Answer the following questions in your paper (and make it clear which part of your paper is an answer to every question). The IKEA case discusses the company’s situation in 2010, but if you want to use the internet to expand your information and include IKEA’s situation in 2020, that is fine. However, do add the internet URL’s you are using for that to the appendix of your written assignment and refer to these sources in your written assignment text.
1. Describe chronologically how IKEA’s strategy has evolved since the start of the company until now. According to you, assess critically what IKEA is doing well and what should be improved? Critically argue which parts of their strategy made IKEA so successful and which parts are not successful (yet)? (maximum 25 marks)
2. Present a well-argued description of the strategy IKEA should pursue during the coming years to increase its strategic success. Assess IKEA’s organisation, market, current and potential future strategies through a structured approach, that entails all the relevant models and concepts: the objective/ target of IKEA, the company’s vision and mission, the internal organization’s strengths and weaknesses according to the value chain and the Osterwalder model, the external market’s opportunities and threats according to the PEST and 5-forces models, the company’s possible core problem, the confrontation matrix, an assessment of the company’s current and 3 potential future strategies as well as your selection of the possibly best strategy as well as a plan B, the contingency plan. (maximum 50 marks)
3. Following the selection of IKEA’s best strategic option, discuss the implementation issues regarding IKEA’s 4 key disciplines finance, marketing/sales, hrm and production as well as the links between these 4 key disciplines as well as the links between these disciplines and the overall strategy of IKEA. (maximum 25 marks)
IKEA case Strategic Management