Strengths
IKEA is certainly an environmentally friendly business with a keen focus upon sustainability. In years gone by the company had been accused of encouraging wastefulness since it made a very large numbers of furnitureproducts at low prices. As part of an integrated public relations campaign – IKEA now focuses on sustainability and made it an underpinning principle of its business philosophy.
In 2011 IKEA has the enviable record of recycling more than 85% of the packaging and other waste from its stores. Products and materials, suppliers, climate change and community involvement are the fundamental principles of IKEA’s sustainability approach. For example, IKEA imposes very strict control measures on some of its suppliers, such as those based in the greater China region.
IKEA likes satisfied customers. The business manages to score highly in customer satisfaction surveys. Many marketing research companies rank IKEA in their top 10 companies for customer satisfaction. They managed to enhance their brand association with such great results.
Let’s face it IKEA is probably the biggest furniture retail name in the world. This is a business with more than 10,000 products available on every continent. They offer low prices and products that offer good value. If you want hard wearing and long-lasting, you will pay more for it elsewhere. IKEA has positioned its business offering away from high-quality and high price, and also a way from low quality, low price. It is in a very enviable position.