Marketing Analyses Ikea

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1. Introduction The aim of this report is to analyze ‘IKEA’ as a company and produce a tactical plan. To make an evaluation on the international marketing activities of the IKEA through the use of various marketing techniques including PEST and SWOT analysis and will conduct critical analysis of the existing international marketing strategies and issues facing ‘IKEA’ and how they can enter into India and Indian market, and will discuss about possible recommendations and solutions that the company can should employ and how these should be applied to enter new market and run the business with a new strategy followed by the conclusion. 1.1. Overview of the company IKEA was founded in Almhult, Sweden, in 1943…show more content…
As a business opportunity, there is scope for investment on new technologies in manufacturing. Within the manufacturing sector, the significant reform includes the removal of licensing procedures for investors, reduction of import tariffs, and liberalization of the capital rate. The result has been an increase of 44% in FDI flows from 2005 to 2006[4]. • Laws The economic policies for international business still have many restrictions. The most common business organization used by foreign investors in India is the locally incorporated company, because other forms such as partnerships are impossible under the Indian law. Companies may be public or private, but the common public is not allowed to buy shares of the company and there can only be up to fifty shareholders. The foreign investments policies of India are: 1. All foreign investment projects require approval by the Foreign Investment Promotion Board. 2. The government permits foreign firms to hold up to 51% equity in Indian venture. 3. Foreign companies are allowed to acquire land and own buildings in India as long as they get permission from the Reserve Bank of India. • Technological Factors 1. the adoption of new technologies opens new markets for products and services and also increases their quality; 2. distribution has also changed due to technological
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