You’re probably thinking of investing in IKEA, your favorite furniture store. Unfortunately, the IKEA stocks are not yet available in the Stock Exchange because the furniture giant is a privately held company. This means that the entire IKEA shares are firmly locked.
You’ll find some of the world’s biggest companies listed in the Stock Exchange Market. When these companies went public, their growth further accelerated. Some examples are Apple (AAPL) and Microsoft (MSFT).
But the good thing about being a privately held company like IKEA is that they will not have to worry in the event that their sales decline or their CEO resigns. These companies won’t be bothered by any news that could affect the cost of their stocks in the market.
In addition, privately-owned companies don’t need to give dividends to their shareholders. But the biggest disadvantage is that they won’t be able to raise funds that can help grow their business.
Top 3 IKEA Competitors
Let’s get to know some of the biggest IKEA competitors:
Established by Jeff Bezos in 1994, Amazon is now a top e-commerce company that’s based in Seattle, Washington. The company utilizes a cloud technology platform for its operations and they are now the world’s largest retailer. They don’t only sell a wide range of products but they also provide different services over the Internet.
Amazon started its operations by selling books, as well as films and TV shows. Later on, they extended their services by selling a wide range of products including furniture. They distribute furniture items through Amazon Home and offer an extensive range of furniture items, just like IKEA.
Amazon Home carries furniture from various categories, including bedroom furniture, dining furniture, kitchen furniture, outdoor furniture, and many more.
Walmart sells a wide variety of products with the best quality and at a competitive price. The company headquarter is located in San Francisco and was established in 2000.
It comprises of Walmart.com and Walmart Stores Inc., and they sell a wide range of items in various categories. Furniture is one of them, which is why they are one of IKEA’s closest competitors.
Walmart Furniture carries a wide range of products for home use, from office furniture, bedroom furniture, kitchen furniture, living room furniture, and even furniture for the kids, as well as mattresses.
Just like IKEA, the furniture that Walmart sells is perfect for any home. Since Walmart is one of the world’s most popular retail corporations, it is safe to say that the company is a top IKEA competitor.
Wayfair is a US-based e-commerce company that sells a wide range of home furniture items over the Internet. They focus mainly on decorative accessories and home furnishings and carry about 10 million products, which they source from more than 10,000 suppliers worldwide.
The company is based in Boston but its offices and warehouses are spread all over the world, including in the UK, Ireland, Canada, Germany, and the United States.
Given the many companies that are competing with IKEA, perhaps it’s about time that they consider going public.
As one of the most successful companies in the furniture industry, there are surely millions of potential investors out there that will be more than willing to invest in IKEA.