The Business Case Study of IKEA Company


IKEA is an international company which makes furniture, home appliances, and kitchen accessories. It has its headquarter in the Netherlands.; It is one of the largest retail company in the UK (IKEA. 2016).; The company designs self-assembled furniture. Ikea furniture and home accessories are practical and well designed (Rajappa and Raj, 2016). Company sue cabinet grade furniture grade MDF in all of its MDF; products. The present report describes new innovation that can be mad in the company. The study will showcase the innovation IKEA is trying to do. The present report describes a problem that can be solved by launching the app in the market. In addition, it also illustrates the profit that is associated with the launch of the app. The report will focus on project option analysis that needs to be done by IKEA before launching the app in the market. It will also highlight the recommendations that need to be taken into account by the company.


The aim of this report is to study the launch of catalogue app by IKEA.


Market globalization is continuously increasing these days. Due to this reason every company needs to make innovation in their marketing approaches to maintain a position in the market. IKEA is making innovation in its marketing by launching its catalogue application in the market. Catalogue application is a web application which helps a user to buy products online (IKEA APPS. 2016). This application will allow the customer and buyers of the home furnishing company to keep updated about the latest releases of products, furniture, and home appliances. This app will let a customer see how its products would fit in their homes and how they will look in reality. An app can list different categories of the product, product specifications. It will also include multimedia resources like videos and pics of the furniture and home appliances.

This app will use a print catalogue which is placed on the floor to get a rough idea about products fitness in real life. This will let user a real experience like they are trying the furniture product in their room itself. From this app, the IKEA can get customers to feedback about the product.IKEA can conduct research on the customer to determine the need and expectations of them so that the app can be evolved according to their preferences. By conducting research they can identify the problem faced by the buyers when buying furniture and questions they have in mind as if the product will get fitted in their rooms or not.IKEA is planning to launch the print version of the catalogue app which will feature more than 50 pages. A customer can scan with their mobiles to get supplementary information about the product (Martinez and, 2014).


To determine possibilities like strength, weakness, opportunities and threats of IKEA Catalogue mobile app swot analysis can be used for it. In SWOT analysis is a framework that helps in analyzing the situations and finding out the best solution.

The Strength of Catalogue Mobile App

IKEA has a solid financial position and good brand image in the market. Is also design attractive furniture products. Launching app will help the company in gaining more customer attraction (Cardamone and, 2016). Customers will have faster and easy access to a furniture store. They can see the product online and experience the real-life applicability of the product in their home. This app will make customer m easy to navigate through one product to another. By launching the app the company can easily give information about the product to their customers. Ikea would be able to achieve market leadership by launching an app.

Weaknesses of Catalogue Mobile App

It is difficult to identify the need and requirement of consumers due to which challenges will be faced in developing the app. A company will face an issue like the security of the app. After downloading the app there is a long subscription process. Due to which some customer will never download the app. Text displays on the app are sometimes difficult to read for a consumer, so this is also a weakness for the app to be launched. Poor mobile optimization would also be a problem for the app (Benmoussa and, 2015).
Opportunities for Catalogue mobile app: Mobile app market is growing very fast. So this is will be a proven strength for the app to be launched by the company. There is a huge market in demand for mobile application for everything that makes the life of people better and easy going. So there is an opportunity for IKEA by launching an app.

Threats of Catalogue Mobile App

There is fierce competition in the global market and exclusive social media engagement of people. Apps have inimitable functions that lead users in a difficult situation. Apps nowadays required some basic information about the consumer, so there is a possibility that customers of IKEA might not want to share the information.

The problem of innovation can Solve

New mobile Catalogue app by IKEA will solve various problems which are faced by the customer and buyers of the company. In research conducted by the company in which 70% customer are facing the problem like they do not know really how bog their room is for the furniture they bought. While some of the customers bought the wrong sized furniture. The company has also discovered in a survey that their customers want to be able to test the products they get attracted to in the catalogue. Especially in the cases of bog furniture. So these problems can be solved using the catalogue app. This app will give the consumers to see how the products would fit into their rooms.
The app uses a print catalogue which is placed on the floor to get an approximate idea about the furniture fit. It will give users a real-life environment to create an elevated picture. The picture that appears on the screen would make customers experience like they are in the customer's room. By this innovation of mobile application, the company can enable its customers to test products and this practical purpose will really help customers to see how their home s would look like. The app is also providing the print catalogue of the furniture product so that customer can scan with their mobile phones to get extra information about the product they are buying (Hye and et .al, 2015). Using virtual floor in an application, a user can assemble the furniture in their mobile screen and see the furniture look and fitness in their room. Sometimes people face the issue of not getting all information about the furniture like quality, a material used, bar codes of furniture etc. The app can solve this problem also in which all the information about the product will be made available on the app by th

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