Essay sample library > Cross Cultural Issues of Ikea's Operation in Different Countires

Cross Cultural Issues of Ikea's Operation in Different Countires

2023-09-20 01:49:37

IKEA's flat packaging concept was successful as transportation space has been reduced and customers have access to unassembled furniture. Ikea does not flatten ideas, but needs to be familiar with cross-cultural differences between foreign countries. Although culturally different, both Japan and India do not like the concept of flattening. Therefore, when dealing with cultural differences, it is necessary to consider financially viable plans. An example of a flat package is that a customer purchases a wardrobe, the part is removed in the package, and the customer is ready for assembly and placement.

Customer Chain: As mentioned above, IKEA customers are Czech Republic singles, small family members, various nationalities. Based on their culture and the Czech culture, IKEA offers special services to its customers. Unpredictability of alternative products and alternative services: Even within the industry, technology development can create alternative means for each branch office. A combination of a bed sofa or bed and a study board and wardrobe for children is an example of a substitute for personal products by IKEA. It also fulfills the trend of small homes

In short, IKEA can manage everything from furniture design to distribution and storage of furniture. The main weakness of IKEA is major surgery. IKEA currently operates in 29 countries and has more than 2,000 suppliers in more than 50 countries. Along with the spread of products and related countries, maintaining management and communication is one of the biggest problems of IKEA. The biggest challenge IKEA faces is timber. IKEA consumes 1% of the total commercial timber and exceeds 13.5 million cubic meters (8). With all these factors in mind, IKEA is launching a new campaign to operate in a more economical way by processing only FSC certified timber.

Faced with problems and problems In order for global organizations like IKEA to work in competitive recession markets, IKEA should adopt a variety of successful strategies. If successful, IKEA can revitalize the declining market and expand products to maintain competitiveness. Ikea needs to use a strategy to promote the market with an innovative concept rather than promote it to the market. Ikea can adjust the marketing strategy and attract more widely diverse markets. IKEA's low-cost 'nonskilling' strategy needs to adopt a strategy like a focus differentiation strategy. .