Singer achieved its biggest boost in 1867 when it was able to easily circumvent the adversity of the freight charges that, earlier on, impeded its success. This achievement was after the George Woodruff was moved from Boston sales offices to the British Empire in an attempt to revamp is market share. Ideally, the company was able to establish a sewing machinery factory, which was considered the largest, in the parts of U.S, U.K., and Europe. It ensured that the initial cost of wastage that was experienced by the company when shipping its products to these destinations was minimized. As such, the consumers were able to rely on their products that were now in good shape, increasing its global market share in the glob al economy. In addition to this initiative, the company also pioneered the modern sales organizations in an attempt to reach potential consumers through the use of canvassers or door-to-door salesmen.
Question 3: What was the most important factor behind Singer’s success in the Russian market?
The important factor that spearheaded the success of the sewing machine in the Russian market was the administrative discipline and the imminent need to access the company’s resources with ease. Such an aspect was facilitated by motivation that Flohr gave to his sales team in Russia. The Russian economy was characterized by political and social structures that were unique to other Western Europe countries. It had not fully join the industrial revolution, therefore, its legal system, capital markets and the credit institutions were considered underdeveloped. Flohr ensured that the agents focused more on collections rather than sales as unlike in Europe, the Russia economy was characterized by high collection commissions. The Russians buyers were able to pay few rubles at the point of sales; therefore, enabling them to pay the amount in installments would facilitate the sales level of the company.
In addition, repossession of the Singers was the last resort that the company undertook. This ensured that the customers were attracted to the company’s arrangement of down payment and the customers were able to be treated with utmost gentleness. The elimination of the traditional singer categories by Flohr in the Russian economy, such as the bad and good accounts, ensured the agents were motivated to salvage the relevant accounts ad minimize any paperwork that would have been associated with closing of the accounts. The management team and staff that were undertaking the operations in Russia were highly qualified and with relevant skills to handle the challenges that may sprout form economic and political instability of Russia. All these initiatives saw an increase in the sales outlay and the overall success in the Russian economy.
Question 4: How would you compare the globalization of sewing machine in the 19th century with that of computers in the late 20th and early 21st centuries?