1. Introduction to Magic Koil Mattresses
The government is trying to meet the community’s need for mattresses through building activities for subsidized housing. The need for subsidized housing is increasing due to mass urbanization, and the community itself is getting more prosperous. People prefer to buy physical products to assets that require regular payments such as life insurance. It allows for low economic mobility. This study aims to reveal mattress product innovations developed by PT. Halim Samudra Cipta, which produce Magic Koil in Indonesia. The parent company designs the product by following the development in the consumer’s home mattress’s home country, Singapore. After independent trading is established, the business is diverse, and the need for mattress varies. Data were collected through in-depth interviews with brand owners and an informal interview with a producer.
One of the most important household furniture is a mattress. However, mattress products are not highly valued and given less attention by the business world because the products have long replacement cycles. In Indonesia, more than 90% of the population already uses a mattress, with a replacement range of 4-7 years. The purchase is also often impulsive, so the choice falls on a substitute product, which is the best at that time, not necessarily right. However, mattresses play a role in the quality of life, as low quality can cause sleep continuity interruptions, health disturbances, and affect the ability to perform.
1.1. Background and History of Magic Koil
Future prospects: For the development of the business two permanent store outlet options (to provide a 30 billion mark (on the second instead of the first step) are already marked in the local mall with sales and distribution into more strategic directions. Buy a place for producers to sell all-efforts. Currently the company has begun assaulting the market with roof specifications that are defined as standard on wholesale. With a number of agents and dealers running for the distribution of underwear residing in 36 Trader Jay Street 19, and about 210 dollars, the buyer then traveled directly to the store. After a year, the store outlets were even successful Success of new outlets in several Business Showrooms / libraries in large cities, and since purchasing leasehold sales for marketing managers based on a marketing strategy and a 10-year warranty, Singapore is Singapore that is 1 decade old at a cost of coating in 2009 to be seen.
Started with the establishment of many relied on originality in style, fashion and health. Magic Koil has 2500 the latest European design and since they legalized the product, they have been on the market for more than 20 years. Future developments and strategies: producing good quality mattresses that are currently only available in India After the facilities were initially suspicious of the company, now have Which became profitable? Currently, PT. Magic Koil Indonesia is the first company and the only mattress company in Indonesia and 1000 patah daya tangan. In Jakarta kot,Jl. Dormitory with 7,000m2 land property and 10,000m2 total estimated built-in Malati Raya Block JD No.15 Jakarta 10021, Jakarta students are 24 and 25 years old.
Hearing the news of Singapore’s economic development, Koh returned to Singapore and explained to his former workforce that his move to Indonesia to create mattresses using traditional hammers was successful. After persuasion for a while, finally the workers agreed to establish a new Magic Koil in Indonesia with the figure of the company’s owned capital by them also with Kedudukan PT in Bandung. However, after the fall of the Soeharto regime to all the credibility and the cohesiveness of the employees, Koh found additional land in Bandung in 1999, established another company in Jakarta and was found in the year 2003, formed a company and moved to join with the former employees. Five months later, a second factory was opened in Ciganitri Living Kerjasama dan Setelah Dapat Khusus yang berdomisili di Bandung which was later named PT.
Magic Koil was established in Singapore in 1978 by a Malaysian businessman, Mr. Koh. It was formally known as Koh-Imtex. Since then, the company has produced innerspring mattresses. “However, in 1985, the company did not reveal their budget because their factory in Singapore had closed at the end of February due to rising wages in other companies,” thus, Koh finally decided to leave Singapore. Koh first left Singapore with his family and his two children then went to Indonesia and was not heard from. While in Jakarta, Indonesia, they were unable to find food and finally decided to start their work there using the last money in his pocket. Settling in Indonesia, Koh began to gather the country’s resources. The idea of creating a mattress using coconut fibers was revived. The sleeping mat business was revived. It started with a small capital in a 5×6 meter room. Afterwards, Koh founded Magic Koil Production Indonesia under an official body which is recognized as a legal business entity in Indonesia. From a small business that originated from Singapore and has no representative before them in Indonesia, in 6 years on the reliability of the output product, the company has successfully swept the local market.
2. Size Innovations in Magic Koil Mattresses
Their exuberance, however, became obvious in letters from those advancing on the Silver State market. “When people hear about these Magic Koil products, they come into the showroom and lie on the mattresses,” wrote an Indonesian correspondent. “They fall asleep.” Similarly, according to a prospective customer in Charlotte, buying a waterbed was a “huge leap of faith,” and she wanted to try the firm’s more conventional mattresses first to see if she could sleep on them. Would they deliver?
