Question

IKEA is often cited as a successful example of international expansion. Can you discuss IKEA's strengths in this context and identify three reasons for its success in the international market?

Answer 1

IKEA's strengths in international expansion include standardized products, an efficient supply chain, and local adaptation.

Step-by-step explanation:

IKEA's strengths in international expansion:

1. Standardized Products: IKEA's success is largely attributed to its ability to develop and sell standardized furniture products that can be easily replicated and manufactured in various countries, reducing production costs and increasing efficiency.
2. Efficient Supply Chain: IKEA has established an efficient supply chain network that allows for seamless coordination and distribution of its products across different countries, minimizing lead times and improving customer satisfaction.
3. Local Adaptation: Despite its standardized product range, IKEA has been successful in adapting its offerings to meet the specific preferences and tastes of different international markets, showcasing its ability to understand and cater to local customer needs.