pereya (pear) suviwattanachai 931 549 969 nalinrach (pook) suksathaporn 931 549 945 sithiphon (new)...

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Pereya (Pear) Suviwattanachai 931 549 969 Nalinrach (Pook) Suksathaporn 931 549 945 Sithiphon (New) Suwanboriban 931 410 416

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Page 1: Pereya (Pear) Suviwattanachai 931 549 969 Nalinrach (Pook) Suksathaporn 931 549 945 Sithiphon (New) Suwanboriban 931 410 416

Pereya (Pear) Suviwattanachai 931 549 969Nalinrach (Pook) Suksathaporn 931 549 945Sithiphon (New) Suwanboriban 931 410 416

Page 2: Pereya (Pear) Suviwattanachai 931 549 969 Nalinrach (Pook) Suksathaporn 931 549 945 Sithiphon (New) Suwanboriban 931 410 416

Background• IKEA –> IK = Ingvar Kamprad (founder’s name)

E = Elmtaryd (farm) A = Agunnaryd (home country)

• Founded in 1943 • Beginning: offered pens, wallets, and clocks. • Today :– IKEA Furniture (self-assembly furniture)– 278 stores in 36 countries– 522 million visitors – $28.6 billion USD (Revenue)

Page 3: Pereya (Pear) Suviwattanachai 931 549 969 Nalinrach (Pook) Suksathaporn 931 549 945 Sithiphon (New) Suwanboriban 931 410 416

Organization• Motto

“to create a better everyday life for the many people” • Product range

focuses on good design and function at a low price• Goal

to reach as many people as possible• Advertisement

- catalog- online- TV ads YouTube - IKEA Nanny Banned Commercial

Page 4: Pereya (Pear) Suviwattanachai 931 549 969 Nalinrach (Pook) Suksathaporn 931 549 945 Sithiphon (New) Suwanboriban 931 410 416

Store Format

• Large blue buildings• Few windows• One-way layout The long natural way • Furniture showrooms House wares

Cashier’s station Warehouse

Page 5: Pereya (Pear) Suviwattanachai 931 549 969 Nalinrach (Pook) Suksathaporn 931 549 945 Sithiphon (New) Suwanboriban 931 410 416

Strengths

• Unique Resources– Value– Rareness– Inimitability– Organization

• Cost-Effective– Low-price– Big volume

Page 6: Pereya (Pear) Suviwattanachai 931 549 969 Nalinrach (Pook) Suksathaporn 931 549 945 Sithiphon (New) Suwanboriban 931 410 416

Strengths

• Strategic Positioning – “Self-service model”– Customers willing to trade (off service for price)– Design by themselves

• Valuable advertising sources• IKEA catalogue– 191 million copies 56 editions 27 languages

Page 7: Pereya (Pear) Suviwattanachai 931 549 969 Nalinrach (Pook) Suksathaporn 931 549 945 Sithiphon (New) Suwanboriban 931 410 416

Strengths

• InternationalBrand Recognition– Unique philosophy & low price

• Distribution Channels around the world– Europe, U.S., Asia, Latin America

• Immense experience in designing and manufacturing – Cooperating with skilled producers

Page 8: Pereya (Pear) Suviwattanachai 931 549 969 Nalinrach (Pook) Suksathaporn 931 549 945 Sithiphon (New) Suwanboriban 931 410 416

Weaknesses

• Rely heavily on Europe Market- 81% of the IKEA department stores are located in Europe

• Availability- Most stores are located outside of city centre- Have to drive a long way to come to the IKEA

Page 9: Pereya (Pear) Suviwattanachai 931 549 969 Nalinrach (Pook) Suksathaporn 931 549 945 Sithiphon (New) Suwanboriban 931 410 416

Weaknesses

• Several complaints on TV ads- many of them were banned

YouTube - Ikea Commercial :: Tidy Up

Page 10: Pereya (Pear) Suviwattanachai 931 549 969 Nalinrach (Pook) Suksathaporn 931 549 945 Sithiphon (New) Suwanboriban 931 410 416

Opportunities

• Opportunity to grow in many more locations• Seek out smaller markets before entering more

metropolitan locations– Plus financial strength

• Find less expensive real estate in the suburbs than in urban locales

Page 11: Pereya (Pear) Suviwattanachai 931 549 969 Nalinrach (Pook) Suksathaporn 931 549 945 Sithiphon (New) Suwanboriban 931 410 416

Threats

• Competition- Wal-Mart and Galiform

• Cultural Threats - Especially in Asia market (TV Ads)

http://www.youtube.com/watch?v=3TO90OV1IME&feature=related

• An increase in shipping & material costs• Crime - Shoplifting, breaking in

Page 12: Pereya (Pear) Suviwattanachai 931 549 969 Nalinrach (Pook) Suksathaporn 931 549 945 Sithiphon (New) Suwanboriban 931 410 416