IKEA SWOT Case The Times 100 - 2158 Words

The Times 100 / IKEA / SWOT analysis and sustainable business planning / Introduction SWOT analysis and sustainable business planning An IKEA case study Introduction IKEA is an internationally known home furnishing retailer. It has grown rapidly since it was founded in 1943. Today it is the worlds largest furniture retailer, recognised for its Scandinavian style. The majority of IKEAs furniture is flat-pack, ready to be assembled by the consumer. This allows a reduction in costs and packaging. IKEA carries a range of 9,500 products, including home furniture and accessories. This wide range is available in all IKEA stores and customers can order much of the range online through IKEAs website. There are 18 stores in the UK to date, the†¦show more content†¦The knots in this wood usually mean it is rejected by other retailers and manufacturers as unsuitable for use. However, IKEA has made the knots part of its design feature. OGLA chairs are made using wood waste from saw mills and LACK tables use a sandwich of stiff card between wood sheets to reduce the amount of solid wood needed. Strengths Strengths could include a companys specialist marketing expertise or its location. They are any aspect of the business that adds value to its product or service. IKEAs strengths include: ï‚ · a strong global brand which attracts key consumer groups. It promises the same quality and range worldwide ï‚ · its vision to create a better everyday life for many people ï‚ · a strong concept based on offering a wide range of well designed, functional products at low prices ï‚ · a democratic design reaching an ideal balance between function, quality, design and price. IKEAs Cost Consciousness means that low prices are taken into account when each product is designed from the outset. These strengths contribute to IKEA being able to attract and retain its customers. One way IKEA measures its strengths is the use of Key Performance Indicators (KPI). KPIs help IKEA to assess the progress of its vision and long-term goals by setting targets and monitoring progress towards these. An example of one of IKEAs KPIs is the percentage of suppliers that are currently IWAY approved. The IWAY is theShow MoreRelatedSituational Analysis1169 Words   |  5 PagesSituational Analysis University of Phoenix STR/GM581 International Strategic Planning Implementation Steven Hall Situational Analysis IKEA is a global home-furnishing retailer founded in 1943. â€Å"In 2008, IKEA had 253 stores in 24 countries plus 32 stores owned by franchisees and 20 stores expecting to open in 2009† (The Times 100, 2009, p. 1). This paper will show the organization’s mission, vision, and values. In addition, this paper will show a consideration of broad environmentalRead MoreFaclity Management in IKEA Company1424 Words   |  6 Pagesmanagement’. For this subject all First year IFM students have to write a report about a company. In the report I look at the internal and external developments of the company. The company I choose is IKEA. Executive summary The main purpose of this report is to analyze the IKEA Company. To do this the internal and external factors are going to be discussed, and analyzed using the DESTEP method and the 7s model. The DESTEP method is used to analyze the external environment ofRead MoreIKEA SWOT Analysis998 Words   |  4 Pagesï » ¿IKEA SWOT analysis Strengths Weaknesses 1. Customer knowledge 2. Constantly using innovations to drive costs down 3. Supply chain integration 4. Brand reputation and market presence 5. Diversified product portfolio 1. Negative publicity 2. Decreasing quality 3. Standard products Opportunities Threats 1. Further expansion into developing economies 2. Growing online sales 3. Expansion to growing grocery market 1. Intensifying competition 2. Growth of average consumer income 1. Customer knowledgeRead MoreIkea Swot Analysis1089 Words   |  5 PagesSupply chain strategies. 1.1. Packaging concept. The flat packaging is known of its IKEA which is very effective for transporting products because more products can be shipped at the same time. Consequently, transportation cost will be cheaper. Furthermore, the flat packaging reduces some materials usage. However, it has some weak areas to work on such as protection and unitization. 1.2. New unit load carrier. IKEA has created new carrier which is called â€Å"Loading ledge†, is a flexible unit loadRead MoreIkea s Key Competitive Advantages1015 Words   |  5 PagesInternational University MBA 505- Assignment 4.2 IKEA Nancy Saulsberry a. Given the SWOT analysis presented in the case, what are IKEA s key competitive advantages? What strategic focus should the company take as it looks to further expand into the U.S. market? IKEA’s low-cost structure is the very essence of their success. It keeps the company profitable while other competitors struggle to survive in the market and the weakened economy. IKEA has continued to see positive revenue growthRead MoreMba505 Ikea Slowly Expands Its Us Market Presence1469 Words   |  6 PagesProduct/Service Positioning Assignment 4.2: IKEA By: Cheryl Tomlin For: Dr. Terrance Cusaac September 29, 2013 Procedure 1. Read the case study. 2. In a Word document, respond to the following: a. Given the SWOT analysis presented in the case, what are IKEAs key competitive advantages? What strategic focus should the company take as it looks to further expand into the U.S. market? From its low cost structure to its corporate culture (â€Å"The IKEA Way†) to the do-it-yourself approach (repleteRead MoreMarketing Strategy at Ikea2750 Words   |  11 PagesSynopsis The case study is to discuss about the different strategy used by IKEA to approach their customers. It is also talking about the localization concept from a global company based on the cultural demand from different countries worldwide. IKEA is also famous for their less expensive furniture, has some other strategies to â€Å"reach† the customers based on their needs. 4 Ps concept plays a very important role on IKEA’s success besides the way of shopping which is differ from all other theirRead MoreEssay on Marketing and Ikea6357 Words   |  26 PagesCase Study IKEA: Expanding through franchising to the South American market? Introduction This report is made by four, fourth year IBMS students for a marketing course. This report is based on a case from the book Global Marketing, by Svend Hollensen. The basis of this report is the international operating company IKEA. The main question that will be answered in this report is: Should IKEA expand further through franchising to the South American market? To answer this question theRead MoreIkea Case Study3501 Words   |  15 PagesMARKETING MANAGEMENT CASE STUDY Synopsis This case study is to deliberate about IKEA’s marketing strategy in reaching out customers. Also discussing about IKEA’s business idea and IKEA follows a quite traditional pattern of internationalizing and also drives the localization thoughts in different market place to stay competitive. Their vision â€Å"To create a better everyday life for the many† and their ultimate business idea â€Å" To offer a wide range of well designed, functional home furnishingRead MoreOrganizational Strategy And Decision Making2485 Words   |  10 Pagesstrategy choices 4 2.3Strategy programming 5 2.4IKEA’s strategy management 7 2.4.0Brief introduction of IKEA 7 2.4.1SWOT analysis of IKEA 7 2.4.1.0Strengths 7 2.4.1.1Weaknesses 8 2.4.1.2Opportunities 9 2.4.1.3Threats 9 2.4.2 IKEA’s strategies 10 2.4.2.0 IKEA s differentiation strategy 10 2.4.2.1 IKEA s low-cost strategy 12 Conclusion 14 Recommendations 15 References 16 1.0 Introduction IKEA, which is a famous furniture company in Swedish has dominated in furnishing market for many years. Its