INGVAR KAMPRAD

EARLY LIFE &

CAREER• Kamprad was born in Pjätteryd,

Sweden.• He was raised on a farm called

Elmtaryd.• At the age of five, Kamprad

began to develop a business as a young boy, selling matches to neighbors from his bicycle.

• From matches, he expanded to selling fish, Christmas tree decorations, seeds, and later ballpoint pens and pencils.

• Kamprad founded IKEA in 1943.

• As of March 2007, Ingvar Kamprad was the fourth wealthiest person in the world, according to Forbes magazine, with an estimated net worth of US$33billion.

IKEA • The company's name is an acronym that consists of the initials

of Ingvar Kamprad, Elmtaryd (the farm where he grew up), and Agunnaryd (his hometown in Småland, South Sweden).

• The company is known for its modern architectural designs for various types of appliances and furniture, and its interior design work is often associated with an eco-friendly simplicity.

• IKEA ‘s Mission 1.)Cost control 2.)Operational details 3.)Continuous product development 4.)Well designed & Affordable products to customers• In January 2008, the company became the world's largest furniture

retailer.• IKEA owns and operates 332 stores in 38 countries.• The world's largest consumer of wood after a finding that the company

uses 1% of the Earth's wood supply.

PRODUCT LINE• In 1943, IKEA’s initial business was mail-order

business selling pencils, postcards, and other merchandise.

• Furniture is introduced in the IKEA business 1948. After this Ingvar Kamprad starts exploring furniture design due to which furniture became IKEA’s core business.

• In1955, IKEA business starts designing its own furniture. Over time the flat pack and self-assembly become part of the concept.

PROMOTIONAL TECHNIQUES

CATALOGUE• This is printed in 24 languages and 160

million copies are printed and distributed free of charge.

• It was first published in 1951.

• DIRECT MARKETING• Vouchers – IKEA uses promotional

vouchers, especially to promote the opening of new stores although these sometimes prove ‘too popular’ leading to over crowding . The holder to a discount of up to 25% on products bought in the stores.

An IKEA decorated train carriage.

To promote the new store that just opened in NYC Brooklyn, IKEA decided to place a giant IKEA box in the middle of the city. Inside the box was a studio apartment of 20ft x 20ft decorated with IKEA products. To make it even more fun they wrote what the box includes on the side.

An IKEA decorated truck

LIFESTYLE OF INGVAR KAMPRAD• He is a frugal billionaire. He even shops in

the local market towards the end of the day.

• He flies in the economy class.

• He drives a 13-year-old Volvo 240 GL, of which he says, “It is nearly new, just 15 years old, or something like that.”

• “How the hell can I ask people who work for me to travel cheaply if I am traveling in luxury?” he asks. “It’s a question of good leadership.”

LEADERSHIP STYLEOF

INGVAR KAMPRAD

• Ingvar Kamprad is a Transformational Leader.• REASONS• Intellectual simulation: When leader push his followers to be creative and

find new approaches of performance at work.• Inspirational motivation: When the leader’s behavior provides meaning

to the followers. • Individual consideration: When the leader gives time to listen to his

followers.• Idealized influence: The leader’s charisma and the respect of his

followers.

THANK YOU