Ikea Strategic Management Assignment

4122 words - 17 pages

Bachelor of Arts Business Management Studies
IKEA Strategic Management

1. Executive Summary 1
2. Introduction of The Company Background 2
2.1 IKEA Current Situation 2
2.3 Objectives 3
3. Environmental Analysis and application of theories 4
3.1 IKEA Current Strategies 4
4. Analysis Tools 6
4.1 Michael Porter’s Five Forces Analysis 6
4.2 SWOT Analysis of IKEA 9
4.3 Recommendation 12
5. Analysis and Evaluation 13
5.1 Current Products 13
5.2 Market & Strategies 13
5.3 IKEA Business Model 14
5.4 Key Success Factor 15
5.5 Areas of weakness 16
5.6 Strategic Initiatives 16
6. Conclusion 17
6.1 Recommendation 17
6.2 My Ideas 18
6.3 Implications 18
7. References 19
1. Executive Summary

IKEA is the largest furniture retail industry and have a strong position as a furniture retailer in different market. IKEA strategies have an important role to keep the company to stand out in competitive market and to invest for future growth.
In order to understand about IKEA analyses have been provided including current strategies, SWOT (Strenght, Weakness, Opportunity and Threats) and evaluation about its products, market and strategies, key success factors and business model
Recommendation have been provided to IKEA which is development on the company product design and improve their brand awareness in Asian market. There is also an idea to improve company operations which is provide more employees in the field and provide a free shipping delivery with minimum purchasing
2. Introduction of The Company Background
IKEA was established in 1943 by Ingvar Kampar in Älmhut, Sweden. It’s all began when Ingvar Kamprad is 17 years old live in the small village of Agunnaryd in Sweden. The furniture was introduced in IKEA product range in 1948 and that is when they began to design their own furniture and IKEA name became famous in the market then in 1958 is when the first IKEA retailer stores to opens in Sweden which is the largest furniture display in Scandinavia. In 1963 is when IKEA expand their market by opening branch outside of Sweden which their first branch is located in Norway (IKEA,2017). Nowadays IKEA continue to growing and own 389 stores in 48 countries and have around 150.000 employees.
2.1 IKEA Current Situation
IKEA success in the furniture retail industry and nominated as one of the largest furniture retailer (FORBES,2012) and IKEA still have a strong financial position in the market “As a result of everyone’s hard work, sales grew to EUR 34.2” (IKEA,2016). company sales always increase each year the company success to maintain their sales growth which lead to solid financial position. IKEA is well known for its functional, high quality, and sustainable products in low prices.
2.1.1 Analysis
IKEA is dominating the furniture retail industry market and company have a strong branding towards people due to its quality high quality products in low prices and the company always come up with the various of new ideas and...

Find Another Essay On IKEA Strategic Management - Assignment

IKEA operations management Essay

4780 words - 19 pages Operations Management Critical Evaluation of Relevant Issues - IKEA case Table of Contents2Executive Summary 2Introduction 2Company profile and Situational Analysis 3Growth and profitability 5Culture 5Goals 5Competitors 5SWOT analysis 6PESTLE Analysis 6Political Analysis 6Economic Analysis 6Technology Analysis 7Sociological Analysis 7Legal Analysis 7Environmental Analysis 7Input-Transformation-Output 8Corporate Objectives 9Quality 10Speed

Corperate Strategy of IKEA Malaysia Essay

2269 words - 9 pages easily access the resources and capabilities of potential suppliers, seeking opportunity to communicate with ikea. However, ikea value creating strategic relationship with suppliers, make suppliers to a certain extent, eliminate their bargaining power. Therefore, this is actually the weak of IKEA industrial power sanctions companies to optimize resource and profit maximization.3.4 Bargaining Power of BuyersThis force is by such factors as the intense


2393 words - 10 pages P 2011, Strategic Management Thinking, Analysis, Action, Pearson, Frenchs Forest, NSW.Indian Brand Equity Foundation 2014, Foreign Direct Investment, New Delhi viewed 10 April 2014, < http://www.ibef.org/pages/consolidated-fdi-policy-2013>Census of India 2014, Population Finder, New Delhi, viewed 10 April 2014, < http://censusindia.gov.in/PopulationFinder/Population_Finder.aspx>Queensland Government Business and Industry portal 2014


2393 words - 10 pages P 2011, Strategic Management Thinking, Analysis, Action, Pearson, Frenchs Forest, NSW.Indian Brand Equity Foundation 2014, Foreign Direct Investment, New Delhi viewed 10 April 2014, < http://www.ibef.org/pages/consolidated-fdi-policy-2013>Census of India 2014, Population Finder, New Delhi, viewed 10 April 2014, < http://censusindia.gov.in/PopulationFinder/Population_Finder.aspx>Queensland Government Business and Industry portal 2014

