Marketing Management

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Table of content:

1.0 ………………………………………………………….Introduction

2.0……………………………………………………… SWOT analysis 2.1 Strength
2.2 Opportunities
2.3 Weakness
2.4 Threats

3.0 ……………………………………………………………….Product

4.0 …………………………………Product/Market Expansion Grid

5.0 …………………………………………….Environmental Analysis

6.0 ………………………………………The New Development Plan

7.0 …………………………………………………………...Conclusion

Introduction:

IKEA was founded in 1943, by 17 year-old Ingvar Kamprad in Sweden, the company is named as an acronym comprising the initials of the founder’s name, the farm where he grew up (Elmtaryd), and his home parish (Agunnaryd, in Smaland, South Sweden) .

From the heart of the Swedish mountains, the idea of IKEA developed in a way to establish a relationship between its customers and everyday living environment. After its success, the company has opened 253 stores in 24 countries in 2008. Today IKEA is the world’s largest home furniture retail shop; they have a different concept for shopping. While families are choosing their own home designed furniture, they could rest in one of IKEA’s restaurant that serves Swedish food, or just buy the groceries from the designated shop in IKEA. Their concept differs from the usual idea of shopping; it combined an affiliation between economy and environment, to have the most suitable prices matching the daily lives of each one of us. In this project research, we discussed the prospects and intimidations of such a company in the market, the product suggested in the research would be a huge success in the commerce field. We have also provided an environmental analysis for the company in the research, we have conducted a market research which will be found in the fifth part.

Since it was founded IKEA has always had concern for people and the environment. The IKEA vision ‘to create a better everyday life for the many people’ puts this concern at the heart of the business. IKEA has responded to the public’s rising concern for sustainability in its choice of product range, suppliers, stores and communication. It has also spotted business potential in providing sustainable solutions. IKEA’s concern for people and the environment encourages it to make better use of both raw materials and energy. This keeps costs down and helps the company to reach its green targets and have an overall positive impact on the environment.

SWOT analysis

IKEA's goals of sustainability and environmental design are central to its business strategy. It has launched a new sustainability plan to take the company through to 2015. This will combine social, environmental and economic issues.

The objectives of any company could be reached through the SWOT analysis; IKEA uses this analysis in a smart way in order to understand the market and its effects on the company. This is a strategic planning tool that will help any firm to establish a strong base in the commerce field. The internal aspects of each firm consist of strength and weakness of the business which means it’s within the control of the company. These aspects could conclude marketing, finance, manufacturing and the organization itself. But for the external aspect combines the opportunities and threats a business may face at any stage, which means they exceed the control limit of the firm. These may include the environment, the economic situation, social changes or technological advances

By knowing the correct Strengths, Opportunities, Weaknesses, and Threats, the right SWOT analysis will be the key point of success.

Strengths:
Marketing specialists, location and finance considered as strengths for each company, by having a well-built base for such aspects, strengths will be formed for the firm. IKEA’s strengths include: • IKEA promises same quality worldwide...
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