Ikea Presentation ISM 3013

1. Shauna Ameye
ISM 3013
IT Company

3. FOUNDED IN
SWEDEN

4. IKEA was founded in 1943 by
Ingvar Kamprad at the age of 17.
Working out of his family farm
near a small village in Sweden,
Kamprad made his start by
selling matches he bought from
Stockholm.

5. The 20’s
At the age of five Ingvar Kamprad starts selling matches to his nearby
neighbors and by the time he is seven, he starts selling further. Using his
bicycle he finds that he can buy matches in bulk cheaply in Stockholm and
re-sell them individually at a very low price but still make a good profit.
From matches he expands to selling flower seeds, greeting cards,
Christmas tree decorations, and later pencils and ball-point pens.

6. The 40’s and 50’s
The roots of a furniture dealer. Ingvar Kamprad is entrepreneurial in
developing IKEA into a furniture retailer. This period sees the exploration
of furniture design, self assembly, advertising, the use of a catalogue and a
showroom to reach the many people.

7. The 60’s and 70’s
The IKEA concept starts to take shape. New IKEA stores open and hero
products are developed such as POÄNG, KLIPPAN and BILLY bookcase. It is a
time where concept takes shape and is documented in Ingvar Kamprad's The
Testament of a Furniture Dealer.

8. The 1990’s
IKEA grows even more. Children's IKEA is introduced and the
focus is on home furnishing solutions to meet the needs of
families with children. The IKEA Group is formed and
responsibility for people and the environment is seen as a
prerequisite for doing good business

9. 2000’s
IKEA expands into even more markets such as Japan and Russia.
Everything for the bedroom and kitchen is explored and presented in
co-ordinated furnishing solutions. This period also sees the successes of
several partnerships regarding social and environmental projects

10. Growth Strategy
Concentrated on cost reduction
In 2008 IKEA set a new strategic path to offer even lower prices
to
Consumers
Focus on new home owners and middle class consumers
Kept products high quality and low cost

11. Long Term Goals
Mr Ohlsson the president of IKEA argues that IKEA is more competitive as a
privately owned company.
Instead of sweating to meet the quarterly targets the stock market demands, it
can concentrate on long-term growth.
Plans to double the pace of store openings in China, where IKEA already has 11
outlets.
Hopes to move into India when the retail market opens up there. He even sees
room for expansion in Britain. An Englishman's home is his castle, and castles
need furniture.

12. IKEA vision explicitly states, "To create a better everyday life for the
many people. We make this possible by offering a wide range of
well-designed, functional home furnishing products at prices so low
that as many people as possible will be able to afford them"
THE IKEA VISION

13. #45 WORLD’S MOST
VALUABLE BRANDS
*FORBES LIST*

14. New IKEA website launch
IKEA announces a new website
design, currently rolling out in 24
countries worldwide.

15. As of August 2015, IKEA owns and operates 373 stores in 47 countries. In
fiscal year 2010, US$23.1 billion worth of goods were sold, a total that
represented a 7.7 percent increase over 2009. The IKEA website contains
about 12,000 products and is the closest representation of the entire IKEA
range. There were over 470 million visitors to IKEA's websites in the year
from September 2007 to September 2008. The company is responsible for
approximately 1% of world commercial-product wood consumption, making
it one of the largest users of wood in the retail sector

16. Whole living room options

17. Bedroom options

18. You can even create a whole
kitchen

19. IKEA has really made a name for themselves by being ahead of the competition in price and
growth.

20. http://www.strategy-business.
com/article/00111?gko=66b6e
http://www.ikea.
com/ms/en_GB/about_ikea/the_ikea_way
/history/
http://www.ukessays.
com/essays/marketing/what-made-ikea-
such-a-success-marketing-essay.php
http://www.forbes.com/companies/ikea/