Identify IKEA competitive priority
IKEA has chosen to compete in different paths, however, the most notable path as compared to the competitors is how they balance the quality of their products and the prices charged. IKEA ensures that it produces very quality products at a cheaper price. A customer will not feel cheap after purchasing from IKEA since the products are of high quality. The quality of the products makes IKEA a choice of many customers I included. The main aim of IKEA is to ensure that as many as possible people are capable of affording their products.
Apart from the price design strategy, IKEA has a variety of product designs and ranges. IKEA ensures that its products are designed in line with the culture of people around. For instance, IKEA stores in China have different product designs as those in the United States or the United Kingdom. This is a competitive priority chosen by IKEA to ensure that it camouflage itself within its environment and survive different cultures. Above all, this path will assist IKEA to win both the local and international markets. Anyone who walks into an IKEA store near them will be able to find a design that emulates their culture.
The other competitive path or priority was chosen is the conveniences of shopping. IKEA offers varied options to make a shopping. Apart from mortar and brick stores located in most of the cities, IKEA also provides an online shopping. Customers can be able to view IKEA products online and place an order. The stores are spacious with support staffs that are friendly. Most people will walk into IKEA stores and they will never fail to get what they want. In case the product is not in the stores, the support staff will always provide another option such as making a referral.
How well is IKEA’s operations strategy designed to achieve their competitive priorities?
Producing home furnishing products that are well designed at a very cheaper price has been a very effective strategy at IKEA. It has managed to attract many customers driving them further from the competitors. One major factor that makes this differential strategy a real hit for IKEA is because most of the competitors in the market compare the cost of production with the cost of the product. Therefore, the competitor works on a price strategy where they attract through their higher prices. In the world of luxury, the competitors will be able to attract those who are attracted by higher prices. However, through decades, IKEA has proved that they can manage to produce quality products but still make it affordable to everyone. Therefore, this competitive priority has worked for IKEA and will continue drawing boundaries between it and the competitors as far as the quality of the products remains high.
The wide range of product designs offered by IKEA has also worked magic for the company. Most of the competitors produce their products in the same line of design without considering culture and flavor. The flexibility of IKEA gives it a wider range of option to work and thrive in any part of the world. This strategy has been effective considering that most areas where IKEA stores have been launched have relished shopping in these stores. Most people get attracted by the design variety.
Finally, the ability to offer a wider range of shopping options makes IKEA a choice of many customers. With e-commerce and beautiful stores with able support staff, this strategy has managed to reach its success rate. For instance, many clients spend a lot of time in IKEA stores as compared to those of the competitors. The more time spent in the store, the more goods are bought. Also, this can be a sign that the support staffs are friendly and that customers are willing to stay for as long as they want.
