Market analysis: Opportunities for entering the Croatian furniture industry

Today the market in the European Union is a global common market, which makes it difficult to create a strong competitive advantage. In order to differ one brand from another and create a strong market portfolio, it is important to enter emerging markets within the EU, in this case, the Republic of Croatia in particular. In order to succeed in this, market research is essential for identifying the key elements that would allow a brand to build the necessary relationships within the new desired market. In collaboration with the Embassy of the Kingdom of Belgium in Croatia, the study aimed to build a strong and detailed market study. By identifying the advantages and disadvantages of the furniture industry in the Republic of Croatia, this study wanted to help foreign manufacturers to have an insight into this particular industry. In addition, the behavior of consumers within the region was analyzed in order to provide realistic data about all the aspects of the industry. The data was collected from three different sources. First, secondary data were analyzed to explain and provide information about the market research. Secondly, a Facebook survey for consumers was conducted to identify trends in their behavior and, finally, on-site interviews were arranged in the furniture fair AMBIENTA which took place in Zagreb, Croatia in October 2016. According to the results, the industry is not highly developed regarding design and innovation. However, the high quality of raw materials within the region makes its possibilities satisfactory. The national brands and manufacturers are disadvantaged with respect to design, innovation, and price compared to the other member states of the EU. The results of the study indicate that the Croatian customer does not seem to have any special preference towards Croatian furniture brands and products, which would mean an advantage for the foreign brands trying to enter the market