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When customers shop for products, they often have a number of different retailers with various business models to choose from. At the two extremes of the spectrum are specialty stores that only sell products within a given category and general retailers, or department stores, which sell a much wider range of goods. Specialty stores have certain advantages for owners and customers, but they also pose possible drawbacks. Ads by Google Wholesale Product Connect with over 120,000 suppliers from Hong Kong, China and Taiwan Specialization and Expertise One of the key benefits of a specialty store is its focus on a single class of products. This gives owners and employees a chance to develop expertise and a reputation for knowledge …show more content…

This is vital in times when the retail sector is depressed, as it increases IKEA’s potential market. 6. ENVIRONMENTAL STANCE (SWOT ANALYSIS)  IKEA 's goals of sustainability and environmental design are central to its business strategy includes a combination of the followings;- 7. CONT.  IKEA uses a SWOT analysis to help it reach its objectives and consider it as a strategic planning tool.  It improves on its strengths and opportunities and mitigating on weaknesses and threats 8. STRENGTHS/WEAKNESSES IKEA’s strengths include:  A strong global brand which attracts key consumer groups.  A wide range of well designed, functional products at low prices  Cost Consciousness  IKEA measures its strengths using Key Performance Indicators (KPI). WEAKNESSES  Controlling standard and quality  Need for low cost product  Need to keep communication with customers and stakeholders about environmental activities 9. OPPORTUNITIES  A growing demand for greener products  A growing demand for low priced products. Trends in the current financial climate may  Result in consumers trading down from more expensive stores  Demand for reduced water usage and lower carbon footprints. THREAT IKEA deal with threats by generating new ideas  Social treads (building online help to guide customer)  Market forces (lower prices and economic scale)  Economic factors (price strategy) 10.

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