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Damla KAAN

Damla KAAN. Job Idea. “ We should offer 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. ” Ingvar KAMPRAD . I: Ingvar ( name ) K: Kamprad ( surname )

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Damla KAAN

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  1. Damla KAAN

  2. JobIdea “ Weshouldoffer 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.” IngvarKAMPRAD I: Ingvar(name) K: Kamprad(surname) E: Elmtaryd(birthfarm) A: Almhut(town of birth)

  3. Vision A betterdaily life….. • Being in theside of themajority… • Offeringthousands of well-designed and functional furniture and home accessories at • lowpricesthatmanypeoplecan buy… • Retrenching in everyfieldthatcomestomind, exceptideas! • Not receivingmoney on workingsthatcustomer can make… • Retrenchingtogetherfor a betterdaily life…

  4. IKEA Concept • Basedon offering a wide range of well designed, functional home furnishing products at • prices 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 Concept • makes it possible to serve the many by providing low-priced products that contribute to • helping more people live a better life at home. • Guidesthe way IKEA products are designed, manufactured, transported, sold and • assembled.

  5. History 1926 IngvarKemoradwasborn. 1943 He registered his firm in 28 July,IKEA. 1946 “Wholeslaleballpoints pens”. The veryfirst IKEA ad. Writtenbythe founderhimself. 1948 Stylish , modern furniture is introducedinto The IKEA productrange.

  6. History 1951 Thefirst IKEA cataloguewasdistributed. Then, as now, free of charge. 1953 AlbinLagerblad’sfurniture in Almhult wasboughtandconvertedintothefirst show-roomof IKEA. 1955 IKEA startedtodesignitsownfurniture. 1955 Partnershipswereupto 100.

  7. History 1958 Theveryfirst IKEA storeopened in Almhult, Sweden. 1958 DesignerGillisLundgrencreated TORE series. Theseproductswereconsideredfor childrens’ rooms. 1959 Disassembledfurniture idea wascreated. Flatpackages= Lowertransports Costs = Lowerprices 1961 Qualitytests, whichwereaccordancewith Sweden Test Standarts , werestarted.

  8. History 1961 Firstagreementwassignedwiththe none-Scandinavian partner(Poland). Theirfirstdeliverywas 20.000 furnitures. 1963 Firststoreoutside of Swedenwasopened in Oslo- Norway. 1964 “Is expensivefurniturebetterthancheap?” wastheheadline in Sweden’sleadinghome furnishingmagazine. Theresultwas sensational. 1964 Cafechairfrombendingbeechtreewas re-designedforfittingto IKEA concept.

  9. History 1965 Thefirststore in Stockholm wasopened. At that time, it wasthelargesthomefurnishing store in Europe. 1965 Kitchenpartwasopened in Stockholm’s Store. 1975 Plasticchair, called SKOPA, startedtoproduced. 1973 Thefirststoreoutside of Scandinaviawas opened.

  10. History 1980 LACK cameout. Thisstandwasbuildfrom a soundandlightmaterialuses in roomdoorbuilding. 1978 IKEA’sshelveswasmovedtolivingrooms at first time. 1980 KLIPPAN Sofa with a replaceableand washablesheathcameout. 1982 PATRULL childsecurityproductserie, showsIKEA'scommitmenttosafety, came out.

  11. History 1984 A fabric, whichproducessupermarket Cars, startedtoproduceframe of MOMENT sofa. Thisdesignwon an award. 1985 STOCKHOLM seriescameout. Thisseriewon a SwedenPerfect Designaward. 1997 Thechildseriecameout. 1996 IKEA created a newdesignerwhichwas inspiredby18. centuryScandinavian furniture.

  12. History 1995 www.ikea.comwentintooperation. 1999 IngvarBengradstarted a milleniumaward campain / BigThankYouEventfor his employee. 2003 KampradBuilding in theSwedenHospital has beenfoundedbyIKEA’sdonation. This building has a cancerresearchfixtureand a Radio-physicfixture. 2002 A historicalSwedensouvenir has turnedto a stylishdesign.

  13. History 2004 First IKEA store in Portugal has opened. 2005 First IKEA store in Turkey/Umraniye has opened. 2006 First IKEA store in Japan has opened. On thatyearemployee of IKEA group is over 100.000 people. 2007 IKEA has openedthemostinternationalstore in Haparanda. Becausethisstore is on theborderland of SwedenandFinland. Thisarea is on thereservoirarea of RussiaandNorway.

