2 Job Idea“ We should offer a wide range of well designed, functional homefurnishing products at prices so low that as many people as possiblewill be able to afford them.”Ingvar KAMPRADI: Ingvar (name)K: Kamprad (surname)E: Elmtaryd (birth farm)A: Almhut (town of birth)
3 Vision A better daily life….. Being in the side of the majority… Offering thousands of well-designed and functional furniture and home accessories atlow prices that many people can buy…Retrenching in every field that comes to mind, except ideas!Not receiving money on workings that customer can make…Retrenching together for a better daily life…
4 IKEA ConceptBased on offering a wide range of well designed, functional home furnishing products atprices so low that many people will be able to afford them.Rather than selling expensive home furnishings that only a few can buy, the IKEA Conceptmakes it possible to serve the many by providing low-priced products that contribute tohelping more people live a better life at home.Guides the way IKEA products are designed, manufactured, transported, sold andassembled.
5 History 1926 Ingvar Kemorad was born. 1943 He registered his firm in 28 July,IKEA.1946“Wholeslale ballpoints pens”. Thevery first IKEA ad. Written by thefounder himself.1948Stylish , modern furniture is introduced intoThe IKEA product range.
6 History 1951 The first IKEA catalogue was distributed. Then, as now, free of charge.1953Albin Lagerblad’s furniture in Almhultwas bought and converted into the firstshow-room of IKEA.1955IKEA started to design its own furniture.1955Partnerships were up to 100.
7 History 1958 The very first IKEA store opened in Almhult, Sweden. 1958 Designer Gillis Lundgren created TOREseries. These products were considered forchildrens’ rooms.1959Disassembled furniture idea was created.Flat packages= Lower transportsCosts = Lower prices1961Quality tests, which were accordance withSweden Test Standarts , were started.
8 History 1961 1963 First agreement was signed with the none-Scandinavian partner(Poland).Their first delivery was furnitures.1963First store outside of Sweden was opened inOslo- Norway.1964“Is expensive furniture better than cheap?”was the headline in Sweden’s leading homefurnishing magazine. The result wassensational.1964Cafe chair from bending beech tree wasre-designed for fitting to IKEA concept.
9 History 1965 1965 The first store in Stockholm was opened. At that time, it was the largest home furnishingstore in Europe.1965Kitchen part was opened in Stockholm’sStore.1973The first store outside of Scandinavia wasopened.1975Plastic chair, called SKOPA, started to produced.
10 History 1978 1980 IKEA’s shelves was moved to living rooms at first time.1980LACK came out. This stand was build from a sound and light material uses in room door building.1980KLIPPAN Sofa with a replaceable andwashable sheath came out.1982PATRULL child security product serie,shows IKEA's commitment to safety, cameout.
11 History 1984 A fabric, which produces supermarket Cars, started to produce frame of MOMENTsofa. This design won an award.1985STOCKHOLM series came out.This serie won a Sweden PerfectDesign award.1996IKEA created a new designer which wasinspired by 18. century Scandinavianfurniture.1997The child serie came out.
12 History 1995 www.ikea.com went into operation. 1999 Ingvar Bengrad started a millenium awardcampain / Big Thank You Event for hisemployee.2003Kamprad Building in the Sweden Hospitalhas been founded by IKEA’s donation. Thisbuilding has a cancer research fixture and aRadio-physic fixture.2002A historical Sweden souvenir has turned toa stylish design.
13 History 2004 First IKEA store in Portugal has opened. 2005 First IKEA store in Turkey/Umraniye has opened.2006First IKEA store in Japan has opened. On that year employee of IKEA group is over people.2007IKEA has opened the most international storein Haparanda. Because this store is on the borderland of Sweden and Finland. This area is on the reservoir area of Russia and Norway.
