of a case study shows how, through a process of functional upgrading, a medium-sized Italian furniture firm has managed to get out of the crisis, entering the contract market in the Middle East countries.
