1. IKEA was founded in Sweden in 1943 and takes its name from the founder's name and hometown. It aims to offer well-designed home furnishings at low prices.
2. The IKEA catalog began as a mail order catalog in 1951 and is now published in 55 editions and 27 languages, consuming 70% of their marketing budget. It reaches over 250 million people annually.
3. While the core product range is the same worldwide, catalog illustrations of products can differ between countries to account for cultural differences.
1. IKEA was founded in Sweden in 1943 and takes its name from the founder's name and hometown. It aims to offer well-designed home furnishings at low prices.
2. The IKEA catalog began as a mail order catalog in 1951 and is now published in 55 editions and 27 languages, consuming 70% of their marketing budget. It reaches over 250 million people annually.
3. While the core product range is the same worldwide, catalog illustrations of products can differ between countries to account for cultural differences.
1. IKEA was founded in Sweden in 1943 and takes its name from the founder's name and hometown. It aims to offer well-designed home furnishings at low prices.
2. The IKEA catalog began as a mail order catalog in 1951 and is now published in 55 editions and 27 languages, consuming 70% of their marketing budget. It reaches over 250 million people annually.
3. While the core product range is the same worldwide, catalog illustrations of products can differ between countries to account for cultural differences.
1. IKEA was founded in Sweden in 1943 and takes its name from the founder's name and hometown. It aims to offer well-designed home furnishings at low prices.
2. The IKEA catalog began as a mail order catalog in 1951 and is now published in 55 editions and 27 languages, consuming 70% of their marketing budget. It reaches over 250 million people annually.
3. While the core product range is the same worldwide, catalog illustrations of products can differ between countries to account for cultural differences.
The IKEA catalogue: are there any cultural differences?
Deadline: 27-02-2020 IKEA was founded in Älmhult, Sweden, in 1943 by Ingvar Kamprad. The company name is a composite of the first letters in his name, in addition to the first letters of the names of the property and the village in which he grew up: Ingvar Kamprad Elmtaryd Agunnaryd. The IKEA business philosophy is: ‘we shall 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.’ In the late 1940s, the first IKEA advertisements appeared in local newspapers. Demand for IKEA products soared, and Ingvar Kamprad quickly outgrew his ability to make individual sales calls. As a result, he began operating a mail order catalogue and distributed his products via the county milk van. This resourceful solution to a difficult problem led to the annual IKEA catalogue. First published in Swedish in 1951, the IKEA catalogue was in 2010 published in 55 editions, in 27 languages for 36 countries, and is considered to be the main marketing tool of the retail giant, consuming 70 per cent of the company’s annual marketing budget. In terms of publishing quantity, the catalogue has surpassed the Bible as the world’s most published work – at an estimated 160 million copies (in 2010) worldwide – triple that of its less materialistic counterpart. However, since the catalogue is free of charge, the Bible continues to be the most purchased non- fiction work. In Europe alone, the catalogue reaches more than 250 million people annually. Containing over 300 pages and about 12,000 products, it is distributed free of charge both in stores and by mail. Furthermore, there were also over 500 million visitors to the IKEA websites during 2010. The annual catalogue is distributed in August/September of each year and is valid for a full year. Prices in the catalogue are guaranteed not to increase while the catalogue is valid. Most of the catalogue is produced by IKEA Catalogue Services AB in IKEA’s home town of Älmhult, Sweden. IKEA accounts for just 5 to 10 per cent of the furniture market in each country in which it operates. More important is that the awareness of the IKEA brand is much bigger than the size of the company. That is because IKEA is far more than a furniture merchant. It sells a Scandinavian lifestyle that customers around the world embrace.
Cultural difference There are about 12,000 products in the total IKEA product range. Each store carries a selection of these 12,000 products depending on store size. The core range is the same worldwide, but as shown there are differences in how the IKEA catalogue displays its products in the different national editions. Below are two different illustrations featuring the same product. In this case the two illustrations for the same product are taken from the Danish and the Chinese catalogues. QUESTIONS 1. Discuss the advantages and disadvantages of having the same product range shown in all IKEA catalogues around the world. 2. The catalogue is the most important element in IKEA’s global marketing planning. Discuss whether there could be some cultural differences in the effectiveness of the catalogue as a marketing tool. 3. Explain some cultural differences which are illustrated by the two different illustrations of the same product (from the Danish and Chinese IKEA catalogues).
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Alcoa Inc. Boeing Caterpillar Citigroup Inc. Cvs Delta Air Lines Ebay Inc. Fedex Ford Motor Company Gap Inc. H&R Block Hilton Hospitality, Inc. Procter & Gamble Suntrust Wal-Mart Stores, Inc
You Must Write Your Answers On An Assignment Sheet and Scan It Before As One Document Before Uploading On The LMS. Typed Assignments Will Not Be Accepted
You Must Write Your Answers On An Assignment Sheet and Scan It Before As One Document Before Uploading On The LMS. Typed Assignments Will Not Be Accepted
Alcoa Inc. Boeing Caterpillar Citigroup Inc. Cvs Delta Air Lines Ebay Inc. Fedex Ford Motor Company Gap Inc. H&R Block Hilton Hospitality, Inc. Procter & Gamble Suntrust Wal-Mart Stores, Inc
You Must Write Your Answers On An Assignment Sheet and Scan It Before As One Document Before Uploading On The LMS. Typed Assignments Will Not Be Accepted
