Name Hadia Ejaz

Roll no 2018-BBA-011

Question no 1:
IKEA is a Swedish company founded by a 17 years old swede named Invager Kamprad. In 2008,
500 million visitors walked through IKEA stores located all over the world. The company
achieved this level of success by offering a unique value proposition to consumers ledging-edge
Scandinavian design at extremely low prices. They keep the prices of the products lower and
focused more on customer wants. As their founder said that they should care about customer’s
interest. IKEA’s manager visited European and US consumers to study their culture and lifestyle.
Their products are available to 53 countries. Wide variety of products which fulfill the
customer’s needs and wants.

What else it could be doing:

 Using social media marketing for promotion.

 Expanding their business in Asia and other south American countries.
 Providing online facilities to its customers.

Question no 2:
Pros:

 Their product prices are low and affordable for customers.

 High value delivery to customers.
 They have good product quality
 Wide variety of products provide larger view of a company’s products.

Cons:

 They lack social media or online service facilities

 Their products lack innovation and creativity
 Also, the stores are at a good distance from city centers