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IKEA in China and Saudi Arabia - Case Study Example

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This study "IKEA in China and Saudi Arabia" provides a brief description of IKEA and the problem that has been identified in the case. The external analysis was concluded by using theories like Pestle, Porter’s five forces, and industry life cycle…
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IKEA in China and Saudi Arabia
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Download file to see previous pages The first store was Mobel-IKEA which was opened in Almhult, Samaland in the year 1958. Afterwards, the company was spread into more countries in the year of 1990s and 2000s. IKEA has the biggest market in Germany with 44 stores which are followed by the United States with 37 stores. By the last quarter of 2013, the company planned to set up the first warehouse near Zagreb, in Croatia. The company faced some issues while building the store, so the construction took place on 28 August 2013 and hoping to finish it by mid of 2014.
In the year of 2013, IKEA opened its first outlet in Qatar. Al-Futtaim was operating the Doha outlet. In the same year, the vacant Shopping Centre of Merriam Village in Johnson County has been demolished. Kansas was preparing for the IKEA stores that will measure approximately 400,000 sq ft. IKEA announced that a new 389,000 square foot store will begin construction in 2014 in St. Louis, Missouri in the City’s Midtown. The report provides a brief description of IKEA and the problem that has been identified in the case. The external analysis was concluded by using theories like Pestle, Porter’s five forces, and industry life cycle.
The stores are usually a large blue building with yellow accents and few windows. The stores are often designed in a one-way layout. The leading customers counter-clockwise along and IKEA was called it “the long natural way” which is designed to encourage the customers to see the stores. Today most of the stores have the same layout that is having the showroom upstairs followed by the market place and self-service warehouse downstairs. Some of the stores are single level while the others have a separate warehouse that has some more stock to be stored. The vast majority of IKEA stores are located outside of city-center because of the land cost and traffic access.
IKEA’s one of its best features is the long opening hours. ...Download file to see next pagesRead More
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