New Ikea CEO Peter Agnefjäll, it seems, will not follow in the footsteps of his predecessor Mikael Ohlsson, whose goal was to open 20-25 new stores annually.
According to the Financial Times, this year the Swedish furniture manufacturer has opened only five new retail outlets, which is a record low considering the previous expansion pace.
“The focus will be on improving the existing sales infrastructure,” said Agnefjäll, whose task is to increase sales by 10 percent annually, aiming to double revenues to $50 billion by 2020.
This shift aligns with the vision of Ikea’s 87-year-old founder and Agnefjäll’s mentor, Ingvar Kamprad, who favored investing in existing facilities to ensure that the strong corporate culture characteristic of Ikea is not undermined by overly aggressive expansion.
