1.1. Nature of the business:
IKEA provides home furnishing products such as cabinet, sofa, office table and many more.
1.2. Recent history
The IKEA name came from the initials of IKEA founder, Ingvar Kamprad, (IK) with the first letters from the names of the farm and village where he grew up - Elmtaryd and Agunnaryd (EA). Over the course of sixty years, IKEA has transformed from a small shop in southern Sweden into one of the most popular retail shops in 40 different countries around the world.
The founder, Ingvar Kamprad, was born in Småland in southern Sweden in 1926. He has had an entrepreneurial mind since young. At the young age of five, he started selling matches, even buying in bulk and earning profits, gradually selling more items. …show more content…
Successes of the organization
In 2014, IKEA had 345 stores located globally across 42 countries. (Refer to Appendix figure 1.1 and picture 1.2)
One of IKEA’s advertising campaign that was released last year went viral on the Internet. It won several categories at the SPH ink Awards. The advertisements, which featured IKEA’s “bookbook”, won four awards for creative agency, Bartle Bogle Hegarty (BBH).
2. Strategic Focus and Plan (Three Aspects of Corporate Strategy)
2.1. Company Mission:
Missions
IKEA’s mission and vision is “To create a better everyday life for the many people”. Our business idea is “to offer a wide range of well-designed, functional home furnishing products at prices so low that as many people as possible will be able to afford them”.
Purpose
IKEA produces high quality products and sells them at affordable prices. This is only possible because IKEA follows their company’s value chain. They make use of their value chain by building long-term supplier relationships, investing in highly automated production and producing large volumes. The company not only hopes to be known and established in home furnishing, they also hope to improve everyday lives for people impacted by their business.
2.2 Objectives or …show more content…
IKEA currently has two outlets in Singapore, one at Alexandra and the other at Tampines. Both outlets operate on a daily basis and is open on public holidays as well. One of the main industry competitors for IKEA would be Courts and Novena Furnishing.
Growth Potential
In the recent years, there is a rise in online shopping in Singapore. It is predicted that in year 2015, retail e-commerce will increase to 4.4 billion. (Refer to Appendix figure 1.3) The rise is due to increased internet access via mobile, lower prices, greater selection and rising rental price, labour crunch. Ikea is up to date to such increase in e-commerce, which is why there is online shopping available where customers can access the price, pictures and other information regarding the home furnishing products.
There is an increase in demand by consumers for energy-saving products because they are now more aware of these lighting products. Ikea continues to appeal to consumers with more features for light bulbs that can save energy.
Customers in the home furnishing
IKEA provides home furnishing products such as cabinet, sofa, office table and many more.
1.2. Recent history
The IKEA name came from the initials of IKEA founder, Ingvar Kamprad, (IK) with the first letters from the names of the farm and village where he grew up - Elmtaryd and Agunnaryd (EA). Over the course of sixty years, IKEA has transformed from a small shop in southern Sweden into one of the most popular retail shops in 40 different countries around the world.
The founder, Ingvar Kamprad, was born in Småland in southern Sweden in 1926. He has had an entrepreneurial mind since young. At the young age of five, he started selling matches, even buying in bulk and earning profits, gradually selling more items. …show more content…
Successes of the organization
In 2014, IKEA had 345 stores located globally across 42 countries. (Refer to Appendix figure 1.1 and picture 1.2)
One of IKEA’s advertising campaign that was released last year went viral on the Internet. It won several categories at the SPH ink Awards. The advertisements, which featured IKEA’s “bookbook”, won four awards for creative agency, Bartle Bogle Hegarty (BBH).
2. Strategic Focus and Plan (Three Aspects of Corporate Strategy)
2.1. Company Mission:
Missions
IKEA’s mission and vision is “To create a better everyday life for the many people”. Our business idea is “to offer a wide range of well-designed, functional home furnishing products at prices so low that as many people as possible will be able to afford them”.
Purpose
IKEA produces high quality products and sells them at affordable prices. This is only possible because IKEA follows their company’s value chain. They make use of their value chain by building long-term supplier relationships, investing in highly automated production and producing large volumes. The company not only hopes to be known and established in home furnishing, they also hope to improve everyday lives for people impacted by their business.
2.2 Objectives or …show more content…
IKEA currently has two outlets in Singapore, one at Alexandra and the other at Tampines. Both outlets operate on a daily basis and is open on public holidays as well. One of the main industry competitors for IKEA would be Courts and Novena Furnishing.
Growth Potential
In the recent years, there is a rise in online shopping in Singapore. It is predicted that in year 2015, retail e-commerce will increase to 4.4 billion. (Refer to Appendix figure 1.3) The rise is due to increased internet access via mobile, lower prices, greater selection and rising rental price, labour crunch. Ikea is up to date to such increase in e-commerce, which is why there is online shopping available where customers can access the price, pictures and other information regarding the home furnishing products.
There is an increase in demand by consumers for energy-saving products because they are now more aware of these lighting products. Ikea continues to appeal to consumers with more features for light bulbs that can save energy.
Customers in the home furnishing