I need help with my week 8 assignment for my Strategy Class

FROM: Vanessa Woodard

DATE: May 28, 2022

RE: How to Win: Strategic Options Assessment and Recommendation

1 Introduction

This summary includes details that explain the three strategies for victory in a game, which will assist in enhancing sales volume while keeping the competitors wondering. Ikea must continue to be among the most successful merchants in the commercial interiors business, and we are working hard to achieve this goal. Our responsibility is to ensure that they are always at the forefront of their field within the industry. "Given the correct approach means you have to presume your rivals are damn decent, or as good as you are, meaning that they must be going almost as fast as or quicker than you are," said Jack Welch. "This means you have to believe they have been advancing just as quickly as or faster than you are." Additionally, "the end is close if the pace of change the inside is greater than rate of development on the exterior." The following are, in order of priority, the three Tournament Moves that Iareregarded:

2 Suggested Ranked Moves: The three Game-Winning Moves I considered are in rank order:

Acquisition: We believe the best strategy is to acquire an agency that provides freelance employees to assist customers in putting together their purchases. Customer dissatisfaction with the time and effort required to construct their equipment has long been an issue. Because of this merger agreement, the two firms could come together to make furnishings installation simpler for the people they serve. Each consumer will be able to take advantage of this service for a set charge, no matter how large or little the piece of furniture is. We have collaborated with Upwork.com in the UK, and we would want to introduce anything comparable to the United States.

· Less Innovation: Ikea places a high value on development, and we want to give ourselves enough time to commit resources to it. We want to emphasize key areas we have not discussed or given sufficient focus on. To undermine the industry, we must focus on what we can do uniquely (Lecture 6 Notes, p. 7). There are several benefits to setting up an electronic team that collaborates for each division in a thoughtful approach. As a result, they will get the chance to learn new procedures.

· As of this writing, Ikea has 389 shops in 40 countries, with plans to expand even more.

· We would want to grow our business in India. Several other corporations are seeing India as a new market for growth. A trade surplus in India is predicted to produce one of several biggest global marketplaces for consumer products by 2020.

3 Recommended Move

Ikea is well-known for selling reasonably priced furniture that customers can build in the comfort of their own homes. The most important strategy for getting a win is called merger and acquisitions. Not only would forming a strategic alliance with a business that can provide clients with independent employees to assist them in assembling furniture is forward-thinking, but it will also instill confidence in the client. Confidence will enable us to provide clients with alternatives within their price range, ultimately increasing service quality. Hence This will assist Ikea with its strategy for development, but it will also lead to a rise in income. This collaboration has the potential to provide a satisfactory increase in profits (Sherman, 2017).

4

Alignment

This move works well in conjunction with our primary advantages, including competitive pricing and high-quality furniture, which has led to more effective utilization of raw materials and the establishment and maintenance of lengthy partnerships with different providers. In order to put this plan into action, there will be some financial considerations that need to be made.

 Assets

Employ independent contractors for work on a project-by-project basis.

Those assets in software help improve the experience of both customers and workers.

Innovation based on the information

5 Required Investments

Ikea and the freelancing firm could not agree on a contract. Freelancers must be made aware of the value of their services and their necessity for them by customers.

Loss of company culture as a result of an acquisition. The M&A process ought to be smooth and simple to transfer so that it does not generate concern for the personnel involved.

Expenditures on technology, including software updates, might result in data loss.

6 Risks and Risk Mitigation

Make a plan with a clear destination.

A negotiating strategy should be drawn out.

A review of KPIs may aid the purchasing procedure.

Create educational materials that help employers maintain their best workers.

Make use of a system for collecting and analyzing

7 Competitive Response

Walmart and Amazon are presently our two primary competitors. Their response could be to form partnerships with other independent contractors that provide comparable services. Providing this kind of solution every time would be advantageous, and we aim to do it without charging an additional price. Both firms can also give this kind of service, but Ikea is the largest furniture provider, so providing this kind of provider would be good. After the consumer has purchased their furniture, they will be eligible for this service at a price that is lowered once and for all.

8 Conclusion

The last piece of advice is to provide free construction service to customers who make an online purchase by acquiring and combining forces with an independent contractor firm. Ikea will benefit from this since our competitors will find it difficult to compare. Assemblies are already available from our rivals, but they demand exorbitant prices. Investing in freelance employees, technology, and information technology will be necessary to make this transformation a success. There are six pitfalls to avoid in order to have successful growth. If they believe the rivals are also exploring strong partnerships, mergers, and purchases, they must presume they are. If they make a move before the company does, it might devastate the firm. Keeping up with our rivals is a top priority (Hilum, 2017).

9 References

Pan sear, Hilum (2017) Ikea’s expansion into India: Crisis and Complication on the Road to Conquest Sherman, L. 2017. If you’re in a Dog Fight, Become a Cat – Strategies for Long Term Growth. Network: Columbia University Press, 2017