14 Store StyliesIkea stores are generally like blue boxes which have lots of windows.On that stores a natural long-way has designed for the customers. Purpose of this way is encourging customer to see every part of store. Besides this way there were short cuts for the special part that customers want to see especially.Inner store designs are generally like this; furniture section, kitchen section and on the last part buying section and cash desk section.In spite of the original designs shopping part is on the lower floor and exhibiting part is on the higher floor, in the most of Canada, Spain,American stores and all of German stores exhibiting part is on the lower floor. And some of stores have one floor and build like a bugalow.In the most of IKEA stores sell generally Swedish foods and next of these there are some restaurants which sell local foods. These restaurants are mostly on the parts have big windows. Except Sweden some of these restaurants sell Sweden food products.In the most of Ikea stores there are a discount section before before cah desk part. There are products have little/high damages on the discount part.But you can’t return these products. On America and Australian these parts launch as a market place.Despite in Hong Kong IKEA store products prices are high and products’ scales is so limited, they opened 3 OUTLET stores. These stores are too small but they have one way road as well.But Telford store doesn’t have this template. There are 3 floor s which are independent from each other.
15 gfhfPRODUCTSBookshelves Beds Wardrobes Bathsand Buffets and MattressSofas and ArmchairsTV UnitesOfficesTables and ChairsTextile and CarpetsFood AccessoriesParquetsLighteningsKitchensKoltuklarHome OrganizationsIKEA KIDHomeDecorationsBoKlokPrefabric Home*** IKEAs’ social commitment policy effect company especially in designs.
16 IKEA SERVICES Transport Service Montage Service Kitchen Planning Children ServicesKitchen MontageFree Park SpaceGift Vouchers
17 DESIGNERS 1)Wiebke Braasch 19)Annie Huldéen 2)Monika Mulder )Saana Dahlman3)Mia Gammelgard )Carina Bengs4)Noboru Nakamura )Eva Lilja Löwenhielm5)Ehlén Johansson )Nicholas Cortolezzis6)Tord Björklund )Jon Karlson7)Niels Gammelgaard )Gillis Lungreen8)Kazuyo Nomura )Hakan Olsson9)Linda Svennson )Morten Kjelstrup10)Anna Efverlund )Sigga Heimis11)Knut - Marianne Hagberg 29)Mikael Warnhammar12)Maria Vinka )Nicholai Wiig Hansen13)Magnus Eleback )Richard Clack14)Asa Grey )Allan Östgaard15)Thomas Sandell )Karl MALMVALL16)Chris Martin )Anne Nilsson17)Henrik Preutz )Tomas Jelinek18)Annika Grottell )Nike Kassrolf.*** And they are working with lots of designers.*** IKEA always want its own designers to be infront of peoples’s eyes(Designers’ pictures in stores). Thanks to this situation IKEA can show to other people its designers are so important to them.
18 CATALOGUEIkeas’ most powerful part is its catalogs. On that catalogs you can find IKEAs’ philosophy with funny, clever, inspirational words and you can find informations about how to make a kitchen, how to design an office, products’ visuals with full accesories, kids products with lovely children, designers with their products , remember us how much trendy IKEA is, besides this these you can also find intercommunication info , details about social commitments of and answer of why IKEA.
19 IKEA ORGANIZATION IKEA Group Management Board: Anders Dahlvig (CEO), Hans Gydell (CFO), JosephineRydberg- Dumont, Mikael Ohlsson, Thomas Blomquist, Pernille Spiers- Lopez and LarsGejrot.