  14. StoreStylies • Ikeastoresaregenerallylikeblueboxeswhichhavelots of windows. • On thatstores a naturallong-way has designedforthecustomers. Purpose of thisway is encourgingcustomertoseeeverypart of store. Besidesthiswaytherewereshortcutsforthespecialpartthatcustomerswanttoseeespecially. • Innerstoredesignsaregenerallylikethis; furnituresection, kitchensectionand on thelastpartbuyingsectionandcashdesksection. • Inspiteof theoriginaldesignsshoppingpart is on thelowerfloorandexhibitingpart is on thehigherfloor, in themost of Canada, Spain,Americanstoresandall of Germanstoresexhibitingpart is on thelowerfloor. Andsome of storeshaveonefloorandbuildlike a bugalow. • Inthemost of IKEA storessellgenerallySwedishfoodsandnext of thesetherearesomerestaurantswhichselllocalfoods. Theserestaurantsaremostly on thepartshavebigwindows. ExceptSwedensome of theserestaurantssellSwedenfoodproducts. • Inthemost of Ikeastoresthereare a discountsectionbeforebeforecahdeskpart. Thereareproductshavelittle/highdamages on thediscountpart. • But youcan’treturntheseproducts. On AmericaandAustralianthesepartslaunch as a market place. • Despitein Hong Kong IKEA storeproductspricesarehighandproducts’ scales is solimited, theyopened 3 OUTLET stores. Thesestoresaretoosmall but theyhaveonewayroadas well. • ButTelfordstoredoesn’thavethistemplate. Thereare 3 floor s whichareindependentfromeachother.

  15. gfhf PRODUCTS TV Unites SofasandArmchairs Offices TablesandChairs TextileandCarpets FoodAccessories Parquets Lightenings Kitchens IKEA KID Home Decorations BoKlok PrefabricHome HomeOrganizations *** IKEAs’ socialcommitmentpolicyeffectcompanyespecially in designs.

  16. IKEA SERVICES • Transport Service • Montage Service • KitchenPlanning • ChildrenServices • KitchenMontage • Free Park Space • GiftVouchers

  17. DESIGNERS 1)WiebkeBraasch19)AnnieHuldéen 2)MonikaMulder20)SaanaDahlman 3)MiaGammelgard21)CarinaBengs 4)NoboruNakamura22)EvaLiljaLöwenhielm 5)EhlénJohansson23)NicholasCortolezzis 6)TordBjörklund24)JonKarlson 7)NielsGammelgaard25)GillisLungreen 8)KazuyoNomura26)Hakan Olsson 9)LindaSvennson27)MortenKjelstrup 10)AnnaEfverlund28)SiggaHeimis 11)Knut - MarianneHagberg29)MikaelWarnhammar 12)MariaVinka30)NicholaiWiigHansen 13)MagnusEleback31)Richard Clack 14)Asa Grey32)Allan Östgaard 15)Thomas Sandell33)Karl MALMVALL 16)Chris Martin 34)Anne Nilsson 17)HenrikPreutz35)TomasJelinek 18)AnnikaGrottell36)NikeKassrolf. *** Andtheyareworkingwithlots of designers. *** IKEA alwayswantitsowndesignersto be infront of peoples’seyes(Designers’ pictures in stores). Thankstothissituation IKEA can showtootherpeopleitsdesignersaresoimportanttothem.

  18. CATALOGUE • Ikeas’ mostpowerfulpart is itscatalogs. On thatcatalogsyou can findIKEAs’ philosophywithfunny, clever, inspirationalwordsandyou can findinformationsabouthowtomake a kitchen, howtodesign an office, products’ visualswithfullaccesories, kidsproductswithlovelychildren, designerswiththeirproducts , remember us howmuchtrendy IKEA is, besidesthistheseyou can alsofindintercommunicationinfo , detailsaboutsocialcommitments of andanswer of why IKEA.

  19. IKEA ORGANIZATION IKEA GroupManagement Board: AndersDahlvig(CEO), HansGydell(CFO), Josephine Rydberg- Dumont, MikaelOhlsson, Thomas Blomquist, PernilleSpiers- Lopez andLars Gejrot.

