Ingvar Kamprad, the founder of IKEA, was born on March 30, 1926, in the small Swedish district of Smalandia. Many economists believe Ingvar inherited his entrepreneurial skills. However, in 1897, Ingvar’s grandfather’s firm was on the verge of bankruptcy, the owner could not pay off his debts, and committed suicide. However, Kaprada’s grandma was able to salvage her husband’s firm. Ingvar learned from her that willpower and hard effort can conquer adversity.
During his student years, Ingvar Kamprad began to create his own business. He bought a large number of pencils and matches and then sold them to his classmates at a much higher price. Ingvar put the money away to build his business, while his comrades spent it on other forms of recreation. The prospective businessman steals money from his father at the age of 15, ostensibly for school. He, on the other hand, adds them to his amassed earnings and starts his own business selling various little items.
IKEA was founded in 1943. He came up with the abbreviation. IK stands for his initials, E (Elmtaryd) for the family company, and A (Agunnaryd) for the nearby village. From stationery to cheap stockings, the store sold it all. Ingvar designed a company catalog and began taking orders via mail. But the most intriguing aspect is that he solved his delivery difficulty by simply agreeing with the milkman who supplied milk on a daily basis. To entice people to his presentation, he offered a complimentary muffin with coffee to anybody who showed up. Ingvar, on the other hand, did not anticipate that this action would draw in over a thousand individuals. This episode was recalled by the businessman, and in the future, each IKEA store would have its own restaurant.
Ingvar purchased a modest furniture factory in 1951 and began producing furniture. After that, he publishes his first furniture catalog. The first IKEA store debuted in Elmkult, Sweden, in 1953, and a 67 sq. m. the store opened in 1958. IKEA’s corporate color is now yellow-blue, however, it was originally a red-white tone. Only Ingvar, as a patriot of his nation, will choose yellow-blue as the corporate color.
But not everything about IKEA’s development went well. Due to the low pricing of IKEA furniture, local furniture oligarchs launched a boycott of Kamprad with the development of the furniture industry. National producers were no longer supplying products to Ingvar. The proprietor of IKEA then makes an uncommon business measure for the period. Kamprad buys low-cost components for furniture assembly from Polish vendors and places orders for goods in lower-cost countries. This concept was crucial to Ingvar’s business’s success.
Kamprad’s concept was to produce a practical, inexpensive, and convenient assortment of domestic goods, which is today known as the “Swedish style.” IKEA’s products were meant to be used in people’s homes. They were affordable to anyone.
Ingvar had dyslexia, which had a negative impact on his business. As a result of his inability to recall the numbered articles, the names of many goods surfaced. Kamprad was a frugal man who never lived in luxury or comfort and expected his subordinates to do the same. On business visits, he stayed at three-star hotels, ate at low-cost cafes, and shopped at discount stores. The most memorable vacation was a bike ride through Sweden.
Ingvar instilled in his sons the aptitude to value money. For example, when the younger Matthias uprooted trees on his parents’ land during the holidays as a student, his father paid him far less than hired employees. Matthias went to work for his father’s company on a general basis after graduation; his salary was pitiful, hardly enough to eat cheaply.
Close friends and associates describe Ingvar as a brilliant marketer who never makes a mistake. In fact, the world’s top economists are studying Caprad’s business strategy. Despite the fact that Ingvar never went to school. His school teachers were unable to teach him how to write and read. His only professional education is a 1945 diploma from Gothenburg’s Higher Commercial School. Ingvar’s lack of a certificate did not deter him; instead, he was replaced by zeal.
Kamprad, like any other human, has flaws. In his childhood, he had a fascination for Nazi ideals, which he later realized were false. Ingvar, who is 76 years old, has a habit of binge drinking. All of this, however, does not prevent Kamprad from maintaining control of his retail empire, which includes 180 locations in more than 30 countries. Ingvar Kamprad formally resigned a few years ago, handing over the company to his sons.
Kamprad is very fond of the comparisons he receives to Henry Ford. He feels that, like Ford, once-luxury goods have been made available to the general populace. Now Ingvar Kamprad is one of the richest people in the world.