Tuesday, August 27, 2019

IKEA Challenges and HR Solutions Case Study Example | Topics and Well Written Essays - 1750 words

IKEA Challenges and HR Solutions - Case Study Example Regardless, the company still faces the problem of its branding professionals being obsessed with the strong brand image, which has consistently developed for almost four decades while underrating the real creators of brand competitiveness. Brand-internalisation is the primary issue facing IKEA as it expands to other international markets where different cultures exist. The company faces the problem of recreating its brand identity based on the prevailing market conditions in different economies around the world. Its managers have been basically transferring its identities from Sweden to various stores which are under its brand in other countries, with fairly positive outcomes being registered in Europe while Asia creates mixed outcomes (Vizard, 2014). The attempt by its managers to advance the company’s sense making of the value of its products, reinterpreting and reactivating the brand to reflect the cultural needs of foreign markets has been largely missing at IKEA’s foreign excursions. As such, the process of brand-activating can be construed as a serious divide in the process of creating the common sense, hence requiring extra attention by an equally effective human resources management. Lack of a proper plan for brand internalization has resulted in IKEA being incapable of strengthening its brand in foreign markets for higher sales, hence the problem of heavy duties, especially in Asian markets (Tarnovskaya, & de Chernatony, 2011). In light of this, IKEA faces other brand challenges in culturally diverse.

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