  20. INTERNATIONAL ENLARGEMENT STRATEGIES • Franchesing: • Intheworld Inter IkeaSystem s’,which has IKEAs’ intellectualpropertyand has • authorizationtogivefrachesing, target is redoublingIKEAs’ attainablitywithIKEAs’ stores • that has IKEA style. • Inter IKEA Systems B.V. is constantly evaluating new countries and following a long-term • strategic expansion plan, which sets our priorities of future growth navigates where to • put focus and when. • Decision to enter a new country is made after a thorough market study • and a franchisee will be carefully evaluated and approved. • When selecting franchisees, Inter IKEA Systems B.V., among other things, evaluates the • following: • thorough retail experience • extensive local market knowledge and presence • corporate culture and values • financial strength and ability to carry through the investment penetrating • a country in full and in a large-scale retail environment format

  21. ENLARGEMENT Morethan320stores in morethan38countries…

  22. ENLARGEMENT Firststores in countries….

  23. AWARDS • FORTUNE's “Top 100 companies To WorkFor” 2005-2006-2007 • Training Magazine Top 100 Company- Human Capital Development 2006 • 100 Best Companies for Working Mothers 2003-2005-2006 • CLIO AwardsAdvertiser of the Year-2004 • WorkingMothers Magazine “Family Champion” Award-2003 • Elle DecorationInternationalDesignAward / IKEA Kitchen-2003 • AmericanEnvoirement Org. Evergreen Award For Pollution Prevention- 1998 • SwedenPerfectDesignAward/ STOCKHOLM series- 1985 • DesignAward/ Moment Sofa-1984

  24. ADVERTISMENT “Evinizin her şeyi…” forTurkey *** IKEA usesespeciallyaggressiveandluridcomponents in theiradvertismentfortryingtobetrayownbrand. ***Most of advertisement in Turkeyarepreparingby TBWA.

  25. SOCIAL COMMITMENT • Theyfeaturetoenvoirmentandwork on a seriewithproductmadefromrecycled, non-usedmaterial. • There is a campaign “Plant a Tree. Clean the Air. Cool the Globe.”withthecoopartion ofIKEAandAmerican Forests. Ikeaplant 100.000 trees on the • beginning of thecampaign. • TheysupportWWF’scampaign “ ForestsFor Life”. • Alsotherearelots of forest of IKEA andthere is a departmentfortheseforests in theirconstution. • IkeaGroup has a foundationcalledStichting INGKA in Holland. Eveniftheowner of thisfoundationlookslike INGKA Holding B.V., therealowner is • IKEA group. • IKEA designobjectswithrecycledmaterials. • IKEA products must be manufactured under acceptable working conditions by suppliers who take responsibility for the environment. • All IKEA products for all markets globallyshall comply with the chemical restrictions in the EU REACH regulation. • IKEA continually workswith chemicals and triesto phase-out the use of questionable substances. Some examples; IKEA has set an early • voluntary ban on PVC (decided 1991) except in cables, an early ban of all organic brominates flame retardants in furniture (effective from 2000) and • a 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 products • are 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 is • present 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 their • sub-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 Furnishing • Products. Monitoring of compliance with The IKEA Way on Preventing Child Labor is done by IKEA trading service offices and with unannounced visits • by KPMG to suppliers and sub-contractors in South Asia. • Andalsotheyworkwith UNICEF and WWF forpromotinghumans’ life in 3. worldcountry.

  26. COMPETITORS IN WORLD/ TURKEY • WALLMART • EURO MARKET DESIGN • STANLEY FURNITURE • HOME DEPOT • GALİFORM • SEARS • HABİTAT • MODOKO • KOÇTAŞ • TEPE HOME • İSTİKBAL MOBİLYA • BAUHAUS

  27. SWOT ANALYSIS • Strengths: • Lowerprices • Advertisment(web site,catalogue,mouthtomouthadv.) • Largeproduct network andsytlies- flatpackaging • Opportunitytosee model room • One-stop shop • IKEA restaurant, parkingareaforchildrenandbabycareroomsformothers • Self-service shopping • Chancetoreturnproducts in maximum 1 month • Most of productshave 10 yearguarantee • Weakness: • Customersmustmountproducts • Lesslocations • Inventoryproblem • Opportunities: • Ennoblingnumbers of stores • Some of thefurnitures can sellbyretailers • Sellingproductswhicharealreadymounted • Threads: • There is no areasforchafferingwithcompetitorsdirectly.

