What Is Ikea's Ethical Strategy

Ethics gives guide on morality and will affect what the company become. Some may not consider ethics as an important role in business, but some will consider it as their main objectives. Ikea, a famous store to buy furniture, has considered ethics as their main goal to either the environment and daily lives of human. Their mission statement states that “quality products at low prices through its design processes, a sustainable future through its People and Planet Positive approach and how its co-workers are an essential part of this growth strategy”.

Their strategic objectives is “By 2020, IKEA plans to renewably produce as much energy as it consumes in its operations”. The main stakeholders group that will be discussed about are employees and customers.

As one of their strategy is “By 2020, IKEA plans to renewably produce as much energy as it consumes in its operations.” They meet their goal because they used wind turbines and solar panels on top of their roofs. They successfully produced 37% of their total energy consumption and they are planning to increase the solar panels to increase the production of electricity. In addition, they uses renewable woods mostly to create their products. So they don’t need to cut down the trees. There is a research saying that Ikea uses 1% of the world’s woods in the process in making their furniture. Lastly, for their products transfer, they uses the maximum space of a truck by introducing the flat pack. This states that they are eco friendly and their business is very