While the magic koil indonesia size mattress made its global presence felt in Italy, England, Russia, and Indonesia, an interesting chapter on size change was concurrently unfolding. It all began when many Americans of various physical sizes thoroughly enjoyed their nights’ sleep on Magic Koil innovation mattresses. Travelers returning to the United States from such countries as Indonesia, Italy, England, or Russia were so enthusiastic about finding non-electrical furnishings that they would add the mattresses to their orders for wood carvings or imported clothes. They would report that overseas bedding sizes were different from those found in the United States and that these new sizes contributed to providing unusually comfortable sleep.
2.1. Importance of Size in Mattresses
Due to the importance of size in mattresses, Magic Koil italia has created a unique service and offers customers the choice to customize the size. MagicKoil’s integrated user-centered innovation in designing and adding value aims to make the customer’s dream come true while also considering reducing thickness and bulkiness and replacing it with quality. To achieve this integration, MagicKoil utilizes scientific design methods for innovation in construction, comfort, performance, and type of bed.
Conventional mattresses have only four sizes: single, double, queen, and king. This is a problem because people have different preferences depending on their culture, available space, shape, and living arrangements. There are many different sizes that are in demand, such as West American King, East American King, and California or Western King. Everything must be imported, and there are not many manufacturers who can produce these sizes, except for those who make them on order from hospitals. Additionally, every country has a different size, so items that are already available in the market cannot be used in a country that has a different size.
3. Innovation in Magic Koil Mattresses
Magic Koil Indonesia, Italy, and Size Innovations is a case study of innovation in top mattress technology that is equipped with a zoned spring and Euro Box topper. With a relatively high price, Magic Koil mattresses are targeted at the upper-middle class and above. These innovations are competitive advantages in the industry. Koil magic sales last year reached 1.2 million US dollars per year to fit in the cache market capacity of 60 million US dollars. The development of a Magic Koil mattress that has received an order from the US and Korea with a big amount of President Director Charlie Peng will also increase the production capacity from 1 million US dollars per year. Mattress industry developments based on micro-technology continue to develop indicating more modern living needs. Since the world standard mattress size has been published, Magic Koil has advanced the industry by providing custom size choices for brands or personal logos. These are customer segments of upper luxury.
This case study identifies two successful companies that have embraced technology in order to innovate their products. Led by Mr. Charlie Peng, Magic Koil has developed mattress innovations – namely the zoned mattress and Euro Box top mattress. These mattress innovations have turned the company into one of the leading mattress brands in Indonesia. The innovations have not only been successful in Indonesia, but are also being used in Magic Koil Singapore and Magic Koil Italy and are funded by the Asian Development Bank. The innovative mattress is now being explored for use in Korea, USA and Europe. Meanwhile, the last attention for design size mattress has also been developed by Magic Koil Indonesia since 2008 because consumer problems need a mattress for a certain size, so the company is developing international standard and affordable prices raise brand exclusivity Magic Koil.
3.1. Technological Advancements
The development of the export market and the domestic market thus making Magic Koil consider expansion in the form of opening branches in some regions of Indonesia. The mattress produced by Magic Koil can be regarded as a cheap, economical mattress, with the equivalent comfort level as the other premium mattresses, mostly from imports.
Since 2002, Magic Koil has penetrated the export market. The destination country with the highest volume of furniture and mattress exports is Italy after Vietnam. The export market continues to be developed, can penetrate across several continents to the United States, Japan, and other Asian countries. The addition of export destinations in the future is expected to continue to increase every year.
One of the reasons most companies trust Magic Koil to produce their mattresses is that Magic Koil uses modern technology, the right material, capable personnel, but at a relatively affordable price. The mattresses produced by Magic Koil are known for their innovative designs, which require a production process that is not only not very easy, but a need for relative precision, thus producing a high-quality poached spring mattress.
One of the producers that have been pursuing these innovation efforts is Magic Koil. Magic Koil is a mattress producing company which is located in Batam, Indonesia. This production unit, since its presence in the era of the 1990s, has a high reputation and is known to the public for its quality mattress products. This has resulted in major international companies approaching Magic Koil to produce a mattress.
Based on several interviews with several Indonesian mattress producers, it was found that most experienced producers saw that the challenges currently faced by the mattress industry are increased production costs that continue to increase, increased production capacities, and mobile consumer demand that tends to always increase. The pressures on lower production costs, production increases, and increased production capacities push the mattress industry to always find innovative alternatives.
The offer of mattress products in Indonesia and the global market today is very diverse and varied, ranging from the traditional time mattress that still uses kapok material, mattresses with foam, latex, innerspring, bed with water, etc. This is closely related to developments in mattress production technology and the creativity of the producers of the mattresses.
