Understanding Consumer Choices and Behaviors Essay -- furniture, qualit

The IKEA brand is associated with simple, low approach, stylish products. The concept was furnishing products and house-wares that had wide draw to a variety of markets and segments, both consumer and the business market exclusively. Both markets were looking at for well styled, high quality furniture that reasonably priced and readily available. Initially, IKEA did non customize its products to local markets, but kept to govern products and operations worldwide. This standardized strategy of internationalizing minimized cost. IKEA developed a model for the business, where it was able to assert costs low. From the customer point of view, they were able to buy low cost furniture, however they had to assemble and collect the flat-packed furniture from stores. IKEA to was able to reduce costs, as this costly part of the value chain was carried out by the customer. IKEA had delicate international procurement. Thirty buying offices were created to source from over 1,400 suppliers w orldwide, IKEA negotiated prices that were between 20-40% cut back than competitors for comparable goods. IKEA was successful at i) identifying worldwide suppliers and ii) managing quality and iii) prices with suppliers, to keep margins low. It had keen supply chain management and utilized the latest IT infrastructure. Due to the skip number of orders and components required by the company - IKEA developed an efficient establishment for ordering from suppliers, integrating them into products and delivering them to stores. This was achieved by a world network of 14 warehouses. Inventory was stored - and the IT system managed supply and demand to stores, keeping inventory costs low. Anticipating the needs and wants of customers. IKEA was successful in product desi... ...) brotherly Creativity and the Social Function of DIY Experiences. Advances In Consumer Research, 37775-776.Inks, S. A., Schetzsle, S., & Avila, R. A. (2012). Exploring the Use of Business Social Networking Tools in gross revenue Current Perceptions and Future Expectations. Marketing Management Journal, 22(1), 1-16.Edmonton Journal. (2008). IKEAs Secret The Customer. Retrieved from http//www.canada.com/saskatoonstarphoenix/news/story.html?id=d2f94f61-48c1-4d48-b276-6481c4804895&k=5397Dholakia, R. (2012). Technology and Consumption Understanding Consumer Choices and Behaviors. New York Springer.United States DIY Products. (2002). DIY Products Industry visibleness United States, N.PAG.O.C. Ferrell & Michael Hartline (2011). Marketing Strategy, 5th edition, South-Western/Cengage Learning.Copeland, C. & Hartline, M. (2010). IKEA Looks to Further Penetrate the U.S. Market