IKEA is a privately held, international home products company that designs and sells ready-to-assemble furniture such as beds, chairs, desks, appliances and home accessories. The company is the world's largest furniture retailer. Founded in Sweden in 1943 by 17-year-old Ingvar Kamprad, who later became one of the richest people in the world, the company's name is an acronym comprising the initials of the founder's name (Ingvar Kamprad), the farm where he grew up (Elmtaryd), and his hometown (Agunnaryd, in Smaland, South Sweden). The company is known for its modern architectural designs on various types of appliance and furniture, often associated with a simplified eco-friendly interior design.
IKEA is a well known Swedish company where almost every European person under 30 has purchased something from to decorate their flats. In only a few decades the company "went from the woods of southern Sweden to 31 countries around the world" and has become a large Multinational cooperation (MNC) with an interorganisational network. Higher tariffs, transport costs and the loss of economies of scale in domestic production further encourage production abroad. 3 The Swedish market is comparably small and IKEA had to expand in order to keep their steady growth rates. The success came as a surprise to many since the furniture business is originally a local business. 4 IKEA is the only company in their field, that has been able to expand so widely. The company seems to offer something that is unique to people and that appeals to them as something preferable. The background of the company seems to play a role in managing this uniqueness where Swedish influence on leadership, corporate culture and product offer leads towards the successful "IKEA spirit".
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