Increase production capacity and enhance the export potential of " Favo " JSC

Company "FAVO" JSC produces wallpaper wooden tables and aluminum. With more than 21d. experience, we are the biggest producer in Bulgaria of folding tables for wallpapering, repairs and street sale, we have a strong presence in the European market. The share of revenues for year 2014 customers outside the country amounted to 94% of net sales. Our main clients are Emil Lux - Germany, Kuehne GmbH – Germany. Oke Distibyusion - France Sodiak -France, Galliko NV - Belgium. The company manufactures also spatulas to remove wallpaper and rollers for applying wallpaper glue, which comes bundled with selling tables. Promotional this approach appeal to our customers and indicates that there is a niche market for rollers and spatulas, but as a constraint to increase market share in mind the fact that we have very low production capacity, which prevents expansion of the market. As for the wallpaper tables, our marketing strategy is aimed at increasing production volumes for export, so our commercial activity is entirely focused on European markets. This year we had several inquiries about orders from companies based in the UK who wanted to work with us long-term, but we refuse to fulfill their orders filled because of capacity of the company. Longtime clients also want to increase the volumes traded, as determined by our product in excellent price / quality ratio. This project is related to solving the main constraint to the development of the company - insufficient production capacity to satisfy the demand for products offered by the company. As a measure to expand the capacity of Favo JSC will be the following activities: 1 / Action to improve production processes. 2 / Action for the implementation of new technologies to improve resource efficiency and effectiveness in the production process.

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