The Companies create missions

Running head: STRATEGIC MANAGEMENT
Strategic Management
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1STRATEGIC MANAGEMENT
a) Based on the concept of IKEA above provide the possible mission and vision
statements of the organisation.
The concept of IKEA started with the idea of providing affordable products of
home furnishing in affordable rates so that rather than a few people, everyone would
be able to afford it. They achieve this by combining aspects like function, quality,
design and value and keeping sustainability at the core of the organization (Thomsen
2018). From their design and sourcing to packaging and distribution, the whole of the
company is built in a way that will support their core values. Their business aim to
enable people to live a better quality life.
The reason that IKEA has adopted this concept in order to increase their cost
benefit. IKEA offers customized luxury furniture in an affordable rate. The other
competitors in the market that make customized furniture provide their products at
much higher price. Their concept helps them to capture the mass market that the other
businesses have not been able to do (Gong, Jiang and Liu 2019). The reasonable price
enables them to be competitive in the market. The company has developed their core
competencies and organizational operation in such a way that will support this motto.
Mission statements of companies are not created in a whim. Rather, behind the
creation of the mission and vision statement there are much thought and deliberation
that goes on. The mission statements consist of the core values along with the present
motto of the company (Bowen 2018). Companies create missions so that they have a
guidance for their day-to-day work. The core values of IKEA includes humbleness,
leadership, will power, being different, sustainability, ethical business, collaboration
and enthusiasm and cost-effectiveness. These core values contribute to the formation
of their mission statement.

2STRATEGIC MANAGEMENT
The vision statement of a company too, is not just and attractive one liner or
claim. The companies take this seriously. The vision statement and mission
statements of organizations might seem alike but they are in fact quite different
(Dimitrova and Petrova 2016). While the mission statement describes what the
company is doing now or what their motto is, the vision statement shows the place
that the organization wants to be in the next five or ten years. This is their long term
goals which also include their philanthropic views and goals.
The mission statement for IKEA is to offer their customers a large range home
furnishing products that are well designed and functional in so low a price that mass
people are able to afford them. The vision statement of IKEA is to make everyday life
better for as many people as possible through their business. Evidently, the mission
statement is customer centric, meaning to serve the customers better while the vision
statement is more philanthropic and includes not only the customers but their
stakeholders, community and environment.
The mission and vision statement of the company influences the strategic
course and review that they undertake. They also guide the behavior and culture of the
organization itself. Moreover, the company also creates their annual goals and five
year plans aligning the mission and vision statements.
b) Discuss how organisations use SWOT analysis for their strategic review.
There are four elements of a company SWOT analysis, the strength of the
company, the weaknesses that it has, the opportunities that the company has in the
environment that they are competing and the threats that it has in that same
environment (Gürel and Tat 2017). Along with the input taken from SWOT analysis,
the strategists need ask questions regarding their aims and objectives, their long term