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IKEA

IKEA

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Published by mjanus13

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Published by: mjanus13 on Feb 16, 2011
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05/12/2014

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It is easy for the customer to transport and assemble IKEA products and this endears them to the company. combined with mass production entails economies of scale. IKEA caters to a huge market in the US. 3. affordable. Their products are flat packed. This help IKEA in packing and transporting the products and thus helps them save on warehousing and transportation charges. Traditional furniture is large and cumbersome. Low prices owing IKEA has established itself as the provider of home furnishing items that are stylish. IKEA lays emphasis on modifying the product so as to make it easier for the customer to assemble and use it. Thus IKEA can afford to lower its prices which it can transfer to customers while this doesn t eat into the company s profit margins. Waste management . IKEA has modified the product design. Innovation 4. that is.IKEA has sustained in the house furnishing market because of its sustainable competitive advantages (SCA). 2. Poproduct modification thru innovation Product modification to suit the customer is the trademark of IKEA. but. This has established it as a brand among customers to turn to. then again. The SCAs of IKEA are 1. the product is made in parts that are easy to transport and assemble. China and Russia. But the raw materials for the manufacture of the are purchased in bulk and this.

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