4. Magic Koil Italia: A Case Study
These patented technologies, advancements of technologies that have been explored for more than one hundred years, are the outcome of a unique amount of engineers, designers, and craftsmen working in the field. Magic Koil Italia has not only innovated the design but has also innovated in covering and marketing, and the beauty of inside technology is on the edge of industrial 3D printing of generation services, comprised of the identity of the mankind’s mind and muscles. The advanced technology included in Magic Koil Indonesia, Italia, and Size is meant to bring the notion of a good night’s sleep to the next level. Due to its good performance in supporting a good night’s sleep, Magic Koil mattresses are called ‘The Perfect Mattresses’.
Magic Koil Italia has received numerous design awards for its patented design, which includes luxury material components such as hand-crafted Lamborghini leather covers with air purifying and anti-aging components, 24-karat gold thread integrated into the stitching, and LED lights accentuating the support technology while beaming comforting light into the room. Utilizing reversed spring technology that is recommended against gravity and memory effect, paraffin-encased baby springs in Monel metal (a highly corrosion-resistant material of at least 97% nickel) help support a set of Nicol fluidic chambers that can adapt to your body thermionic changes into the best position.
4.1. Market Penetration and Success
In 2008, Magic Koil Indonesia introduced new technology-branded mattresses as new products in its production capacity. The result is a high-quality branded product sold on the high end and a lower quality unbranded product for mass consumption. This research aims to identify: 1) how Magic Koil Indonesia used mattress technology innovations to serve the two conflicting markets; 2) how the strategy of making operational choices allows it to cope with conflicting resources; and 3) whether operation strategies are conditioned by internal capacities. A qualitative case study approach is used with data including interviews, observations, and public documents. The findings are twofold: 1) Magic Koil Indonesia protects its high value-added mattresses by creating an organizational structure and core manufacturing process that result in no low-end hybrid mattresses; and the overall operational plan allows for concentration on high-quality mattress production; and 2) operation strategy appears to be influenced more by internal capacities than by changing market patterns. However, it also suggests that the error of fit operation strategies can also lead to temporary synergistic advantages. The study contributes to the literature about the company, resource-based views, and the role of organizational strategy and the design of production and service features. In addition, it may also provide insights for managers in companies that are currently experiencing and facing the conflicting resources of high and low-end consumers.
5. Conclusion and Future Prospects
For prospects, it is suggested that the company should be using the internet to share knowledge and gain access to potential partners in support of an open and collaborative innovation strategy. The need for more trust and that effective cross-functional communication and stronger relationships are required to ensure that innovations benefit partners, the partnership and the industry is made. Experience, constant development, the best materials available in the world, state-of-the-art equipment, and constant study of new technologies as well as cooperation will make it possible for Magic Koil to maintain its market position. The long-standing relationship with technology providers such as the Italian design and machinery companies gives a strategic competitive advantage to Magic Koil. They have learned specific technologies to keep up with the market demand. Since 1987 Magic Koil has been researched and studied by the Rheafutur Spanish and Italian groups for orthopedic products.
In terms of innovation performance, the survey showed that Magic Koil was an innovation leader in terms of sales and value chain structure. This was so because innovation prompts sales growth by improving value chain structure. There was a direct reasonable relationship between innovation and sales growth. Product innovation is closely interwoven with value chain search and marketing. This made Mattress to be an industry in a narrow sense. However, for fear of cloned nature, the Mattress industry seems to lay low. The Mattress prefers to change names, knowing that copycats often ruin profits and take advantage of substantial company investments in research. When this happens, consumers can get a great mattress that doesn’t cost you an arm and a leg, according to Magic Relax mattress manufacturer.
5.1. Summary of Findings
We have found that Magic Koil’s current approach to innovation entails reaping the rewards of the innovation work of leading US, European, and Japanese bedding manufacturers and, instead of investing heavily in their R&D department, utilizes their ISO 9000 and Statutory Board partnerships to quickly obtain the likely best-selling designs for the upper and middle-income segments of the Singapore and Italian markets. While once state-of-the-market, these designs and the specifications are now commercially available and can be replicated by smaller non-brand manufacturers and also knock-offs from China and Indonesia. Whether the ownership of an ex-plant production base based in Indonesia helps the company to combat or even eliminate an unlicensed knock-off strategy is debated and hopefully will be revealed in 2001 data on performance by product. Let me end by suggesting that the market-driven approach towards innovation should work for Magic Koil because the upper and middle-income segments in all three target markets are growing, and the lifestyle of these segments should encourage more repeat and new purchases.
The findings of the case study reflect upon previous discussions that companies innovate because they believe that innovation may offer the company opportunities for growth or maintaining its existing position in the market. Magic Koil’s expansion into the Indonesian market is mainly due to market-driven forces to better serve the middle-income potential market and attract dealers to carry the World brand in their portfolios. In contrast, the two leading Singapore furniture companies, Koda Ltd and our recently completed research on Chinese furniture manufacturers, are driven by a strategy to provide a total bedroom concept to ensure that they offer the customers the most comprehensive and attractive range of products.
