1, Ingvar Kamprad’s infuence over IKEA may even be stronger than that of Sam Walmart because IKEA is privately held, while Walmart is a public company(since 1970). Walmart entered a period of difficulties after Sam Walton stepped down (in 1988 at age 70). Do you anticipate IKEA having similar leadership transition challenges? Why or why not?

2,Did it surprise you to learn that both a rich developed country (the United States) and emerging economies(i.e., China and Russia) are the fastest-growing international markets for IKEA? Does this fact pose any challenges in the way IKEA ought to compete across the globe? Why or why not?

It was a surprise. This poses a challenge to IKEA in terms of marketing strategies. This is because there are several other companies, which have identified the potential of the global markets that are competing for the existing customers.Hence, IKEA has to formulate a marketing strategy that is sensitive to cultural differences, which will enable it to thrive in the stiff competition.

3, What can IKEA do to continue to drive growth globally, especially given its strategic intent to double annual store openings?

Short term

Identify key target markets and export its products to these markets.

Middle term

Developing business alliances with other global companies

Long term

Establishing branches for the sale of its products in global markets.

4, Assume you are hired to consult IKEA on the topic of corporate social responsibility (see the discussion in Chapter2). Which areas would you recommend the company be most sensitive to, and how should these be addressed?