... Masterton Carpet Mills, Inc. lagged behind the industry sales growth, but still managed to be profitable by recording a 3.6% sales increase over the previous year. U.S. consumers and businesses spend approximately $50 billion per year on floorcoverings. The largest category of floorcoverings is carpet and rugs which accounted for an estimated $17.9 billion in sales. The residential segment accounted for 74% or $13,246,000,000 ($17.9 billion x 74%=$13,246,000,000) of the total U.S. sales. This segment is dominated primarily by three companies, Shaw Industries, Mohawk Industries and Beaulieu of America, which control 85% of the U.S. residential carpet and rug market. Masterton Carpet Mills, Inc. is not inexperienced in the area of direct distribution. They currently directly distribute their contract sales to institutions and business. However, these sales only account for 28% of company sales and occur primarily in the southeastern U.S. Wholesale and retail distribution in the U.S. carpet and ...

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