Strength

IKEA boasts of the World class manufacturing facility and brand name will attract
the Indian masses who are prone to buy foreign brands.
ikea is currently at 46th position in the world in brand value of Forbes list. Its value
stands at $11.9 billion. Ikea stands number 6th in the top 10 organization in the
retail sector.
Ikea’s biggest strength lies in the kind of product it manufactures and designs Ikea
provides wide variety of products at their stores as they offer 7500 products at
hydrabad store
Ikea stores are considered to be the one stop shop for furniture. Because it provides
every item in their stores.
Weakness
First weakness is flat pack furniture that means ikea provide ready to assemble
furniture. In Europe and US as well consumer assemble their furniture but in
indian culture is different and indian consumer prefer assembled furniture
Second is store location as ikea known for its larger stores.In india, land is very
expensive, to minimize land cost ikea has store at outside the city which creates
problem for consumer to reach.
The international pricing will not work in India, as the consumers are very price
sensitive and wants bargain and discounts(Clark and Knowles, 2009). The range of
IKEA design is very ultra modern and chic to suit the Indian culture and living
which is again pointing towards the design elements. The size, the choice of
colours, indoors and outdoors will differ due to cultural difference.
Opportunity
Ikea has opportunity to offer pre assembles furniture according to the taste of
consumers which might increase their cost.
Ikea can manufacture furniture which is made of iron and plastic
Ikea can go for new markets e.g Pakistan as well as ikea has 1 store in india ikea
should increase its presence in india as well.
Threat
As I have discussed in competitors analysis The predominant market for furniture
in India was dominated by these brands ‘Raj and Raj’, ‘Durian’, ‘Godrej Interio’,
‘Neelkamal’, ‘Nesta’, ‘Style Spa’, Zuari, until the organised marketing and
retailing entered India. So there is the @home town, @Jagdish store which opened
to customers walking for a whole new experience in choosing furniture. Close at
heals was Reliance Furniture. The last wave was from the Indian startups in
dotcom sector, www.pepperfry.com , www.jabong.com. Keller and Jacob (2011)
stated that the threat of entry is high as the online e-commerce are offering home
installation and delivery with a hefty discount.