  28. FURNITURE SECTOR IN TURKEY • Furnituresector 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 areofficiallyaround 258,213 in companies. • Turkey'slargestfurniturebrandsareabundant in Kayseri. Istikbal, Bellona, Yatas, Kilim andIpek productions’ arealso 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). Otherbrandsproduce in Ankara furnituresites. Bursa Inegol also is home to many companies in terms of production.

  29. FURNITURE SECTOR IN TURKEY • Ourfurnituresector is influencedbyItalianfurnituresector. As an influence of Italiansectordesignstandsout. "Italian Style" so-called value, in almost all sectors, primarily related to design.InTurkish furniture sector, the impact of this interest is obvious. For consumers, the most important value that satisfy the aesthetic sense of themis tothesefurnitures, and no matter what is the price and quality levels. • Cause of the largest increase in expectations for aesthetic reasonsare "style" of the concept put forward by perceptual changes. Consumers no longer want to have a home that reflects their own style. Themain element of havingthesekind of house is furnitures. Person'saestheticexpectationwiththe application of the person's style on furniture are naturallysatisfiedandthesethe cause-effect relationship, is the focal point of competition. • The expected benefits, ergonomic furniture is becoming one of the main element.Becausethenumber of items in housesdecreasesandthehousesaregettingsmaller. Moreover, young people, instead of goods stacked on top as before, are choosing simple decor. Thisdecreasemakescapacitytouseobjectsdecrease. Because of thatcustomdesignscomeout in personalprefences.

  30. ENTRANCE OF IKEA IN TURKEY • IKEA broughtfurnituresupermarkettofurnituresector as an innovation. On thesesupermarketflatpackagesmakeproductsmoreergonomical. Actuallythetarget has beenreached: “You do your part.We do our part. Together we save the money.” IKEA madechange in competitionarea. On pastcompanies such as quality or price competitivenesswithcompanieslikeitselfs’ losttheadvantage of pricecompetitiveadvantage. Alsothisbringssearchingnewadvantages. Warranty is still standing in the middle as a not to be givenvalue. But nowmontage can stand as a submissionvalueandcustomer can exceptthat. • After IKEA lots of brandchangedbrandcompetition. Thesechangingsweren’tradical but theybecametrue. Littlefirms had tosearchnewcompetitionadvantages. • IKEAs’ firstlessonforTurkishcustomer is montage. Turkishcustomersgenerallycomplainsaboutmontageandstockproblem.

  31. IKEA IN TURKEY • IKEA has beenacquiringfromonepoint in Turkey since 1998. • IKEA workswith 40 factoriesin Turkey. • AftergoingintoTurkey IKEA has beenstillworkingwithsamefactoriesin Turkey. • InTurkey Maya Group/Mapa Furniturehas therights of franchase of IKEA in Turkey. • IKEA has 5 stores ( Umraniye, Bayrampasa, Izmır, Bursa and Ankara) in Turkey. • IKEAs’ store in Umraniye is in thelargest 30 IKEA store in theworld. • IKEA in Turkey has thesamepropertiesliketheother IKEA stores in world. But alsosomeadaptationsexistforTurkey. • Instoresthereare6500 typesof products in over 20 categories. • IKEA had over 10 millionvisitors since today . • Afterbeing in Turkeynumber of producersincreased. • IKEA is exportingSwedenmeatballoverTurkey. • IKEA is lookingfor 3. store in Istanbulbecause of exceedingtheestimatedyield. • IKEA has alsostartedtosellfromwww.ikea.com.trforthecitiesthathaven’t IKEA store in theirstructure.

  32. MAYA GROUP/MAPA FURNITURE • Basis of MAYA Group of Companiesin early 1940s , plunged in imports and trade in synthetic yarn and textile industry. • Aftermore Maya Group had a participationwithDinarsuCarpet. • One of thefirstsyntheticyarnfactoryIstanbulNylonIndustry has beenbuildedwithIndustryInanTextileandwithotherpartners in AvcilarIstanbul. • In 1970s groupdecidedtobecomestronger in realstate. • In 1987 groupwasenteredtosoapandcosmeticarea. • Company has beenstill in realestatebusinessarea. • Meeting of Ikeaand Maya Groupis; in crysis time groupdecidedtoenter in differentfieldsandtheywantedtowork in retailbusinessareafor 5-10 yearsplan . Theresults of thesedecisionscompanyboughtIKEAs’ frachiserightsusingknowingTurkey market advantages.

  33. THANK YOU…

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