AbstractsBusiness Management & Administration

Ikea success in chinese furniture;

by Li Yihong




Institution: Jyväskylän ammattikorkeakoulu; JAMK University of Applied Sciences
Department:
Year: 2007
Record ID: 1144311
Full text PDF: http://publications.theseus.fi/handle/10024/17554


Abstract

; This thesis will focus on the market exploiting and development of IKEA in China, analysis the characteristics of Chinese market and the supply-demand of the IKEA products in China. It also analyze the main Chinese consumers’ behaviour and evaluating the furniture retail market in China. IKEA is a successful case to open the china market recent years. The main goal is to acquire this information in order to provide the overseas retailers with a good starting point for creating an effective business plan and operating successfully in the Chinese furniture market. All the research questions are solved by both qualitative and quantitative methods and the research questions are as following: What the unique characteristics of Chinese market and Chinese consumers’ behaviour? What aspects have to be taken into consideration when entering the Chinese market? What is the most important point of Chinese furniture market for the overseas retailer? Which entry modes are most ideal for foreign furniture enterprises keen on penetrating the Chinese market? How to identify the most effective market distribution channels for foreign investors? I will analyze the corporation IKEA and the Chinese market firstly via the second resources and the internet information. In addition, I will also do some market research to get some information about the consumers’ ideas and suggestions. China is a huge market for every business. It has its own unique culture differs from west countries. The culture shock and the different market characteristics are the key difficulties for foreign corporations. According to the results of the study, the reasons for Ikea’s success in the Chinese market are related to the wide range of well-designed, functional home furnishing products the products’ good quality, simple and functional design. Furthermore, the low price is also the focus successful factor. My thesis will summaries IKEA successful marketing operating and stratagems entering China market. The thesis also defines some important characteristics of China's furniture industry, enabling investors to better appreciate the various investment regions and adopt the most ideal marketing techniques