Based on extensive market analysis, I think Wayfair and IKEA are our main rivals. Both businesses are well-known on the international scene. By offering products at low costs, they have become the industry leaders. We need to know who our competitors are if we want to compete in this market. We discovered a lot about Wayfair by doing SWOT analysis. Wayfair is able to dominate the sector thanks to their massive inventory and amazing internet presence. Wayfair's online presence, global shipping options, and extensive goods variety for a range of price points are among its assets. The fact that Wayfair is only a supplier and does not provide its clients with a personalized experience is a vulnerability that was found (BStrategy Insights, 2021). Wayfair might potentially expand its business by entering the manufacturing sector and producing customized products. Potential risks include the quickly growing internet industry and the emergence of businesses like ours that can keep an eye on expenses from beginning to end while offering exceptional quality and customer service. IKEA's multichannel presence is a strength, according to their SWOT analysis. IKEA has retail locations all over the world in addition to a customized online experience. IKEA stands out in the global market because of this. One discovered shortcoming is the general knowledge of poor long-term quality. IKEA's capacity to offer a long-lasting and high-quality product has been hampered by its global mass production strategy, which prioritizes cheaper prices over quality (Gibson, 2023). IKEAS has a chance to grow by expanding their current business model. They can keep growing both offline and online, as they currently hold a strong position in the global market. IKEA is a well-known brand; many homes own merchandise from them. On the
other hand, IKEA's reputation for durability and quality is not entirely positive. Ikea's quality issues teach us a valuable lesson: usability and safety should be a baseline, not an aim. Extras are an added benefit, so concentrate on producing a high-quality product from the production to the customer's door." If this isn't fixed, the industry may stop accepting this subpar product, and their credibility may be damaged. We have direct competition from Wayfair and IKEA for a variety of reasons. First and foremost is their accessibility. IKEA and Wayfair come up extremely rapidly when searching for online furniture retailers on Google. They already have a competitive edge when we join this market just by virtue of this, which makes them direct competitors. Our clientele will undoubtedly encounter both businesses when looking for furniture and will have to decide between us and them. Both give clients access to a sizable library that complements almost any décor and style (Cote, 2020). We have the potential to cause disruptions, even though Wayfair and IKEA may be ahead of us in this regard. The creation of a competitive market profile is the next stage in the formulation of our strategy. We can develop a strategy to not just compete in the market, but to dominate it by knowing who the competitors are. A competitive strategy is a long-term action plan of a company which is directed to gain competitive advantage over its rivals (Strauss, 2023). Observing our rivals' business practices and developing a model that is both recognizable and better than the alternatives. We need to develop a powerful marketing strategy that draws in potential clients, offer reasonably priced, premium products, and deliver outstanding customer service that fosters brand loyalty. References
BStrategy Insights. (2021, July 1).Wayfair's SWOT analysis 2021. https://www.bstrategyinsights.com/wayfairs-swot-analysis/ Cote, C. (2020, November 10).5 sources of competitive advantage: HBS Online. Business Insights Blog.https://online.hbs.edu/blog/post/sources-of-competitive- advantage Gibson, A. (2023, February 4).IKEA SWOT analysis and IKEA competitors: An affordable report!. SWOT Hub.https://swothub.com/ikea-swot-analysis-ikea- competitors/ Strauss, L. (2023, September 7).A step-by-step guide to competitive market analysis. Zapier.https://zapier.com/blog/competitive-market-analysis/
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