SWOT Report of IKEA Company

EXECUTIVE SUMMARY This report assesses the SWOT of the company Ikea, an international home furnishing retailer. Research has shown how Ikea have succeeded in expanding its stores worldwide and in meeting consumers expectations. Conducting SWOT before deciding what business to start is a must in order to see the reality of the business or ideas and run your business with a position of strength. On the structure of this paper, the companys background will first be highlighted. Next will be the SWOT analysis, their strengths that includes their vision, supply chain integration and innovative ways to always keep costs low. On the weaknesses side, Ikea face the challenge on negative publicity, low quality products and location. The opportunities that they have in this business such as online sales, expansion in growing grocery market and demand for products at low prices. Lastly, the threats that is uncontrollable such as growth of average consumer income and competitors. At the end of this report, it is clear how the SWOT factors of Ikea affect their business and management. It is highly important to asses and be alert of threats that will be faced for Ikea in order to improve. I TABLE OF CONTENTS EXECUTIVE SUMMARY..I TABLE OF CONTENTSII INTRODUCTION1 SWOT ANALYSIS...2 STRENGTHS..2-3 WEAKNESSES........3 OPPORTUNITIES...4 THREATS.4 CONCLUSION.5 REFERENCES.6 II INTRODUCTION Ikea is one of the largest world wides known brand for home furnishing retailer that was founded in 1943 and has grown rapidly since then. It is widely known for its low prices with a wide range of well-designed products that cater for every lifestyle of its consumers who came from all age groups and types of household. The concept of a flat-pack and ready to be assembled by consumer gives the option to pay less. Ikea is also available through online ordering in some countries such as in the UK, which has 18 stores to date. One of the things that attract consumers to pay a visit to Ikea is their