Ikea Swot

Executive Summary Since 1997, Ikea has increased its number of stores by 51. The keep federation comprised 165 stores as of August 2003, and there are plans to clear a further 16 unfermented stores in twain fiscal 2004 and 2005. (Ikea United Kingdom, 2005) However, although the company opened 14 new stores in fiscal 2003, sales growth was only 2.7%, by and large as a result of the depressed sparing conditions crossways Europe, the companys core business region. (Global Market breeding Database, 2004) Thus, it is clear that, in order to improve performance at a significant level, merely opening new stores is non enough. Instead, Ikea must assess its external and competitive environment, determine the give away opportunities and threats which face it, and align its strengths and weaknesses to best counter the weak consumer grocery store, and thus generate the strong growth it needs to remain a strong brand and presence in its chosen markets (Johnson, Scholes and Whittington, 2005) creation Ikeas business grew from strength to strength since Kamprad took the decision to absent ownership of the business to Stichting Ingka. Known for its Scandinavian style, the company has gone from selling fish, ve totalable seed and magazines as it did in 1943 to piece of furniture other household items, including dinnerware, pillows, lighting and rugs.

A number of stores in any case include restaurants and cafés. Recent years have shown a lessening in the growth of sales. A downturn in economic conditions in the companys core European market has played a considerable part in the deceleration. another(prenominal) key cipher in the slowdown is perhaps a lack of strategic direction. Controlled by Ikea of Sweden, marketing strategy is dumbfound worldwide with little variation and this is perhaps a factor in its recent downturn of growth in sales. However, an amelioration in the economic climate in Europe and the companys intention to strongly develop its business in China, Japan and Russia may lead to an upturn in performance. The developed... If you want to get a full essay, order it on our website: Orderessay

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