Ikea in India
Table of Contents Particulars Pages
1. Executive summary 1 1.1 Introduction 2
2. Company Background 3 2.1 The growth of IKEA 3 2.2 IKEA Malaysia company 's strategy 4
3. New Delhi 's Background 5 3.1 New entry strategy 5 3.2 The international business 6 3.3 The market screening 6 3.4 New Delhi 's economy 7 * Figure 1: International Business Model 8 * Figure 2: The Tribune, Chandigrah, India- Budget Highlights 2006 07 9
4. Barriers of Entry 10 4.1 Culture and beliefs 10 4.2 Pricing 10 4.3 Environment barrier causes 11
5. Recommendations 12 * Figure 3: The Global Strategic Planning Process 13
6. Conclusion 14
7. References 15 * IKEA 's Overview 16-17
1. Executive Summary First of all, the assignment that is about International Business. The research and task which was given is an intention to expand the largest furniture company that is IKEA in Malaysia to New Delhi, India. IKEA was one of the biggest furniture manufacturers in the world where they have conquered the European state until Asian state with their most famous product and valued product money can buy. Since Malaysia 's goal was to look forward in becoming the next exporting industry, Malaysia companies should take this opportunity to explore the foreign market. The task will be based on the barriers of the company is likely to meet when entering and exploring the market. The strategies of controllable and uncontrollable forces will be examined throughout the research. This research purpose is to understand the markets in New Delhi and how to enter their market. The company and its strategy information can help by understanding the motives of the expansion around the globe. By using the five main drivers (politics, cost, market, competitive and technology) of globalization should be fitted in the research so that the expansion will be easier to handle. The analysis of the assignment can be judged whether it is relevant or logic for this
1. Executive summary 1 1.1 Introduction 2
2. Company Background 3 2.1 The growth of IKEA 3 2.2 IKEA Malaysia company 's strategy 4
3. New Delhi 's Background 5 3.1 New entry strategy 5 3.2 The international business 6 3.3 The market screening 6 3.4 New Delhi 's economy 7 * Figure 1: International Business Model 8 * Figure 2: The Tribune, Chandigrah, India- Budget Highlights 2006 07 9
4. Barriers of Entry 10 4.1 Culture and beliefs 10 4.2 Pricing 10 4.3 Environment barrier causes 11
5. Recommendations 12 * Figure 3: The Global Strategic Planning Process 13
6. Conclusion 14
7. References 15 * IKEA 's Overview 16-17
1. Executive Summary First of all, the assignment that is about International Business. The research and task which was given is an intention to expand the largest furniture company that is IKEA in Malaysia to New Delhi, India. IKEA was one of the biggest furniture manufacturers in the world where they have conquered the European state until Asian state with their most famous product and valued product money can buy. Since Malaysia 's goal was to look forward in becoming the next exporting industry, Malaysia companies should take this opportunity to explore the foreign market. The task will be based on the barriers of the company is likely to meet when entering and exploring the market. The strategies of controllable and uncontrollable forces will be examined throughout the research. This research purpose is to understand the markets in New Delhi and how to enter their market. The company and its strategy information can help by understanding the motives of the expansion around the globe. By using the five main drivers (politics, cost, market, competitive and technology) of globalization should be fitted in the research so that the expansion will be easier to handle. The analysis of the assignment can be judged whether it is relevant or logic for this
References: Ball and McColloch, 2006, International Business – The Challenges of Global Competition 10th Edition, Irwin/McGraw-Hill, New York, USA. IKEA, 2006, IKEA Damansara Store, Viewed 3rd July 2006, < http://www.ikea.com.my/stores/?store=2andlanguange > Jonathan Kent, 2003, Ikea 's appeals spreads in Asia, BBC News, Viewed 22nd Jun 2006, < http://news.bbc.co.uk/2/hi/business/3151739 > Kamal Nayan Kabra, 2006, Growth Pangs, Hard News, Viewed 20th June 2006, < http://www.hardnewsmedia.com/portal/2006/01/293 > Kerry Capell, 2005, Understanding IKEA – How the Swedish company turned into a global obsession, viewed 22nd July, 2006, < http://www.msnbc.msn.com/id/9970809> S.K. Chaudhuri, K.K. Rajan, 2006, Flood forecasting and warning systems in India – Towards Flood Disaster Reduction, viewed 15 July 2006, < http://www.crridom.org/disknet/floodforecat.htm#top > South Asia Monitor, 2006, Indo-Asian News Service – Highlights of India 's Foreign Trade Policy 2004-09, Viewed 15th July 2006, < http://www.southasiamonitor.org > Wikipedia Foundation. Inc, 2006, IKEA, Wikipedia, Viewed 3rd July 2006, < http://en.wikipedia.org/wiki/IKEA> Wikipedia Foundation. Inc, 2006, IKEA – history, Wikipedia, Viewed 3rd July 2006, < http://en.wikipedia.org/wiki/IKEA> Wikipedia Foundation. Inc, 2006, New Delhi, Wikipedia, Viewed 22nd June 2006, < http://en.wikipedia.org/wiki/New_Delhi> Revenue $15.425B USD ( 24%) (FY 2004) Employees 90,000 (2005) Wikipedia Foundation. Inc, 2006, IKEA, Wikipedia, Viewed 3rd July 2006, < http://en.wikipedia.org/wiki/IKEA>