Ikea Versus Bob Discount Furniture Essay

1630 words - 7 pages

Competition Analysis

Bob Discount Furniture is the competitor chosen by our group. Bob’s discount furniture and IKEA both compete on a low-cost strategy. The current CEO is Edmond J English. Bob’s discount furniture first opened its doors in 1991. Since then Bob Discount Furniture has grown to fifty stores in eleven states. Most are located in the Northwest and Mid-Atlantic. Their headquarters is located Manchester, CT. Bob’s Discount Furniture have a fast paced sales environment, family like setting with co-workers and managers, good selling incentives for sales associates, good social mobility and advancement opportunities. They compete own their fashionable furniture that exceed “discount” expectations.
Bob’s Discount Furniture is big on social responsibility like IKEA. Bob’s Discount Furniture has multiple programs that gives back to the community. Bob’s Discount Furniture Charitable Foundation is the head of the charitable work of the entire Bob’s Discount Furniture. The foundation and its employees, support hundreds of nonprofit organizations with sponsorships and contributions. Bob’s Discount Furniture donations annually exceed $1.5 million. For more than 15 years Bob’s lend a hand with American Red Cross in New England to promote blood drives. They have supported Nutmeg Big Brothers Big Sisters, The Jimmy Fund, Camp Rising Sun, Family & Children’s Aid, Connecticut Children’s Medical Center, American Cancer Society, Easter Seals, March of Dimes, National Conference for Community Justice, The Johan Santana Foundation, The Andrus Children Center, and Special Olympics.

STEP Analysis
Social
• Social Responsibility
IKEA has made social responsibility a big part in their organization culture. Corporate social responsibility is the idea that businesses should act in a way that enhances society and their stakeholders (Lawrence and Weber, 2014). IKEA in the late 1990s was one of the companies named in a documentary that received rugs from South Asia. The rug importers in South Asia were using child labor and the work conditions were horrible. This created a public issue for IKEA. Protest against IKEA began until the company stops importing rugs from places where child labor was used. IKEA area manager for carpets made a statement " The for use was not a high-profile public issue at the time...We were caught completely unaware" (Lawrence and Weber, 2014). IKEA's public issue concerning child labor is an indication that there is a performance-expectations gap. This gap represents what the firm wants to do or is doing and what stakeholders. The use of child labor offended many customers. IKEA damage their reputation and lost customers. Customers knowing IKEA uses child labor make cause them to know longer support IKEA and start shopping at competitor stores. Other companies and suppliers made not want to work with IKEA because...

Find Another Essay On IKEA versus Bob Discount Furniture

IKEA: expanding through franchising to the South American market

4127 words - 17 pages CASE STUDY III.2IKEA: expanding through franchising to the South American market?It is the beginning of 2011, and Ingvar kamprad, founder of the Swedish furniture retailing giant IkEA, is concerned 'his' firm may be growing too quickly. he used to be in favour of rapid expansion, but he has now started to worry that the firm may be forced to close stores in the event of a sustained economic downturn. on the other hand, IkEA is active in nearly

abcde Essay

1020 words - 5 pages use daily. IKEA STORE: IKEA is a Swedish company registered in the Netherlands that designs and sells ready-to-assemble furniture (such as beds, chairs, and desks), appliances, and home accessories. I saw various modern architectural designs for various types of appliances and furniture, and its interior design work is often associated with eco-friendly simplicity. They are largely manufactured in developing countries to keep costs down. We

Analysis of “Fight Club”

1225 words - 5 pages certain products in his possession. No longer does one own things, his things own him. The contemporary male is a slave of the IKEA nesting instinct. The main characters absence of a name only exemplifies this; the buying of furniture from IKEA gives the main character (Ed Norton) his identity, without being a consumer the main character would remain undefined and anonymous. In the movie, the two main characters, (Ed Norton) and Tyler Durden (Brad

Film Analysis of The Movie "Fight Club"

1155 words - 5 pages longer does one own things, his things own him. The contemporary male is a slave of the IKEA nesting instinct. The main characters absence of a name only exemplifies this; the buying of furniture from IKEA gives the main character (Ed Norton) his identity, without being a consumer the main character would remain undefined and anonymous. In the movie, the two main characters, Ed Norton and Tyler Durden, are staring at a Calvin Klein ad and ask

