IKEA Business Policy and Strategy

Business Policy and Strategy-
IKEA

IKEA is one of the known retailers that deals in
home furnishing products on international level. It
sells furniture, home accessories, and bathroom
and kitchen accessories. It is known for providing
high quality furniture in very low prices that can
help middle class people in buying product of their
choices without paying a higher amount.
Background of IKEA

It was founded by Ingvar Kamprad in 1943. It was
started in Sweden but now it has big retail outlets all
over the world.

 Mission- Mission of IKEA is to provide best quality
home furnishing products at very low prices so
that maximum people that afford it.
 Vision- Vision of IKEA is to create a better life for
people every day.
Vision, Mission and
Strategy

 Strategy- Strategy of the company is to save money from the
buyer’s perspective as well as from the seller’s perspective
without compromising the quality of the products.

IKEA is using a Generic business model that basically
focuses on Cost leadership. It means becoming a low
cost organization in a particular area of products. It
always focuses on improving its production
technology and getting inventory in low cost. It gets
product from the suppliers located in different
countries (Fröding, and Lawrence).
IKEA’s Business Model