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The opening case explores IKEA's expansion into India. The Swedish retailer, renowned for its ability to maintain its entire concept in multiple foreign markets, decided that India required a different strategy. Despite its considerable experience operating in foreign markets, IKEA, aware that India is one of the largest markets in the world, wanted to avoid missteps and so carefully planned its expansion over five years, visiting some 200 homes in India and learning about the Indian lifestyle. Today, the company has about 400 employees in India, a number it expects to grow to 15,000 by 2025 as the company continues to expand its presence.
Questions:
Question 1. Why was it so important to IKEA that it understand the market in India? What made the market different from other markets that IKEA operates in?
Question 2. Can IKEA maintain its Swedish identity in India? Discuss.
Question 3. Given that IKEA first opened in India in 2018, research and briefly discuss the status of the stores now (in 2020).
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