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Ikea Marketing Project

In: Business and Management

Submitted By darwiish1988
Words 3371
Pages 14
Contents
Executive summary: 2

Historical Background: 3

IKEA Viaion and Mission: 3

Production Strategy: 4

Promotion strategy: 4

IKEA Expansion worldwide 5

Expansion into Europe: 5

Expansion into North America: 5

IKEA’s Marketing Mix 6

Price 6

Products 6

Promotion 6

Place 7

Environmental Analysis 7

Issue identification, discussion and strategic alternatives 8

Why IKEA wanted to penetrate the US market? 8

Issue identification, the problem IKEA faced in America? 8

What caused these problems? Mistakes that IKEA made while entering the US market: 9

How do some of the American customers perceived IKEA and its marketing strategies? 9

How can IKEA solve its problem? What are the strategic alternatives? 9

Recommendation 11

Alternative Implementation 11

Conclusion 12

Appendixes 12

Executive summary:

IKEA is a Swedish company which specializes in manufacturing furniture and selling them throughout the world. It has got large retail stores located on the outskirts of the major cities. IKEA is well known for attracting customers who are looking for modern designs at good value. IKEA is a Swedish furniture chain that has drawn large opening crowds to its stores as it has pushed into Europe, Asia, and North America. It has built something of a cult following, especially among young and price-conscious consumers. But the expansion was not always smooth and easy, for example, in Germany, Canada and USA.

Its operations are simply based on a franchise system in the world. In addition, IKEA’s products are well distinguished by blue and yellow labels which reflect the Swedish flag. It employs 104,000 people, 11,300 in product development, purchasing, deposits central and others, 12,900 in production and 79,800 in stores. In Europe, the staff of IKEA is 89,500 against 11,000 in...

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