West lake BY zyq7923 Appendix 1: Firm Overview West Lake was established in Toronto, Ontario in 1970 as a manufacturer of table lamps. During the next thirty years since its founding, West Lake had extended its wholesale line to involve both floor lamps and lighting fixtures. It opened a retail store in Toronto, selling a broad line of lighting and some traditional home decor products. In addition, it also began its business online and sells its products directly to consumers. Charles Bowman, the CEO of West Lake Home Furnishing Ltd, had aken over this small company from his father since 1992.
Vision The vision of West Lake is to stay at top of the business and do a better Job at attracting business from interior decorators looking for customized lighting. Current Strategy Business Strategy: West Lake seeks to achieve the lowest- cost position on the industry by applying cost-leadership strategy. West Lake once manufactured the most of its decorative lamps in Canada, with a main factory east of Toronto. Lately, West Lake begins to shift production overseas, especially to Asian.
Because the low labor cost will cause lower cost of each lamps. In 1999, half of the West Lake’s production was came from China, and in 2006, there is only 10% of the West Lake’s production remained in Canada. Besides, West Lake also took differentiation strategies, which is aimed to produce customized products. Core Competency: West Lake’s core competency is to manufacture products, which acquire both modern designs and reasonable price. Moreover, West Lake also provides service for customized lamps or fixtures without having to wait several eeks.
Geographies: West Lake did the business to be based in Canada. It had built up a factory outlet store in Toronto as well as smaller retailers across Canada. Business Objectives West Lake wanted to achieve steady growth rates of about 10 to 1 5 percent per year. Staying at the helm of the business and do a better Job at attracting business from interior decorators looking for customized lighting. West Lake wanted to be the best- in-class, innovative in new designs and to be price competitive among all the competitors.