Market evaluation is the determination of the strategy that can be seen in the market place implemented by different organization (Wilson and Gilligan 2012). Normally, strategies are the most uncertain procedure and most advertently prone to failure. Strategy is more like saying we should double the company sales to enlarge the business but the statement does not illuminates as to how we can double the sales. In the global world hundred of strategies are made every day so that they can curve out different tunnels to reach their successive goals. Evaluation of those strategies assists the business aspirants to develop knowledge as to how strategies can be made and how certain tactics can make those strategies relevant for application.
IKEA was established by Ingvar Kamprad. They started selling furniture after five years and in January 2008 it was marked as the biggest furniture retailer. Most recently they have initiated the eco friendly furniture business which has gained a lot of fame in marketplace. Their innovative ways to evolve in global market place has made them famous.
IKEA is an organization which promotes that throwing away wrecked furniture is not the option one should choose when recycling and reusing can occur (Sjögren 2015). What happens when the so called ‘life’ of furniture ends? What ominous outcome does it face? The questions are little too ‘humane’ for the furniture but IKEA asked and come with the solution of recycling and reusing the furniture to revitalize their live and also reducing the wastage of woods. Their target is those people who want to wash their hands of their old furniture. According to a journal published by Yang et al. 2013, recycling the disposable furniture is the technique that is innovative and also marketable. The strategy is not devoid of tactics.
The company head Howard is intuitive and has provided good channels through which people can sell the recyclable furniture (Las Vegas Review-Journal, 2016). The idea is quite ‘challenging’ and definitely has prospective value. Their approach is genuine and people are quite happy as they are paying for the objects they were throwing away. IKEA has adapted to the digital culture and they promise are ‘not- so- far’ future people will be able to buy substitute parts for their broken household items. People will be able to order for their broken household parts on the company site and in return they will mail the user with the blueprints that will have instructions about the procedure of repairing that object. They will provide hinges and screws or even with the whole part so that user can repair them without taking expert assistance. Now this is called an idea that can change the face of global market. Digital and market effectiveness of a product holds great importance in global market. IKEA has come up with the strategy that is market effective and digitally significant (Maier et al.2012). The price of their furniture is lower compared to other companies and their sales rate is higher.
Marketing evaluation of IKEA has assisted in analyzing the practicability of the techniques that they have implemented. The organization firstly promotes ecological values (Passaro et al. 2015). Secondly, the organization has implemented innovative idea that is still rare in the global market. IKEA has also taken initiative of recycling clothes and textiles. The organization fully depends on the recyclable objects to make their own line of products. But global market is changing every day. Sooner or later this idea will also be implemented by other marketers also. Successful strategies are like freshly baked cakes, once they are out of the oven everyone wants to have it. Same will happen with this strategy also. Now the question is what plans IKEA has for the future. Has their strategist already started scratching their heads or they are still not done with basking in the light of success? Only the time will tell.
Submitted By : KONDAL REDDY PISARLA (215150973)
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