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Topic: Business
Number of pages / Number of words: 5 / 1176
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IKEA soon redesigned its American product range which immediately increased there sales. They also reduced their dependence on outside suppliers and recruited American suppliers. They also had their own people working alongside the manufactures to give technical tips and to find the better quality or lower cost materials...


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IKEA also had to change the way they did promotions, because the United States did not have a homogenous culture so the traditional forms of promotion would not have been as effective as elsewhere.

B. How does the TV advertising campaign initiated by IKEA overcome the entry barrier of high advertising expenditures?

IKEA could no longer use their strategy since America has a very diverse population with a variety of sub cultures and the “word of mouth” strategy would have been less effective than it was Europe and other countries...


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