Supplier selection and evaluation process for a furniture retailer

Abstract

The purpose of this thesis was to study supplier selection and evaluation process theories. The objective was to compare and find similarities and differences between white label and brand selling furniture retailer’s supplier selection and evaluation process. The objective of this study was to understand how do white labelled and designer brand products’ supplier selection and evaluation differ in a furniture retail company and what supplier characteristics are emphasized. Theoretical part was gathered from literature and the Internet. Followed by the theory part, hypothesis of supplier selection criteria was presented. The research question was answered by a semi-structured interview that was done to a furniture retail company that was suitable for a comparison for the topic of the thesis. The results of this study show that there are lot of similarities between acquiring white labels and brand labels from supplier selection and evaluation point of view. A retailer may lean and rely on the brand to enhance sales. On the other hand, a retailer may find other ways to enhance a white label brand, for example with collaboration with furniture designer. Nevertheless, white labels enable to strengthen retailer’s own brand name.