Competitive Advantage Of IKEA

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Competitive advantage IKEA which has been providing stylish and inexpensive furniture for decades has established a competitive advantage that has contributed to its global market saturation around the world, making them the world’s largest furniture retailer. By staying true to its mission, executing its business plan, and strategically picking its markets, IKEA has provided people around the world with quality products at affordable prices. In the more recent past, IKEA has maintained an advantage over its competitors via an assortment of innovative techniques. Some of these more interesting concepts include an increased social media presence targeted around providing customers a media to share rooms and redecorating ideas around IKEA’s products and the introduction of a customer take-back program for used furniture (Interbrand, 2014). Competitors IKEA, like any other company, has numerous competitors competing with the business at different stages. As we optically discern so often in today’s market, the caliber of competition can depend on the sundry of industries and geographic regions the company is conducting business in (IKEA, 2014). In the case of IKEA as a global company conducting business in twenty-six countries they would obviously have numerous competitors. In an endeavor to localize these competitors we will outline them by continent and present the most conspicuous competitors for IKEA in North America, Europe, Asia, and Australia. While the competitors to the IKEA brand are valuable, none besides IKEA appear in the world’s most valuable brand profile performed by Forbes for yearend 2013. North America With a presence of fifty stores in North America, thirty eight of which are in the United States, IKEA’s North Am... ... middle of paper ... ...rations in the UK and Europe, is the largest online retailer of furniture online in the country, according to their website. Milan Directs exclusively online direct to customer business model centers around the sale of home/office/outdoor furniture, lighting, linens, rugs, and home wares (Milan Direct, 2014).While Milan Direct may be the largest online retailer of furniture in Australia, IKEA also competes with Harvey Norman, another local Australian retailer. With stores scattered throughout Australia, New Zealand, Slovenia, Ireland, Singapore and Malaysia, they currently operate 230 plus locations that sell an assortment of home related items. These items include items from the following categories: electrical, computers and communications, small appliances, furniture, bedding, home improvements, lighting and carpet and flooring (Harvey Norman Holdings Ltd, 2014).

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