National Culture Influences on International Management

2472 words - 10 pages same situation. The influence of culture may affect three aspects: leadership, human resource management and international human resource management. 3.1 Influence on Leadership - Marketing Marketing strategy is the key to success in global market. A case of IKEA would illustrate well about how cultural influence of host country affects market performance of an MNE. IKEA was founded in 1940s in Sweden selling Swedish furniture. From 1960s, it

how change in technology have Contributed to the Globalization of market and production

5648 words - 23 pages strategy of Ikea, the household goods and home furnishings retailer. Ikea was established in Sweden in 1943, and now operates 230 stores in 33 countries. Ikea's strategy is the same everywhere-selling furniture and household items that reflect Swedish style at low prices to the global middle class. So far, the formula is a success. The company generated sales of $17.7 billion in 2005. Ikea relies on a network of 1,300 suppliers located in 53 countries

The Effects of Postmodernity on Masculinity

1919 words - 8 pages . In the film, the narrator works as a recall specialist for a “big-name auto manufacture,” a position which requires him to conform to societal standards regarding things such as dress, submissiveness, and, demeanor. As Ta states, he must become a “cubicled automaton” who serves corporate America (266). As a result, he becomes a “…receptacle of consumption,” which is exemplified by his home, an apartment filled with furniture from IKEA, furniture

Environmental Movement: Grassroots to Government

5260 words - 21 pages particular the idea of capitalism. Capitalism is driven by competition and profit maximization creating low prices for consumers and very wasteful companies. For example the nationwide company IKEA, was founded in the 1940s and are still prominent today. IKEA stores are large factories that have many floors of display furniture with a giant warehouse attached. The warehouse contains hundreds of isles each with shelves going thirty or more feet

Gene One Benchmarking

6405 words - 26 pages furniture and return to restock the store before opening Sunday. Modest growth continued until 1983 when the bottom fell out of the oil industry. Weekly sales plunged from $50,000 dollars per week to less than $5,000 dollars per week.To keep the business alive, Mac had to shift his market focus to established residents versus new move-ins. It was during this period, that Mac also adjusted the culture within his company; specifically, he reinvigorated

What is Startegy

9276 words - 37 pages of maintenance.Southwest has staked out a unique and valuable strategic position based on a tailored set of activities. On the routes served by Southwest, a full-service airline could never be as convenient or as low cost.Ikea, the global furniture retailer based in Sweden, also has a clear strategic positioning. Ikea targets young furniture buyers who want style at low cost. What turns this marketing concept into a strategic positioning is the

home textiles

3795 words - 15 pages international business we deal with all the top retailers of the world you name it and they are our customers like Wal-Mart, IKEA ...etc. We are largest supplier of home textile that clearly conveys that we are delivering what consumer needs.Which strategy do you follow? Push strategy or pull strategy with customers? (Shalu)In domestic it is the pull and international business is bulk driven which is based on personalised relationship with the customers

Similar Essays

Ikea In Japan Essay

2647 words - 11 pages The topic I chose for my marketing project is IKEA in Japan. IKEA, a Swedish furniture company, has made its success by selling low cost furniture to consumers worldwide. Like most companies, IKEA expanded into the global market to capture more consumer base. Thirty years ago, IKEA tried to move into the Japanese market; however, the company pulled out after failing to capture the local interest. With renewed understanding of the people and

Marketing Concept In Practice At Ikea

4671 words - 19 pages home accessories (spending a relatively smaller amount) or during special discount offers (such as the DSF, or part-sales). Research conducted at IKEA revealed that, when purchasing furniture, customers generally look for quality, durability, affordability, design & style, range of colours available, location of the store, brand image and after sales service. IKEA has tailored its marketing mix to satisfy these needs and maintain their customer

Ikea: Expanding Through Franchising To The South American Market

4127 words - 17 pages CASE STUDY III.2IKEA: expanding through franchising to the South American market?It is the beginning of 2011, and Ingvar kamprad, founder of the Swedish furniture retailing giant IkEA, is concerned 'his' firm may be growing too quickly. he used to be in favour of rapid expansion, but he has now started to worry that the firm may be forced to close stores in the event of a sustained economic downturn. on the other hand, IkEA is active in nearly

Ikea: Expanding Through Franchising To The South American Market

4127 words - 17 pages CASE STUDY III.2IKEA: expanding through franchising to the South American market?It is the beginning of 2011, and Ingvar kamprad, founder of the Swedish furniture retailing giant IkEA, is concerned 'his' firm may be growing too quickly. he used to be in favour of rapid expansion, but he has now started to worry that the firm may be forced to close stores in the event of a sustained economic downturn. on the other hand, IkEA is active in nearly