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IKEA

IKEA. “IKEA founder overtakes Gates as world's richest” By: Rachel Andersen. Global Design. Name: Acronym for founder Ingvar Kamprad and his boyhood home Elmtaryd, Agunnaryd. Founded: Sweden, 1943 Operations: Designs/sells low-price home furnishings that require assembly.

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IKEA

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  1. IKEA “IKEA founder overtakes Gates as world's richest” By: Rachel Andersen

  2. Global Design • Name: Acronym for founder Ingvar Kamprad and his boyhood home Elmtaryd, Agunnaryd. • Founded: Sweden, 1943 • Operations: Designs/sells low-price home furnishings that require assembly. • 2004 Revenue: $15.5 billion; $1.7 billion in U.S. sales • Number of Stores: 216 in 33 countries; 24 in U.S. • Employees: 84,000 worldwide; 8,000 U.S.

  3. The IKEA Concept • “The IKEA vision is to create a better everyday life for the many people. We make this possible by offering a wide range of well designed, functional home furnishing products at prices so low that as many people as possible will be able to afford them.” - IKEA website

  4. Ingvar Kamprad • Kamprad’s personal fortune of $53 billion versus Bill Gates’ fortune of $47 billion. • Modest lifestyle: • Flies economy class • Avoids wearing suits • Drives his old Volvo when not using public transportation • Has kept ownership of the company in his family.

  5. Why So Cheap? • Purchasing as inexpensively as possible and flat-packing furniture for customers to put together themselves. • Allows them to reduce costs and use of packaging by not shipping air—the volume of a bookcase, for example, is considerably less if it is shipped unassembled rather than assembled.

  6. IKEA Store Openings • London, UK: February 2005 • Paris, France: February 2005 • Brussels, Belgium: March 2005 • Istanbul, Turkey: May 2005 • Rome, Italy: June 2005 • Atlanta, USA: June 2005 • Dallas, USA: August 2005 • Hsing Chuang, Taiwan: November 2005 • Boston, USA: November 2005

  7. IKEA Online Check out the website

  8. IKEA Hysteria • Saudi Arabia • IKEA announced that they were offering credit vouchers to the first 250 clients • More than 8,000 people showed up before the store opened. • Stampede killed three and injured 17 people.

  9. Questions? ???????????????????????????????????

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