Swedish furniture retailing giant IKEA – which announced its India foray in 2012 – is yet to see its first store to start operations. In an exclusive interaction with Payal Gulati, IKEA India’s CEO Juvencio Maeztu shared his long-term vision and plans for the country.
It’s been five years since you announced your plans to enter India, and your first store is yet to take off. What caused this delay?
IKEA is led by the long-term approach. And long-term for us is not 10 years but 100 years’ horizon or even more. For us, it’s important to do things right than to do them fast.
IKEA is a production-oriented retailing company. A normal retailing company can go fast in expansion, rent locations in shopping malls, and you buy and sell. For IKEA, this is the last point. The first point is ensuring right preconditions from the legal frame point of view, securing the supply chain, scout for right location etc. Also, long-term partnerships with suppliers are extremely important for us, this take time since they have to do investments and we have to support them. Then we buy the land and begin the construction.
We are here for the next 100, 200 or 300 years and when you plan for that, 4-5 years look very small. Now, after spending time on legal framework and land acquisition in Hyderabad and Mumbai, we are in the process of hiring people for operations.
What are the constraints for global retailers like IKEA in India?
Esta historia es de la edición October 2016 de Retailer.
Comience su prueba gratuita de Magzter GOLD de 7 días para acceder a miles de historias premium seleccionadas y a más de 9,000 revistas y periódicos.
Ya eres suscriptor ? Conectar
Esta historia es de la edición October 2016 de Retailer.
Comience su prueba gratuita de Magzter GOLD de 7 días para acceder a miles de historias premium seleccionadas y a más de 9,000 revistas y periódicos.
Ya eres suscriptor? Conectar
The Rise Of Value Retail
From High-end To High Demand, How The Affordable Fashion Wave Is Sweeping India And Creating Retail History.
How Circular Economy is Transforming Fashion's Fabric
As the fashion industry grapples with environmental challenges, the circular economy emerges as a transformative force. By redefining product life cycles and prioritizing sustainability, fashion brands are reshaping their practices to reduce waste and promote longevity.
INDIA'S DIGITAL DECADE
Around 62 percent of purchase decisions are now influenced by online discovery.
VALUE FASHION
With a significant presence in Tier II and III towns, V2, headlined by Akash Agarwal, has successfully positioned itself as a value-fashion destination.
EPICUREAN LEGEND ATUL KOCHHAR
From a small town in India to the heights of culinary fame, the Master Chef’s story is one of passion, innovation, and unwavering dedication.
How Delivery-First Model is Taking Shape in India
The sector is experiencing rapid growth, driven by a surge in working professionals, increasing smartphone penetration, and the rise of nuclear families.
How Brand-Designer Collabs are Revolutionizing Fashion & Lifestyle
For many brands, the motivation to collaborate with designers stems from a desire to offer something distinct and fresh to their customers.
NEW AGE INDIAN BRANDS DISRUPTING THE S6.8 BILLION LUGGAGE MARKET
As travel bounces back with renewed vigor, these brands are ensuring that travelers do so in style, with smart and sustainable luggage that meets the demands of the modern explorer.
The Friendly Neighborhood Malls Resurgence
The success of neighborhood malls hinges on understanding and catering to the local demographic.
THE EVOLUTION OF OUTLET MALLS IN INDIA
Outlets malls are not just about bargains; they represent a shift towards a more organized, experience-driven retail format, offering everything from premium brands to family-friendly amenities.
