Entry strategy of IKEA in to Brazil Essay Example | Topics and Well Written Essays - 1500 words

Entry strategy of IKEA in to Brazil - Essay Example In the initial stages IKEA expanded its business into new markets outside of Sweden including Norway by direct entry and by acquiring other businesses. However, over the years IKEA has been focusing on expansion of its business through franchising. IKEA now operates over 325 stores which are located in 35 countries. An analysis of the Brazilian market indicates that it is a very promising environment for IKEAs products. The standard of living of working class individuals have improved and this has increased their demand for various products including home furnishings. Upper and middle class Brazilians have high disposable income and are willing to spend on high quality brand name products and so it would be good if IKEA offer goods for different segments of the market instead of focusing on just low priced products. Additionally, research indicates that 59% of Brazilians have a preference for foreign brands over home brands. However, there are certain obstacles in the political and legal environment that may negatively impact the success of IKEAs business. Furthermore, the currency of Brazil is overvalued. It is therefore important that IKEA use its resources to correct weaknesses in its operations and make use of opportunities and lessen the impact of threats in the environment. IKEA operates 325 stores in 35 countries throughout the world. The company’s first stores between 1955 and 1978 were opened in Sweden, Norway, Denmark, Switzerland, Germany, Australia, Hong Kong, Canada, Austria, Netherlands and Singapore. Since then the company has expended its operations to 24 additional countries. However, the company does not have a presence in Brazil. Most of IKEA stores are franchises and therefore the company does not have to provide any capital outlay. However, franchise fees are dependent on the success of its franchise operations. In

Proprietary and Contract Security Essay Example | Topics and Well Written Essays - 1000 words

Proprietary and Contract Security - Essay Example The problem has more to do with the thinking among executives proprietary security has no alternative. There is the feeling that contract security has a mix of the good and the bad. Why take the risk and get into trouble in case the security turns out to be bad (Shamus McGillicuddy). Nonetheless, reports from companies who have dared to venture and have the open system installed are encouraging. They work well and their cost is low. Some of them have gone on to say that they have better features than proprietary security. The function of security systems essentially includes spam, spyware and phishing blockers, virus protection, web filter, protocol control, intrusion prevention, a firewall and several other applications. The open sources all of these. Although company executives swear by contract security, they have only gone the extra mile and added this security along with proprietary sources in most cases. The time is not ripe for a complete recourse to the contract source and probably will never be. Proprietary security has too many aces up its sleeve that contract security will find hard to trump. Proprietary securities have access to far more rese... They also have more resources and access to critical ideas because of their size and reach. They have wide acceptance and are financially powerful to deal with any crisis. In case of any lacunae in a model, they have the capability to recall the entire lot and have replacement done at the same time. Disadvantages Because of mass production, they cannot have the maneuverability and diversity that contract security offers. They have enormous power to push their products but although they have wide range of features included in their products they cannot arrange for the maneuverability and diversity that contract sources can provide. In terms of cost, if they have to tailor make products for customers, they can be quite expensive. Contract Security The contract security segment has formed a National Association of Security Companies (NASCO). Organizations such as NASCO wield tremendous clout and are capable of bridging the gap that may exist between the proprietary and contract security. Tracy A. Henke, assistant secretary for the Office of Grants and Training, spoke about the importance of private security personnel participating in joint training with federal agencies. She also pointed out that the DHS is certifying more and more state training programs. The summit also featured sessions designed to foster an open discussion about issues directly impacting contract security operations (NASCO Concludes First Contract Security Summit). Advantages Contract securities can be powerful in applications and give value for money for niche organizations such as health and medicine. They are particularly useful for those seeking special attention in certain areas of professionals