IKEA India may increase local production to cut retail prices, says CEO
In an effort to attract consumers in the midst of inflationary pressure – who has blackmail the by -laws, IKEA India plans to improve local sources and cut product prices, the Economic Times reported on July 28.
“We are trying to see how fast we can improve our local resources because it has all the benefits of creating lower prices, eliminating so many transportation, sustainability, job opportunities and creating new production capabilities,” the report said, quoting the Head of IKEA India India Executive Susanne Pulverer.
Reportedly, IKEA India has raised the price of some of its products due to increased inflation while also absorbing high inflation costs in other products.
IKEA globally is popular because the shops are wide which covers 300,000 to 400,000 square feet are usually located on the suburbs.
Pulver said nothing is still not affected by what is happening in the world and that is the same for the company too.
We try to absorb as much as we can. We have also made some adjustments, “he said.
He added, “We always try to be affordable to protect lower prices in every segment, function, and category. We have made some adjustments where it is possible, and we have protected (price points) to be affordable at a lower price. “
Swedish retailers are ready to open their fourth stores in the country on Thursday, at Rth City Mall, Mumbai. This will be the third store in the city.
Reportedly, even with three shops in Mumbai, this is not the end of the expansion plan in the city.
Pulver said, “We can’t say we’re over. We know that people live very local and very difficult to travel. We need to be accessed. Mumbai is a big city of 21 million and we think we can do more. “However, he did not describe further expansion plans. With the launch of the third store in Mumbai, IKEA will have five operational stores in this country.
IKEA India on July 28 will launch a second city shop in Mumbai after World. The company also launched a large format shop at Navi Mumbai in 2020.
