IKEA

1. IntroductionIKEA, the famous Swedish company, is the one of the largest furniture snitchers in the ground, which specializes in modern but inexpensive Scandinavian designed furniture. contain to Echeat (2006), the IKEA had more than 175 stores spread over 31 countries at the end of 2002 and worldwide sales of about 12.8 billion euros in 2004. During the IKEA financial year 2001-2002, a total of 60,000 people atomic number 18 employed by IKEA worldwide and thither atomic number 18 323 trillion people visited IKEA stores some the world (Kronos, 2006). IKEA?s mission is to put forward consumers favourable value for their money. The typical IKEA customer is young first secondary to middle income family. IKEA?s success in the interchange industry can be attributed to its vast experience in the retail market, product differentiation, and cost leadership (Echeat, 2006). As a world(a) organization, the company is the world?s most successful sell firms based on its un ique concept that the furniture is sell in kits that are assembled by the customers at home. 1.1 Operating strategyIKEA genital disease not manufacture its own products, but whole kit by dint of a complex network of suppliers around the world to back up company maintain its low-cost position. Actually, it has 1,800 suppliers in 55 countries. By providing the manufacturers with technical and financial assistance, IKEA establishes durable partnerships with furniture producers and suppliers.

To secure suppliers and encourage suppliers develop, IKEA also has launched partnerships as joint owners in several countries including Poland, Russia, and China. due(p)! to ?typically Swedish? style, all research and ontogeny activities are centralized in Sweden where determined what materials should be utilise and what manufacturers would do the assembly work. In addition to using blue flock runs to cut costs, IKEA always believed that costs are kept under(a) control starting at the design level of the value-added chain. IKEA designers... If you need to get a full essay, order it on our website: BestEssayCheap.com

If you want to get a full essay, visit our page: cheap essay