Ikea case study analysis allows saying that today IKEA is the most popular company in the world, which deals with the retail sale of furniture and other necessary goods for the home. You may ask -what is the necessity of making a marketing case study on this company? The answer is simple. Undoubtedly, the primary goal of this research is to collect information about a certain company, its marketing strategy, advertising solutions, ways to gain the trust of target consumers and the history of success. But this research is even more important. Analyzing the actions of the founders of the legendary companies, we can find the patterns and common features that led them to success.
This will allow the student not only to acquire knowledge about a certain organization but also to see what exactly forms the basis for the creation and development of a successful business. IKEA case study allows us to talk about a number of unusual solutions that have been applied. This is the right choice of niche, a unique approach to buyers, the right pricing policy that implies a reasonable price-quality ratio, the general availability of goods and the company’s unshakable business ethics. Read on to find out exactly how all these decisions were put into practice.
Searching for Ideas
The creator of the company was able to determine what the consumer needs.
He entered the market at a time when people needed inexpensive furniture and could offer them such a product. Strategic management IKEA case study proves that if an entrepreneur manages to find an idea that matches the spirit of the times and the real needs of potential customers, then he is doomed to success. As a rule, the search for this idea is the most difficult task. That’s why the company IKEA is interesting for studying, as it allows understanding how and where to find this idea. The meaning is simple. An entrepreneur needs to find a product or service that is expensive, but demanded and try to make it affordable for a broad audience.
Forming Price Politics
IKEA case study solution also can be studied from the perspective of price politics.
Marketing researches prove that sometimes the famous Kamprad formula is really working. In conformity with it, it is better to sell 600 chairs inexpensively, than 60 for big money. Making a case study about this company allows comprehending an important principle of marketing. Sometimes it is really profitable to sell a lot of goods at low prices, but here it is important to remember about the quality.
Struggle with Competitors
This brand is interesting to study and analyze from the perspective of business ethics. Despite the unlawful behavior of his competitors, the founder was able not only to remain an honest and decent businessman but also to bring his company to a new level. This example proves that honest and successful business conduct is practically synonymous.
New Customer Solution
In 1958, under the sign of IKEA, the first company store in Elmhurst was opened. It became widely known not only because of the prices but also due to a unique approach to customers: in this store they could try out furniture before buying it. This company is interesting for studying also from the perspective of approach to clients. To give a customer a try before he made a purchase was an innovative decision at that time, but today this method works and raises confidence in the product and business in general.
Strengthening the Positions
IKEA global strategy case study leads to the fact that today the brand’s online stores are already operating in 11 countries. The company’s positions on the international market look almost unshakable. In its history, IKEA was able to withstand tough competition, world crises, and scandals.
The ideology of the brand can serve as an excellent example of how to build a corporate culture. No doubt, the main role in the development of IKEA was played by its founder. After all, he was able to create a company from scratch, able to withstand any changes. The acts of Ingvar Kamprad can serve as an excellent example of how to work to make your dream come true. It also proves that there are no borders for interesting and demanded idea combined with the affordable quality of a product, loyal customer service and just love in every action.