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Business & its Environment (2 questions) 1. Describe Ikea's strategy 2.Evaluate Ikea's market entry stategy in North America - Essay Example

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IKEA is a Sweden based home furnishing retailer that sells low priced home accessories around the world. The company was formed by Ingvar Kamprad in 1943 and IKEA is an acronym for the initials of the founder's name Ingvar Kamprad, in his childhood farm Elmtaryd and in Agunnaryd…
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Business & its Environment (2 questions) 1. Describe Ikeas strategy 2.Evaluate Ikeas market entry stategy in North America
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Extract of sample "Business & its Environment (2 questions) 1. Describe Ikea's strategy 2.Evaluate Ikea's market entry stategy in North America"

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"Kamprad's humble beginnings (he was the son of a farmer) had created a unique IKEA culture that was founded on respect for money and an innovative mindset" (BII, 2006). Kamprad himself used his monetary assets frugally for even business purposes. His down to earth "attitude trickled down to the co-workers, who would ensure minimal wastage and cost cutting at every level and as a result, IKEA came up with products that were aesthetically designed and were still available at affordable prices" (BII, 2006).
IKEA has always created well-designed and functional home products for people at low discounted prices. Yet this is not the only reason why people want to buy products from IKEA. Company's definition of Corporate Social Responsibility is very strong and it is built in every store around the world. They promote environment friendly products and supplies, have a green transport plan and use waste-to-energy technology. IKEA's 'IWAY' for minimum requirements for social, working, and environmental conditions point to the fact that green business is indeed smart business. (Webb, 2007) (Brosi, Gabel, Buitt, & Stults, 2006)
IKEA has done well to build strategic alliances and franchises for expansion purposes. ...Download file to see next pagesRead More
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