IKEA is a conglomerate of different companies specializing in various aspects (design, manufacturing, marketing, stores, etc.). All are controlled by Stichting Ingka Foundation, a non-profit organization based in the Netherlands, and therefore does not pay taxes. In 2004 it made a profit of 1.4 billion euros. The Kamprad family cannot make any money from it as it is a non-profit organization, so part of the profit is shared through several companies.
This foundation finances research and development in architecture and interior design. It has an estimated amount of 36 billion dollars, being the largest non-profit organization globally, surpassing Bill Gates and his wife Melinda’s Foundation (33 billion dollars).
However, there is no record of them donating money in large amounts. They have donated to institutes in Sweden and other organizations in specified humanitarian disasters.
In 1990 IKEA invited an environmentalist to join its board of directors. With his advice, IKEA has removed many hazardous items from its products, improved its facilities, redesigned its products to transport more in less space, etc.
In August 2008, IKEA announced that it was creating IKEA GreenTech, a venture capital fund with 50 million to support ten companies working in lightweight materials, clean energy, and energy-saving, among other sectors. IKEA is expected to sell clean technologies within 2-3 years.
70% of IKEA’s marketing budget is spent on the catalogs we all receive at home. More IKEA catalogs are printed than Bibles.
Each product category uses the same type of name. For example, all beds are named after Norwegian places—the profession bookstores. Tables and chairs are named after men. Materials and curtains are named after women. Children’s accessories are named after animals. And so on. The reason is that Ingvar Kamprad has dyslexia, and with these names, he found it easier to control the entire inventory.
IKEA has a virtual mobile operator in the UK called Family Mobile. They compete to be the cheapest, prepaid with calls at 9 cents and messages at 6 cents.
IKEA sells and rents pre-furnished homes in several European countries: Sweden, Norway, Finland, Denmark, and the UK. Its brand is Boklok.
And the gift brand… Ingvar Kamprad started IKEA when he was just 17. Now he is the wealthiest person in Europe and the fifth richest person in the world ($22 billion). In 1976 he wrote the IKEA ideology in a manifesto called “A Testament of a Furniture Dealer.”