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Standardized marketing strategies in retailing? IKEA’s marketing strategies in Sweden, the UK and China

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  • Burt, Steve
  • Johansson, Ulf
  • Thelander, Ã…sa

Abstract

IKEA is often cited as an example of a ‘global’ retailer which pursues a similar ‘standardized’ approach in every market. This paper systematically assesses the degree of standardisation (and adaptation) of four commonly identified retail marketing mix activities – merchandise, location and store format, the selling and service environment, and market communication – within three countries. These countries – Sweden, the UK and China – represent different cultural settings and are markets in which IKEA has been operating for different lengths of time. The data upon which the comparison is based was generated from personal interviews, in-country consumer research, company documentation and third party commentaries. The conclusions drawn suggest that whilst IKEA operates a standardized concept, degrees of adaptation can be observed in customer facing elements, and in the supporting ‘back office’ processes which support these elements. These adaptations arise from differences in consumer cultures and the length of time, and subsequent exposure to and experience of, the market. This suggests that standardisation in international retailing should be considered from the perspective of replicating the concept, rather than replicating the activities.

Suggested Citation

  • Burt, Steve & Johansson, Ulf & Thelander, Ã…sa, 2011. "Standardized marketing strategies in retailing? IKEA’s marketing strategies in Sweden, the UK and China," Journal of Retailing and Consumer Services, Elsevier, vol. 18(3), pages 183-193.
  • Handle: RePEc:eee:joreco:v:18:y:2011:i:3:p:183-193
    DOI: 10.1016/j.jretconser.2010.09.007
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    References listed on IDEAS

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    1. Jody Evans & Felix T Mavondo, 2002. "Psychic Distance and Organizational Performance: An Empirical Examination of International Retailing Operations," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 33(3), pages 515-532, September.
    2. Theodosiou, Marios & Leonidou, Leonidas C., 2003. "Standardization versus adaptation of international marketing strategy: an integrative assessment of the empirical research," International Business Review, Elsevier, vol. 12(2), pages 141-171, April.
    3. Lewis K S Lim & Frank Acito & Alexander Rusetski, 2006. "Development of archetypes of international marketing strategy," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 37(4), pages 499-524, July.
    4. McGoldrick, Peter J., 1998. "Spatial and Temporal Shifts in the Development of International Retail Images," Journal of Business Research, Elsevier, vol. 42(2), pages 189-196, June.
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    Cited by:

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    2. Adhikari, Arnab & Sharma, Megha & Basu, Sumanta & Jha, Ashish Kumar, 2022. "Uniform or spatially differentiated? Pricing Strategies for Information Goods under simultaneous and sequential decision-making in multi-market context," Journal of Retailing and Consumer Services, Elsevier, vol. 64(C).
    3. Yang, Song & Ding, Shiqing & D’Alessandro, Steven, 2018. "Are all Chinese shoppers the same? Evidence of differences in values, decision making and shopping motivations between the Han majority and other minorities in China," Journal of Retailing and Consumer Services, Elsevier, vol. 44(C), pages 24-34.
    4. Aldis Bulis & Sajal Kabiraj & Md Nur Alam Siddik, 2021. "Competitiveness Impedimental Factors of Latvian Manufacturing Companies in China," Global Business Review, International Management Institute, vol. 22(2), pages 290-310, April.
    5. Mohr, Alex & Batsakis, Georgios, 2018. "Firm resources, cultural distance and simultaneous international expansion in the retail sector," International Business Review, Elsevier, vol. 27(1), pages 113-124.
    6. Rituparna Basu, 2015. "Are They Really Different? A Study on Apparel Shoppers’ Retail Format Perception in USA and India," Global Business Review, International Management Institute, vol. 16(1), pages 123-136, February.

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