Natuzzi S.p.A. (NTZ) is one of the world's best sofa brands in the market, selling its products (not limited to upholstery) through a network of over 400 stores, both directly and through franchises.
The company has a long history of unprofitability, which was brought about by several issues that are still in part unresolved: most of all, inefficient cost structure and/or poor supply chain. Consequently, the inadequate value proposition has caused a steady decrease in the brand value over the years.
Furthermore, a ramping competition from companies that use Chinese labor, often enabled by the