Developing an App for the IKEA Company

THE BUSINESS REPORT
DEVELOPING AN APP FOR THE
IKEA COMPANY

THE PROBLEM
 The IKEA company main problem is to develop a
way in which they should keep up with the smart
furniture for smart homes and smart offices .
 The use of automated furniture makes it more
comfortable for customers and it exactly what the
clients are looking for (Garnier, M., & Poncin,
2019). .
 The shift of customer needs explains why there has
been seen a growth in revenues of the companies
rental services. The IKEA company main problem is
to develop a way in which they should keep up with
the smart furniture for smart homes and smart
offices (Garnier, M., & Poncin, 2019)..

THE PROBLEM
 The company is struggling to retain and
attract the new generation of customer and
clients that prefer using smart furniture
which by the way is the major trend in the
market. The company has to find a way to
create furniture that is smart (Garnier, M.,
& Poncin, 2019).
 Smart furniture that use technology in
homes and houses as a way of reaching a
new target and reducing the furniture
renting rates while increase furniture sales.

THE PROBLEM INSIGHT
 Failing to introduce technological change into the IKEA
organization through adopting smart furniture has led to
different set of challenges to the company and the
management (Marazzi, 2015).
 There has been reduction in clients buying furniture from our
company. In the past six months the company has recorded
a drop in profit margins of about 6% in customer direct sales.
The main reason for these financial drops has been realized
as the failure by the company to adopt smart furniture
products. The company has good offers to their customers.
 The aspect of free delivery that saves on costs and transit
time has since seen the attraction of many customers;
however, the company is losing new customer and client
generation that largely depend on technology.