Week 2 Assignment - IKEA The purpose of this assignment: understand and explain PESTEL, SWOT, and segmentation/targeting/positioning. 1. Identify major PESTEL elements In this case. What are the...

Week 2 Assignment – IKEA        4
WEEK 2 ASSIGNMENT - IKEA
Table of Contents
1. Identify Major PESTEL Elements in This Case. What Are the Opportunities and Threats for IKEA In America in This Case? How Might PESTEL Be Different Today?    3
2. Discuss the Furniture Industry and Market Expectations at The Time of This Case. What Are Other Retailers Doing - Full Service (Higher Quality/Service) And Lower-Priced Competitors? In Other Words, What Might a Young Couple Buying a Home Expect from A Full-Service Retailer Like Jordan's or Cardi's Furniture? What Might Price-Sensitive Buyers Expect from Places Like Target or Walmart (Hint: Boxed).    5
3. How Does This Industry and Market Structure (Full-Service and Low-End) Provide A Market Segment Opportunity For IKEA? Describe The Motives (Wants, Desires) Of IKEA's Market. What Are Their Needs? Lifestyles? Are They Buying for An Entire House? Do They Expect Quality or Designs/Fashionable Furniture? Explain.    6
4. In Terms of Growth Strategy, How Might IKEA Grow Using a Market Penetration Strategy (Same Products in Current US Market)? Product Development Strategy? Market Development Strategy?    7
References    9
1. Identify Major PESTEL Elements in This Case. What Are the Opportunities and Threats for IKEA In America in This Case? How Might PESTEL Be Different Today?
The political problem will be the most critical PESTLE aspect in the IKEA circumstance. Different regulations and other political developments in different countries may influence sales in that region. IKEA may take a loss in one nation vs another as a consequence of this, based on who is in charge in that region. An environmental problem in the IKEA scenario is that, even though waste was considered a dreadful sin and employees were constantly reminded to save electricity by switching off electrical devices when not in use, the firm's commitment to environmental stewardship was not overlooked. One sociological component that plays a part in this issue is the fact that IKEA must be familiar with local traditions before welcoming consumers. It is not enough to fit the item to the intended audience to avoid breaking society's norms. A technical element that influences this case is the use of tech to promote the company. When it came to viewing what was new, it appeared that the only way to do so was to go to the store in real. Even though they partnered with a variety of designers to create furniture, purchasers could not view it until they came into the store. As a byproduct, because the web was not as prevalent as it is now, displaying their various furniture pieces was more challenging. The fact that the firm had to follow a multiplicity of legislation and rules in each place where it operated as one of the legal issues hurting the IKEA image in this case (Moon, 2004). Since they are physical businesses, staying up to speed on labor laws is essential. Another PESTLE component to address in this circumstance is the economic situation. Ikea was once thought of as a low-cost showroom that put money above all else.
    The possibilities and hazards for IKEA in the US, in this case, are that the brand's products are of low grade yet are offered at a cheap cost. Clients who...