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Intercultural management : Ikea case study

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  1. IKEA presentation
    1. Company overview
    2. The Swedish cultural aspects
  2. Cultural analysis
    1. Hofstede's cultural dimensions adapted to the Ikea culture
    2. Schein theory
    3. Hall theory
  3. IKEA in China
    1. Hofstede's analysis of the Chinese culture compare to the Ikea culture
    2. How Ikea succeed in the Chinese adaptation to its own culture

The main objective of this paper is to analyze the culture of a company and highlight how this culture could have a real impact on the smooth running of its international activities. In order to conduct such an analysis I have chosen an important company which caters into numerous international activities. Ikea was easy to chose for me since as it provides all the elements that I am keen to include in the analysis (international activities, strong culture company, etc.). More over Ikea is influenced by the Scandinavian cultural aspects which I found more "interesting" than French or American company. Ikea is a well known brand across the world, on one side its blue and yellow logo reminds people of the Swedish flag and on the other side it highlights its innovative concept and its peculiarities. Ikea is specialized in the home furnishing products and has operations in 36 countries. The company's turnover is around 21 billion euros with a constant increase every year ( 7% as on August 2008) and it is the world leader in flat packed furniture.

[...] They need to protect their reputation; they respect traditions and for instance they are more attached to greetings, gifts, etc Geert Hofstede (1980). Culture's consequences: International differences in work related values. p how Ikea succeed in the Chinese adaptation to its own culture Now that we have analyzed the Chinese management way and that we have compared it to the Swedish style, we can apply this general analysis to the case of Ikea. Actually, we have noticed that the Chinese model seems to be quite different from the Swedish one. [...]

[...] First of all, the artifacts of Ikea are mastered by the company. Indeed the visible behavior and manifest culture are really visible for anyone. Indeed at Ikea, it could be notify as the dress code (the unique polo for everyone), or by the organizational structure (low hierarchy), for instance. Regarding the espoused values, we can say that the company has reached this level. Indeed each employee has integrated the ?philosophy? and the corporate values of the 13 ?rm. Generally, this values initially come from the founder (here is the case with Kamprad) and then assimilated by everyone. [...]

[...] Ingvar Kamprad, Ikea founder IKEA'S CULTURAL ANALYSIS In this part we will study and analyze the ?rm culture of Ikea. The interest is to understand, thanks to this analysis of its cultural aspects, how Ikea has succeed in its international business. First of all, we will make this analysis with the Hofstede?s theory regarding cultural dimensions, then the three Levels of culture from Schein and to ?nish we will use the Hall theory in order to understand this culture. Hofstede?s cultural dimensions adapted to the Ikea culture First of all I would like to explain that is an ?extrapolation? that I will do, e.g. [...]

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