IKEA SWOT Analysis for Marketing Management Diploma

The homework assignment presents a SWOT analysis focusing on the marketing management diploma program by examining the strength and weakness of IKEA. The company's major strength lies in its diverse range of cost-effective, well-designed furniture that offers high ROI for customers, positioning it as a leading global brand. However, challenges arise due to its size, particularly in effectively communicating environmental policies to consumers and stakeholders. Additionally, an emphasis on cost leadership sometimes negatively impacts product quality, posing further difficulties in maintaining standards while minimizing costs.

Running Head: Marketing management Diploma
Marketing Management Diploma

Marketing Management Diploma
Strength of IKEA
a.) The strength of the lies in the variety of products that are manufactured and designed by
the company. The products of the company are famous among the customers and also the
products that are introduced by the company are cost effective. Customers get value for
money and also high ROI on the money they spend on the furniture.
b.) Ikea is one of the strong global brands which attract the consumer groups towards the
products offered by the company. The company promises the same quality and range of
well designed, functional products at low prices globally. The quality of the product that
is offered by the company is the major strength of the company (UA little Rock, 2017).
Weakness of IKEA
a.) IKEA requires good communication with its consumers and also with the stakeholders
about the environmental activities. The size of the business creates difficulty for the
company. There are various environmental concerns that are related to the operations of
the company. IKEA goes through various challenges in communicating the policies to the
customers and shareholders.
b.) With the motive of profit maximization, the company at times focuses on the cost
leadership that gives adverse impact on the quality of the products that are offered by the
company. By taking into consideration the recent scenario, it is seen that the company
face difficulty to maintain the quality of the products in context with the enhancement of
the cost (Pratap, 2016).

Marketing Management Diploma
References
Pratap.A. (2016). IKEA SWOT Analysis. Viewed on 17th November 2017. <
https://www.cheshnotes.com/2016/09/ikea-swot-analysis-2016/>.
UA little Rock.(2017). Strength, weakness, opportunities and threats. Viewed on 17th November
2017. <http://ualr.edu/about/home/strategicplan/chancellor/planning-environment/7-strengths-
weaknesses-opportunities-threats />