IKEA
The Impact of Globalisation
Definition of Globalisation
Globalisation is the process by which organisations or businesses start operations on an international scale by committing facilities and resources in foreign countries.
The International Monetary Fund, (IMF) continues to believe that this will lead to global convergence through aspects of trade and transactions, capital and investment movements, migration and the movement of people and dissemination of knowledge.
Mission Statement - “to create a better everyday life for the many”.
Focus Areas & Goals:-
Children: IKEA believe that children are the most important people in the world. By supporting their local communities, they hope to assist in children to achieve their fullest potential through development and learning. IKEA has experience in this area and can make a difference.
Environment: “Low Price, but not at any price”. IKEA aim to have a positive impact on the local environment and how their business may impact upon it. Their store effectiveness, is measured on how environmentally responsible they are. (IKEA.com (2012). About IKEA, The IKEA Way)
Introduction
Ingvar Kamprad was born in 1926 on a farm called Elmtaryd, in the small Swedish village of Agunnaryd. At the young age of just 5, he was already showing that he was to become a successful entrepreneur by selling matches to his parent’s friends and neighbours and within two years was selling further afield by travelling to other villages on his bicycle and making a profit. In 1943, at the age of 17 and using money given to him by his father for doing well in his studies, he started his own business. Initially, he traded in items such as jewellery, picture frames, wallets, pens, pencils, table runners, greeting cards, etc. He named his business IKEA, an acronym comprising of his name, the farm where he grew up and his hometown.