IKEA's adaptations to the Chinese market

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Have written a short report from my visit at the
IKEA store in Shanghai. This picture is taken outside the IKEA store in Shanghai.
 
The Chinese translation of IKEA pronounces "Yijia", which literally means "suits home." IKEA has a 4 prong strategy for China: setting up commercial offices, opening stores, establishing procurement centres and investing in setting up factories. It is reported that IKEA has invested US$60 million to build Asia's biggest furniture market in Shanghai (area 36,000 square meters). The company president is on record as saying the company also plans to set up 2 new stores every year in China. The coastal cities and developed inland cities will be its main focus. Currently the company's commercial office in Chengdu City, Sichuan Province plans to procure furniture valued at 4 million every year.


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Cheap hot dogs and ice cream are tempting  the customers even in China after a long shopping day.  

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The Swedish food market cures homesick Swedes. Special Swedish products like herring, salt liquorice, and ginger breads are sold.   

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The products IKEA are selling are the same worldwide. In China some service adaptions have been done. One difference is that in the Chinese stores you can find a detailed map of the store showing where you are for the moment and the best way to walk around in the store. Another additional service is that you can borrow a bike to transport the products and if you pay extra money you will get help from one IKEA staff member putting the furniture together at your place. 

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The original brand

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An IKEA copy. When IKEA entered the Chinese market they experienced problems with the pricing. The prices were to high and IKEA was in the beginning considered to be an exclusive brand. Some local companies started to produce  cheaper copies of the IKEA furniture. The models were copied directly from the IKEA catalog.
  
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An IKEA furnished room, could be in New York, Amsterdam, Tokyo or anywhere in the world, the concept is the same. The Chinese IKEA customers are known for really trying the products. In the Shanghai store you can find people sleeping in the beds and bringing their laptops to work in the prototype office.
   
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IKEA's most famous product worldwide; The bookshelf Billy

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Kitchen accessories in a special " Year of the dog collection" (in 2006)

Photos:chinamarket.se
Sources: IKEA.com, www.echeat.com

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