The US furniture retailing market is fragmented. Being one of the top 10 furniture retailers, IKEA owns less than 15% of the market share. In a highly fragmented market, gaining market shares is harder than in a concentrated market. Besides, IKEA is a generalist furniture retailer, i.e. it manufactures case goods, upholstered furniture, bedding, ready-to-assemble furniture and casual furniture.
[...] Taking the hypothesis of the US furniture retailing annual market with a growth of (which is a reasonable hypothesis due to anterior figures and the path followed by Europe), IKEA's market shares in the US would increase from 2 to What makes me state that? It is actually a sustainable objective if the sales increase from $ 1.34 billion to $ 4.8 billion representing an average annual growth rate of which is within the range of the Group's (in one decade) average annual growth rate period 1993-2003 In other words, its organic growth strategy objectives for the US market are similar to the trend followed by the Group. [...]
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