Last time europe got horsemeat scandal, Ikea quickly lelong their meatballs so that hsa got nothing to test.Why are their prices still so cheap?
Can get one Hotdog, Curry Puff and Ice Cream all for only $2.50

Main aim is to lure you there and keep you there with their food. Unlikely you will go there just to jiak then scoot off. They make back the $ when you start browsing their wares…Why are their prices still so cheap?
Can get one Hotdog, Curry Puff and Ice Cream all for only $2.50
Why are their prices still so cheap?
Can get one Hotdog, Curry Puff and Ice Cream all for only $2.50
Their Coffee/Tea only 50 cents…
They're a furniture store, not an eatery. Of course the thing that makes them money wont be the food
All that cheap food they don't earn money one. Lose money even.
But it's a way to lure you to IKEA to shop then you will shop there and buy other thing
Pretty common business strategy western company like to use
Like Walmart and other mega supermarket in western country. They also have those super cheap food drink and what $1 pizza. All to lure you to come and shop at the supermarket and in the end spend more money
*Parking is free for the first 3 hours with any purchase made in IKEA Alexandra store.Free aircon, Free parking, free tea for members…the toilet is more clean than foodcourts and neighbour coffeeshop ones…. many retirees love that place during off peak hour…...IKEA should expand their business![]()
can get two spring rollsWhy are their prices still so cheap?
Can get one Hotdog, Curry Puff and Ice Cream all for only $2.50
Their Coffee/Tea only 50 cents…
No need buy furniture, Just buy food or drink at the restaurant…then you will have Free parking liao. Their soft drink is free flow one…. They should expand their business to save poor sinkies looking for cheaper food…*Parking is free for the first 3 hours with any purchase made in IKEA Alexandra store.
Might as well say IKEA owns the land they are sitting on so no need to pay rent.Hawkers are greedy and over charging
Anyway TS i help you ask AI about this
The IKEA Business Model
IKEA's success can be attributed to its unique business model, which focuses on providing affordable, functional, and stylish products. Here's how they make money by selling cheap food and drink and kitchenware:
Food and Drink
- Low Prices: IKEA offers food and drinks at extremely low prices, often at a loss or break-even point. This encourages customers to stay longer and enjoy their shopping experience.
- High Volume: By selling large quantities of food and drinks, IKEA makes up for the low prices through sheer volume.
- Marketing Strategy: The affordable food and drinks are a marketing strategy to attract customers and create a welcoming atmosphere, increasing the chances of selling higher-margin products like furniture.
Kitchenware
- Economies of Scale: IKEA produces massive quantities of kitchenware, allowing them to negotiate low prices from suppliers and manufacturers.
- Simple Designs: IKEA's designs are minimalist and functional, reducing production costs.
- Flat Packaging: IKEA's famous flat packaging reduces transportation and storage costs, making it cheaper to produce and distribute products.
Furniture
- Flat Packaging: Same advantage as kitchenware, reducing costs.
- Self-Assembly: Customers assemble products themselves, reducing labor costs for IKEA.
- Mass Production: IKEA produces large quantities, taking advantage of economies of scale.
The Big Picture
IKEA's business model relies on a combination of low prices, high volume, and efficient production and distribution processes. By selling cheap food and drink and kitchenware, they attract customers and create a positive shopping experience, increasing the chances of selling higher-margin furniture and other products. This strategy has made IKEA one of the world's largest and most successful retailers.