20 INTERNATIONAL ENLARGEMENT STRATEGIES Franchesing:In the world Inter Ikea System s’,which has IKEAs’ intellectual property and hasauthorization to give frachesing, target is redoubling IKEAs’ attainablity with IKEAs’ storesthat has IKEA style.Inter IKEA Systems B.V. is constantly evaluating new countries and following a long-termstrategic expansion plan, which sets our priorities of future growth navigates where toput focus and when.Decision to enter a new country is made after a thorough market studyand a franchisee will be carefully evaluated and approved.When selecting franchisees, Inter IKEA Systems B.V., among other things, evaluates thefollowing:thorough retail experienceextensive local market knowledge and presencecorporate culture and valuesfinancial strength and ability to carry through the investment penetrating a country in full and in a large-scale retail environment format
21 ENLARGEMENTMore than 320 stores in more than 38 countries…
23 FORTUNE's “Top 100 companies To Work For” 2005-2006-2007 AWARDSFORTUNE's “Top 100 companies To Work For”Training Magazine Top 100 Company- Human Capital Development 2006100 Best Companies for Working MothersCLIO Awards Advertiser of the Year-2004Working Mothers Magazine “Family Champion” Award-2003Elle Decoration International Design Award / IKEA Kitchen-2003American Envoirement Org. Evergreen Award For Pollution Prevention- 1998Sweden Perfect Design Award/ STOCKHOLM series- 1985Design Award/ Moment Sofa-1984Bunların yenisi var mı die bak
24 “Evinizin her şeyi…” for Turkey ADVERTISMENT“Evinizin her şeyi…” for Turkey*** IKEA uses especially aggressive and lurid components in their advertisment for trying to betray own brand.***Most of advertisement in Turkey are preparing by TBWA.
25 SOCIAL COMMITMENT Burda kaldım They feature to envoirment and work on a serie with product made from recycled, non-used material.There is a campaign “Plant a Tree. Clean the Air. Cool the Globe.” with the coopartion of IKEA and American Forests . Ikea plant trees on thebeginning of the campaign.They support WWF’s campaign “ Forests For Life”.Also there are lots of forest of IKEA and there is a department for these forests in their constution.Ikea Group has a foundation called Stichting INGKA in Holland. Even if the owner of this foundation looks like INGKA Holding B.V., the real owner isIKEA group.IKEA design objects with recycled materials.IKEA products must be manufactured under acceptable working conditions by suppliers who take responsibility for the environment.All IKEA products for all markets globally shall comply with the chemical restrictions in the EU REACH regulation.IKEA continually works with chemicals and tries to phase-out the use of questionable substances. Some examples; IKEA has set an earlyvoluntary ban on PVC (decided 1991) except in cables, an early ban of all organic brominates flame retardants in furniture (effective from 2000) anda ban on formaldehyde emitting paints and lacquers on all products (effective from 1993).IKEA is well aware of the new information duty regarding levels over 0,1% of SVHC (Substances of Very High Concern) in any product. If such productsare identified, IKEA will not only state the name of the chemical as required by the legislation, but also explain the reason for why this substance ispresent in the product. We will also explain any possible implication for the user.Child labor does exist in countries where IKEA products are manufactured, but IKEA does not accept child labor at its suppliers or theirsub-contractors. IKEA works actively to prevent child labor.IKEA has a special code of conduct called The IKEA Way on Preventing Child Labor, which is part of The IKEA Way on Purchasing Home FurnishingProducts. Monitoring of compliance with The IKEA Way on Preventing Child Labor is done by IKEA trading service offices and with unannounced visitsby KPMG to suppliers and sub-contractors in South Asia.And also they work with UNICEF and WWF for promoting humans’ life in 3. world country.Burda kaldım
27 SWOT ANALYSIS Strengths: Weakness: Opportunities: Threads: Lower pricesAdvertisment (web site,catalogue,mouth to mouth adv.)Large product network and sytlies- flat packagingOpportunity to see model roomOne-stop shopIKEA restaurant, parking area for children and baby care rooms for mothersSelf-service shoppingChance to return products in maximum 1 monthMost of products have 10 year guaranteeWeakness:Customers must mount productsLess locationsInventory problemOpportunities:Ennobling numbers of storesSome of the furnitures can sell by retailersSelling products which are already mountedThreads:There is no areas for chaffering with competitors directly.
