Swot Analysis and Sustainable Business Planning Ikea
Introduction
IKEA is an international home furnishing retailer. Its vision is 'to create a better everyday life for many people'. It carries a range of nearly 10,000 products. IKEA has 18 UK stores as well as online ordering through its website. IKEA has responded to the public's rising concern for sustainability. It believes a strong environmental stance is good business practice.
SWOT analysis
IKEA uses SWOT analysis to help reach its goals of sustainability and environmental design. It is a strategic planning tool to help businesses identify key issues. It looks at the Strengths, Weaknesses, Opportunities and Threats involved in a project. Strengths and weaknesses are internal aspects. They may refer to marketing, finance, manufacturing or the organisation's structure. Opportunities and threats are external aspects. These may come from the environment, the economy, social changes or technological advances. Businesses must create opportunities and counter threats by utilising their strengths and managing weaknesses.
Strengths
Strengths are aspects of a business that add value to its products or services. IKEA's strengths include: a strong global brand clear vision strong concept
'Democratic design' (which balances function, quality, design and price).
IKEA uses Key Performance Indicators (KPI) to help measure its performance. KPIs show how IKEA is making progress towards its vision. IKEA also has strengths throughout its production process, such as: increased use of renewable materials in production
'smarter' use of raw materials with less waste long-term partnerships with suppliers economies of scale
Opportunities
A business uses its strengths to create opportunities. IKEA is taking advantage of customer demand for more sustainable solutions. For example, there is: growing demand for products which do not harm the environment continuing demand for low prices demand for companies to use less water when making products and reduce their carbon
IKEA is an international home furnishing retailer. Its vision is 'to create a better everyday life for many people'. It carries a range of nearly 10,000 products. IKEA has 18 UK stores as well as online ordering through its website. IKEA has responded to the public's rising concern for sustainability. It believes a strong environmental stance is good business practice.
SWOT analysis
IKEA uses SWOT analysis to help reach its goals of sustainability and environmental design. It is a strategic planning tool to help businesses identify key issues. It looks at the Strengths, Weaknesses, Opportunities and Threats involved in a project. Strengths and weaknesses are internal aspects. They may refer to marketing, finance, manufacturing or the organisation's structure. Opportunities and threats are external aspects. These may come from the environment, the economy, social changes or technological advances. Businesses must create opportunities and counter threats by utilising their strengths and managing weaknesses.
Strengths
Strengths are aspects of a business that add value to its products or services. IKEA's strengths include: a strong global brand clear vision strong concept
'Democratic design' (which balances function, quality, design and price).
IKEA uses Key Performance Indicators (KPI) to help measure its performance. KPIs show how IKEA is making progress towards its vision. IKEA also has strengths throughout its production process, such as: increased use of renewable materials in production
'smarter' use of raw materials with less waste long-term partnerships with suppliers economies of scale
Opportunities
A business uses its strengths to create opportunities. IKEA is taking advantage of customer demand for more sustainable solutions. For example, there is: growing demand for products which do not harm the environment continuing demand for low prices demand for companies to use less water when making products and reduce their carbon