Marketing Principles and Business Practice: IKEA

2528 words - 10 pages Statement: 3 3.3 New Mission statement: 3 4 SWOT Analysis: 4 4.1 SWOT analysis and contribution to IKEA’s business growth: 4 4.2 SWOT analysis for “IKEA”: 6 5 Marketing Objectives: 7 5.1 SMART Approach 7 5.2 Two Marketing objectives of IKEA: 8 5.3 Marketing Mix: 9 5.4 IKEA’s Marketing Mix: 9 5.5 New Marketing Mix proposal: 10 6 Strategic ways to minimize threats and Business, Marketing Strategies for rapid Growth: 10 6.1 Strategic ways to minimize

ikea case analysis

2638 words - 11 pages Nova Southeastern University H. Wayne Huizenga School of Business & Entrepreneurship Assignment for Course: MKT 5070 Managerial Marketing (Evening) Submitted to: Dr. Bay O' Leary Submitted by: Brooke Meltzer Claire Elliott N01589819 N01484118 Fadwa Talaoui Rida Bouchoutrouch N01446838 N01448629 Date of Submission: January 27, 2014 Title of Assignment: IKEA Case Study CERTIFICATION OF AUTHORSHIP: We certify that we are the authors of this


1804 words - 7 pages and "Strategic asset Seeking", which incur in FDI, acquiring strategic companies to able them to prolong their existence.We can observe that IKEA, can be classified in those market categorization. IKEA, at its first stage was a "resource seeking" and "efficiency seeking". This can view when IKEA went to Poland and established a source of furniture at a lower cost with polish suppliers. Then IKEA became a "market seeking", in order to expand its

Marketing Concept in Practice at IKEA

4671 words - 19 pages presence being there either by a fully owned subsidiary or then through franchising. IKEA Middle East, in tie up with Al Futtaim Group, can be viewed as a strategic risk reducing approach in which Al Futtaim gives IKEA valuable input on the political, legal, cultural, financial and other issues that pose as opportunities or threats for IKEA.Understanding the market and more so the competitive forces that exist within the market is very important and

The Branding of IKEA

1693 words - 7 pages 'position' in the mind of consumer and prospects. This is based on experience and exposure of the brand in the competitive marketplace. There are certain advantages to take into account in a Brand Strategy; Financial Advantages, Strategic Advantages and Management Advantages. The financial advantages may be higher sales, and for the companies with more market shares; higher margins. IKEA is one of the leaders in its market place, and

Ingvar Kamprad and IKEA

4191 words - 17 pages nTable of contentsIntroductionPage 1Assignments1. Sources of successPage 22. InternationalisationPage 43. management process's Page 64. Ingvar Kamprad's rolePage 75. Challenges aheadPage 86. course of action MobergPage 9Additional informationIKEA nowadaysPage 10ConclusionPage 11AppendicesAppendix 1 all IKEA store'sPage 12IntroductionIn these assignments we are examining one of the largest multinationals in the world; IKEA.Certain aspects


2579 words - 10 pages management. Moreover, IKEA's centralized research and development department would also form internal strategic networks with these subsidiaries and local management teams in order to develop products which are adapted to local customers' needs.Thirdly, joint ventures strategy could also be utilized by IKEA. Actually, IKEA's insensitivity to individual market needs represents one problem to its operations management in international context. And its

Similar Essays

Airline Industry Strategic Management Assignment

2023 words - 8 pages MBA: Strategic Management Assignment Introduction Markets differ in a variety of ways including the degree of concentration and competitiveness, a fact which is reflected in the concept of ‘market structure’. Economists’ models link the structural characteristics of a market to the behaviour of firms in that market and subsequently to their performance. A key question therefore is how far a firm’s strategic decisions are shaped by the

Strategic Management Assignment On Micromax

3019 words - 12 pages Matrix: 9 a) Stars: 11 b) Cash Cow: 11 c) Dogs: 11 d) Question Marks: 12 7. Benchmarking:-Strategic mapping with respect to competitors 12 a) Pricing 12 b) Products and features 12 b) Market Positioning 13 c) Supply Chain Management 13 d) Financials 13 8. Key Take Away from Financial Data 15 a) Debt Equity Ratio 15 b) Current Ratio 15 c) Fixed Assets Turnover Ratio 15 9. References 16 1. Introduction Micromax was registered as

Strategic Planning And Strategic Management University Of Phoenix Assignment

605 words - 3 pages MGT/498 · Describe and define the primary components of the Strategic Management Process. The Primary components of the strategic managements are the Strategy formulation and the strategy implementation. Strategy formulation covers the mission, external analysis, and internal analysis. The strategy implementation have more areas to cover such as cost advantage, differentiation advantage, corporate strategy, vertical integration, strategic

Strategic Planning And Strategic Management University Of Phoenix Mgt/498 Assignment

688 words - 3 pages Strategic Planning & Strategic Management Lori Boone MGT / 498 April 2, 2018 Amy Novoa Running head: STRATEGIC PLANNING & STRATEGIC MANAGEMENT 1 STRATEGIC PLANNING & STRATEGIC MANAGEMENT 4 Strategic Planning & Strategic Management The purpose of this paper is to be able to recognize the difference between strategic planning and strategic management. I will attempt to describe and define the primary components of the Strategic Management Process