Ikea on Europe, Russia, and China

Ikea on Europe, Russia, and China
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Ikea on Europe, Russia, and China
The video discusses IKEA, the biggest global household furniture company. According to the firm’s C.E.O, Peter Agnefjall, IKEA’s revenue grew in 2014, making a profit of €3.3 billion, much of it coming from Sweden. The C.E.O. asserted that consumers’ confidence continued growing as the European markets started recovering and China began growing, boosting sales.
One of the key concepts in the video is that several markets were stabilizing depending on consumer needs in different countries. For example, in Spain, where according to the video, unemployment was high, we would expect low sales as numerous families had less income to spend. Nevertheless, IKEA’s furniture demand increased with the high Spain unemployment rate because the firm’s products were cheap (Financial Times, 2015). Therefore, joblessness may affect sales in one company while not affecting another firm’s revenue.
Peter ...