Access over 20 million homework & study documents

Case study Case based Assignment

Content type
User Generated
Type
Study Guide
Rating
Showing Page:
1/8
Case based Assignment on IKEA in
China: - Problems faced and strategies
Submitted to, Submitted by,
Mr. Deepak Sharma Haresh Verma (B26)
E2015
11012076

Sign up to view the full document!

lock_open Sign Up
Showing Page:
2/8
Introduction:
In This case, I've Studied the internationally known home furnishing retailer,
which is (IKEA) The largest furniture retailer in the world. The Purpose of the
case study is to analyze the problems faced by IKEA in China and its strategies
used by IKEA, Analyze the company financially, SWOT analyzing and discuss
major issue that the company faced.
About:
IKEA Is a privately--‐held, international home products retailer that sells flat
pack furniture, accessories, and bathroom and kitchen items in their retail
stores around the world. The company, which pioneered flat--‐pack design
furniture at affordable prices, is now the world's largest furniture retailer. IKEA
was founded in 1943 by 17--‐year--‐old Ingvar Kamprad in Sweden. He began
by selling pens, wallets and watches by going door to door to his customers.
When he started selling his low-priced furniture, his rivals did everything to
stop him. Local suppliers were banned from providing raw material and
furniture to IKEA, and the company was not allowed to showcase its furniture
in industry exhibitions. What did IKEA do? It innovated to stay in business. It
learnt how to design its own furniture, bought raw material from suppliers in
Poland, and created its own exhibitions. Today, IKEA is the world's largest
furniture retail chain and has more than 300 stores globally.
.The Company that was originated in Småland, Sweden, distributes its products
through its retail outlets. As Of August 2009, the chain has 300 stores in 37
countries, most of them in Europe, North America, Asia and Australia.
Problems faced by IKEA in China and strategies
In 1998, IKEA started its retail operations in China. It is more important what
customers think about the company rather than the other way around. IKEA
faces three main challenges in China: pricing, high duty rates, and the PRC
bureaucracy. So following are the adaptive strategies made by IKEA in china.
1. Tax and legal issues: - IKEA has been hit with heavy import taxes in
China, though the company aims to relocate production of many items
to China to solve this problem. The country already supplies glass,
timber, textiles, hardware, plastic, and almost anything else the store

Sign up to view the full document!

lock_open Sign Up
Showing Page:
3/8

Sign up to view the full document!

lock_open Sign Up
End of Preview - Want to read all 8 pages?
Access Now
Unformatted Attachment Preview
 Case based Assignment on IKEA in China: - Problems faced and strategies Submitted to, Submitted by, Mr. Deepak Sharma Haresh Verma (B26) E2015 11012076 Introduction: In This case, I've Studied the internationally known home furnishing retailer, which is (IKEA) The largest furniture retailer in the world. The Purpose of the case study is to analyze the problems faced by IKEA in China and its strategies used by IKEA, Analyze the company financially, SWOT analyzing and discuss major issue that the company faced. About: IKEA Is a privately--‐held, international home products retailer that sells flat pack furniture, accessories, and bathroom and kitchen items in their retail stores around the world. The company, which pioneered flat--‐pack design furniture at affordable prices, is now the world's largest furniture retailer. IKEA was founded in 1943 by 17--‐year--‐old Ingvar Kamprad in Sweden. He began by selling pens, wallets and watches by going door to door to his customers. When he started selling his low-priced furniture, his rivals did everything to stop him. Local suppliers were banned from providing raw material and furniture to IKEA, and the company was not allowed to showcase its furniture in industry exhibitions. What did IKEA do? It innovated to stay in business. It learnt how to design its own furniture, bought raw material from suppliers in Poland, and created its own exhibitions. Today, IKEA is the world's largest furniture ...
Purchase document to see full attachment
User generated content is uploaded by users for the purposes of learning and should be used following Studypool's honor code & terms of service.

Anonymous
Great content here. Definitely a returning customer.

Studypool
4.7
Trustpilot
4.5
Sitejabber
4.4