This report provides a comprehensive analysis of IKEA's business strategy. It begins with an introduction to business strategy and its importance for achieving competitive advantages and maximizing profits. The report then delves into a detailed examination of IKEA's macro-environment using PESTEL analysis, identifying opportunities and threats related to political, economic, social, technological, environmental, and legal factors. Subsequently, the internal environment is analyzed using the Resource-Based View (RBV) framework, VRIO analysis, and SWOT analysis, evaluating IKEA's tangible and intangible assets, identifying its valuable, rare, inimitable, and organized resources, and assessing its strengths, weaknesses, opportunities, and threats. The report further applies Porter's five forces to evaluate the competitive landscape, including competition, new entrants, supplier power, and customer power. Finally, the report concludes with a strategic management plan, critiquing and interpreting the gathered data and information to devise strategies for improvement, enhance competitive edge, and improve market position.