28 FURNITURE SECTOR IN TURKEY Furniture sector has $ 6 billion size in total. Spread over four corners of Turkey are approximately 60,000 manufacturing and selling point. The distribution of these points according to the provinces as follows: Istanbul, 6458, 5361, Ankara, Izmir 2379, 2130 Bursa, Kayseri 740, other provinces, 12,278, retail 32,382 and 61,728 firms in total. The number of employees are officially around 258,213 in companies.Turkey's largest furniture brands are abundant in Kayseri. Istikbal, Bellona, Yatas, Kilim and Ipek productions’ are also in Kayseri. In other provinces, which produces the following brands: Tepe ve Seray (Ankara), Dogtas (Canakkale), Kelebek (Duzce), Alfemo ve Konfor (Izmir), Idas (Istanbul), Cilek (Bursa), Koleksiyon (Tekirdag). Other brands produce in Ankara furniture sites. Bursa Inegol also is home to many companies in terms of production.
29 FURNITURE SECTOR IN TURKEY Our furniture sector is influenced by Italian furniture sector. As an influence of Italian sector design stands out. "Italian Style" so-called value, in almost all sectors, primarily related to design. In Turkish furniture sector, the impact of this interest is obvious. For consumers, the most important value that satisfy the aesthetic sense of them is to these furnitures, and no matter what is the price and quality levels.Cause of the largest increase in expectations for aesthetic reasons are "style" of the concept put forward by perceptual changes. Consumers no longer want to have a home that reflects their own style. The main element of having these kind of house is furnitures. Person's aesthetic expectation with the application of the person's style on furniture are naturally satisfied and these the cause-effect relationship, is the focal point of competition.The expected benefits, ergonomic furniture is becoming one of the main element. Because the number of items in houses decreases and the houses are getting smaller. Moreover, young people, instead of goods stacked on top as before, are choosing simple decor. This decrease makes capacity to use objects decrease. Because of that custom designs come out in personal prefences.
30 ENTRANCE OF IKEA IN TURKEY IKEA brought furniture supermarket to furniture sector as an innovation.On these supermarket flat packages make products more ergonomical. Actually the target has been reached: “You do your part.We do our part. Together we save the money.” IKEA made change in competition area. On past companies such as quality or price competitiveness with companies like itselfs’ lost the advantage of price competitive advantage. Also this brings searching new advantages. Warranty is still standing in the middle as a not to be given value. But now montage can stand as a submission value and customer can except that.After IKEA lots of brand changed brand competition. These changings weren’t radical but they became true. Little firms had to search new competition advantages.IKEAs’ first lesson for Turkish customer is montage. Turkish customers generally complains about montage and stock problem.
31 IKEA IN TURKEYIKEA has been acquiring from one point in Turkey since 1998.IKEA works with 40 factories in Turkey.After going into Turkey IKEA has been still working with same factories in Turkey.In Turkey Maya Group/Mapa Furniture has the rights of franchase of IKEA in Turkey.IKEA has 5 stores ( Umraniye, Bayrampasa, Izmır, Bursa and Ankara) in Turkey.IKEAs’ store in Umraniye is in the largest 30 IKEA store in the world.IKEA in Turkey has the same properties like the other IKEA stores in world. But also some adaptations exist for Turkey .In stores there are 6500 types of products in over 20 categories.IKEA had over 10 million visitors since today .After being in Turkey number of producers increased.IKEA is exporting Sweden meatball over Turkey.IKEA is looking for 3. store in Istanbul because of exceeding the estimated yield.IKEA has also started to sell from for the cities that haven’t IKEA store in their structure.
32 MAYA GROUP/MAPA FURNITURE Basis of MAYA Group of Companies in early 1940s , plunged in imports and trade in synthetic yarn and textile industry.After more Maya Group had a participation with Dinarsu Carpet.One of the first synthetic yarn factory Istanbul Nylon Industry has been builded with Industry Inan Textile and with other partners in Avcilar Istanbul.In 1970s group decided to become stronger in real state.In 1987 group was entered to soap and cosmetic area.Company has been still in real estate business area.Meeting of Ikea and Maya Group is; in crysis time group decided to enter in different fields and they wanted to work in retail business area for 5-10 years plan . The results of these decisions company bought IKEAs’ frachise rights using knowing Turkey market advantages.