Are you learning SWOT analysis?

Use this free example of a SWOT analysis on IKEA to help you write your own business essay, or assignment.

Are you learning about IKEA?

Perhaps you are learning SWOT analysis? Use this free example of IKEA’s SWOT analysis to help you write a business essay.



  • IKEA have a strong internationally known brand attracting key demographic customer groups.
  • The IKEA business model is unique in its construction and execution with little direct competition on a like for like basis.
  • Success has been driven from the price architecture offering value to the customer in innovative but functional products.
  • Despite the large shed operations IKEA operate there is a degree of specialist knowledge within key product areas where purchases are more considered and require assistance such as kitchen installations.


  • Whilst an international brand there is a level of reliance on European markets with 90% of the stores based in Europe and the balance across America, Middle East and Asia.
  • Although the model promotes low prices it has been identified there is an associated low level of customer service which couples this suggesting there is a need to work on service to ensure a complete shopping experience and ensure repeat business within the existing customer base.
  • As a reaction to marketplace movement the development of Ecommerce has been necessary to compete in a modern technological world however there is also a consideration this movement into multi channel retailing moves away from the fundamental vision of the customer being able to see and touch the product.


  • IKEA are moving from International to global status through the development of Asia and Eastern European models.
  • Traditional product for IKEA has been within value, low price high volume product however the movement into mid and higher price points will see an opportunity to move the demographic base and increase the average basket value with less reliance on a limited demographic group.

  • Although there are negative associations within the development of the IKEA Ecommerce site there is an associated opportunity to achieve growth and increase levels of customer service as the additional transactional capability will reduce pressure from stores to a certain degree.


  • Within growing competitive retail markets mainstream retailers are beginning to mirror the model of low cost value flat packed furniture which will impact on the buoyancy of IKEA.
  • With economic concerns over rising living costs and depleting disposable income there is an overall threat to the performance of the business in UK and American markets specifically.

Source: Essay UK - http://islam.business/guides/swot-analyses/ikea-swot-analysis.php

Not what you're looking for?


About this resource

This SWOT analysis was prepared by one of our researchers in order to help you with your studies.


No ratings yet!

Word count:

This page has approximately words.



If you use part of this page in your own work, you need to provide a citation, as follows:

Essay UK, IKEA SWOT Analysis and Business Essay. Available from: <http://islam.business/guides/swot-analyses/ikea-swot-analysis.php> [16-02-19].

More information:

If you are the original author of this content and no longer wish to have it published on our website then please click on the link below to request removal:

Essay and dissertation help