Competitive Value Framework and Management Approach of IKEA

Report

Table of Contents
Contents
INTRODUCTION...........................................................................................................................1
2.0The Company..............................................................................................................................1
2.1 Company profile...............................................................................................................1
2.2 Company’s management approach...................................................................................3
The business challenges...................................................................................................................4
3.1The challenge facing the company....................................................................................4
3.2The impact of challenge on company................................................................................5
Recommendation.............................................................................................................................5
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
Competitive value framework also known as CVF is a model developed by the Robert
Quinn and Kim Cameron in a particular way. It consists of four kind of culture in corporate
which represent how a company operates in a particular culture. It states that there are many
different approaches to management and to define that it divides it into, where first dimension is
organisational focus which emphasis on development of people internally. Second dimension is
organisational preference which contrasts between flexibility and control that further divide into
four querent (Competitive value framework. 2019). These include human relation model, open
system model, rational goal model, internal process model. For determining the adequacy of this
CVF model, this project is conducted which is based on Ikea a multinational retailer deals in
manufacturing and selling of furniture. This report involves a discussion about company profile
using 3 analysis model and a management model used by Ikea. It also discuss about the
challenges prevailing in industry and its impact on Ikea along with recommendations
2.0The Company
2.1 Company profile
IKEA is a Swedish multinational group which operates to design and sell the ready to
assemble furniture, home accessories and kitchen appliances. It was founded in year 1943 and
now consider as world’s largest retailer of furniture since 2008. In year 2019 it was surveyed and
marked that Ikea has its presence at 433 locations and manage +revenue if around US$45.4
billion. Other than this it maintains workforces of around 211000 as marked in year 2019
(Helmefalk, 2016). It operates its business throughout the world and marked its greater presence
throughout the world. To better understood about the company following analysis tools are used,
SWOT
It is a tool which support in performing internal and external analysis where internal
information help in determining strength and weakness, and external analysis provide an idea
regarding opportunity or threat. The SWOT analysis of Ikea is mentioned below:
Strength Weakness
The biggest strength of Ikea is its extensive
knowledge about customers as it know the
purchasing behaviour and pattern, hence it
The main weakness that affects Ikea’s
performance in marketplace is its negative
publicity as the company was coitized for
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