Basic Marketing Analysis for IKEA

Essay by ww999wUniversity, Bachelor's August 2014

download word file, 9 pages 0.0

Downloaded 1 times

About IKEA's 7Ps, strategic marketing, consumer behavior and branding! ! ! The main concept of IKEA is to offer a wide range of household goods which are beautiful and practical at an affordable price for anyone.From the early days, IKEA already decide to stay with the largest group of customer in the market of household goods. Which means IKEA have to meet the demand for people who want to improve their living environment and create a better home. They all have different needs, tastes, dreams, and the pursuit of money. For these demands, IKEA focus on household goods which is attractive, durable and at low price range. At western countries, IKEA locate itself as provider of household goods for the general public. IKEA have three key factors, reasonable price, new styles of furniture and good service. Because of these characteristics, IKEA is welcomed by the majority of Med-Low income families. In China, market orientation of IKEA made some adjustments. Because although China's market is very wide, level of consumption is low generally. The fierce competition between local cheap furniture manufacturers is close to saturation, and there are only few people interested in foreign expensive furnitures which already existed in the market. Therefore IKEA set their sights to the bigger cities which have more affluent class relatively. The market position in China is for the office workers who want to buy luxuries but cannot afford for the expensive price. This is a very clever and accurate positioning and gets fairly good results. But why this works in China? There are several reasons. First, IKEA is a global brand, which meets the psychological needs of office workers in China. Second, it is full of exotic culture in every corner of IKEA stores and operational concepts. Third, all IKEA products are...