IKEA Strategy Planning

Ingvar and ever since it has grown to be the best leading store in the world. It was first opened in Sweden and it ever since it has opened its stores in almost 37 countries that have over 301 stores in the entire world. However, with the numerous successes, the company has faced challenges that need to be solved. This has resulted in the sacking of its senior executives from Russia for turning a blind eye to the bribes that were paid to subcontractors. It has also been involved in an acrimonious dispute with labor unions in Paris over the pay offers. Some of the responsibilities that were set by the company were meant for the good of each person. How it was determined why this structure should be implemented by IKEA.

There has been a new proposed organization structure for IKEA Company. In the global strategies and the multinational corporation, IKEA Company has an international strategy. There can be a use of Porter's Diamond model to explore whether IKEA has provided it with some of the advantages to exploit a global scale. The management expert has used the elements or organization design to the right plan for a specific company. An infective structure can cause problems to an organization including loss of profits. The IKEA Company need to achieve control when the individuals and different groups specialize in different works or tasks. : through bureaucracy and hierarchy. The company must establish a particular pecking power of hierarchy. For Ikea designers to have advanced and improved on their designs, and to be able to meet the rising demands of the consumers, they had to put the above elements on board, it is good to note that as the world evolves consumers also tend to change their preference though function used to be important it has faded in the recent past, the consumers now want to be part of the art they have more meaning to the chairs than before, they want to feel it and be part of it.

The hierarchy is meant to give them a guiding principle and how they are supposed to work, and who I supposed to report to who, the managers are stipulated and put in various countries to assist break down the chain however there is still a general manager who is in charge of the whole Ikea company, and to help close the cultural gap there need to recruit managers from the various countries who will understand the kind of pressure that is within every country this is because for instance in the US Ikea faced a challenge because the kind of chairs was a bit different and they needed someone to come up with American designs to help them come up with something that can be embraced into the American market.