Ikea Strategy Analysis
TLMBA 2012-2014
Strategic Management
Final Exam
Ana Tomaz – 153 012 155
1
Furniture retailing market
Japan 50%
China 17%
Latin America
2%
8 €/inh.
Brasil 65%
400 Bi euros in 2012
Others
2%
Asia
18%
EU 25
45%
NAFTA
33%
210€/inh.
Imports 9,5%
165€/inh.
Imports 32%( 20% from Asia and 5% from Europe)
1 – Furniture retailing business analysis and its KSF
Macro Environmental Analysis
2
Furniture retailing market
Schools, hospitals, hotels and churches
Institutional
10%
Office
30%
household
60%
1 – Furniture retailing business analysis and its KSF
Macro Environmental Analysis
3
Factors
Political
Economic
Socio-cultural
Technological
Tendência
- Decrease of salaries and pensions
- Increase of corporate and consumer taxes
- Import/Export taxes
- Political stability
- Austerity – Decrease of purchasing power of families
- Economic Recession in Europe
- Price sensitive demand
- Increase of purchasing power in emerging economies
- Higher labor and transportation costs (except India + China)
- Market’s globalization
- Local cultural and lifestyle factors – furniture = consumer object
- Importance of fashion in the consumer behavior
- Fashion vs price vs quality
- Aging of the population in Europe
- Population growth in emerging countries
- New technological solutions (new materials, new design, new market channels)
- Process innovations (logistics, inventory, transportation, distribution) Environmenta - Environmental awareness and regulation (deforestation ,wastes, l recycle, pollution)
- Sustainable Development
Legal
- Higher standards of consumer legislation
- Higher standards of industry legislation
1 – Furniture retailing business analysis and its KSF
Macro Environmental Analysis – PESTEL Analysis
+/+
-
+
-
+
+
+
+
Impacto
- Decrease of disposable income
- Final product more expensive
- Lower Margins
- Keeps relations between
Strategic Management
Final Exam
Ana Tomaz – 153 012 155
1
Furniture retailing market
Japan 50%
China 17%
Latin America
2%
8 €/inh.
Brasil 65%
400 Bi euros in 2012
Others
2%
Asia
18%
EU 25
45%
NAFTA
33%
210€/inh.
Imports 9,5%
165€/inh.
Imports 32%( 20% from Asia and 5% from Europe)
1 – Furniture retailing business analysis and its KSF
Macro Environmental Analysis
2
Furniture retailing market
Schools, hospitals, hotels and churches
Institutional
10%
Office
30%
household
60%
1 – Furniture retailing business analysis and its KSF
Macro Environmental Analysis
3
Factors
Political
Economic
Socio-cultural
Technological
Tendência
- Decrease of salaries and pensions
- Increase of corporate and consumer taxes
- Import/Export taxes
- Political stability
- Austerity – Decrease of purchasing power of families
- Economic Recession in Europe
- Price sensitive demand
- Increase of purchasing power in emerging economies
- Higher labor and transportation costs (except India + China)
- Market’s globalization
- Local cultural and lifestyle factors – furniture = consumer object
- Importance of fashion in the consumer behavior
- Fashion vs price vs quality
- Aging of the population in Europe
- Population growth in emerging countries
- New technological solutions (new materials, new design, new market channels)
- Process innovations (logistics, inventory, transportation, distribution) Environmenta - Environmental awareness and regulation (deforestation ,wastes, l recycle, pollution)
- Sustainable Development
Legal
- Higher standards of consumer legislation
- Higher standards of industry legislation
1 – Furniture retailing business analysis and its KSF
Macro Environmental Analysis – PESTEL Analysis
+/+
-
+
-
+
+
+
+
Impacto
- Decrease of disposable income
- Final product more expensive
- Lower Margins
- Keeps relations between
References: Kim, W. Chan, & Mauborgne, Renee. (2004, October). Blue Ocean Strategy. Harvard Business Review Freire, Adriano Freire, Adriano, Strategic Management - Class Handouts, The Lisbon MBA Part-Time, 2013 Apresentação