Berghaus’ Case Study :: Business Management Studies

Berghaus Case Study1) Berghaus is very in(predicate) business having an annual growth rateof 25%. This indicates that there is an change magnitude demand for their harvestings. They overly bind an trade proportion of 50% subject matter that theirdistribution rates are very good. Last year merely their per-taxprofits were 750,000 and a large amount of this money can, mostprobably, exit be reinvested into the company for further development.Also, its pre-tax profits in 1991 were 750,000 which is obviously nona small amount, Berghaus clearly stiff business. By the sound of it,that weigh is only expected to increase in the years to come. It hasan export ratio of 1988-9 of more(prenominal) than 50%, which is the vastmajority, within the whole of Europe, meaning that its exportincreased by a great deal during those years specifically, and we demand it still increases in other years too, although whitethornbe not asmuch as between 1988-9.2) In the context of Berghaus, food mar ket differences mean many things.Berghaus currently conduct sales through large tally of countries,from Germany through the United Kingdom and Switzerland, and as a way out Berghaus have found out that the world cannot be treated asthough as one market. Each country has its own customer preferencesand may have veritable social attitudes to a certain type of clothing,and these are known as market differences. Due to this Berghaus has todevelop a certain crop for a specific country and then modify thatproduct or completely reconstruct it for another country. This as aresult means higher costs are involved in question and development andalso diametrical advertising methods would have to be implemented. Thismarket difference has meant Berghaus have had to operate quickly andefficiently to design, produce and run out the product across allthe parts of the world, beating all resistivity and this is obviouslyvery difficult for Berghaus.3) There are many different reasons for the suc cess of Berghaus, andthese can be mainly divided into four parts, Production, Finance,merchandising and Management.Production is simply the fundamental part of the company, without itno product would survive to sell. Designing new products is what makespeople want a certain product and Berghaus have strategically produceda wide range of products meaning that they exit be able tosuccessfully cover the different fields in the market. This means thatthey have more areas for money coming by having more units andproduct innovation is an essential key t their success. Production hasalso been economised by the introduction automated production withcontinual processes. This allows an easy and elastic method to