Earlier this week, IKEA identified its first four future store locations in India. The Swedish furniture company is in the process of purchasing land in Andhra Pradesh, Maharashtra, Haryana, and Karnataka. These locations are all near or within major cities which is strategically important to the company as it needs to be close to both main roads and public transportation.
“The company plans to spend 105 billion rupees ($1.72 billion) to open 25 stores across the country” (WSJ).
As usual, IKEA is joining forces with local suppliers to source its products. The company will diversify its product lines to match local tastes with items made of bamboo in addition to hand-loom fabrics and handicrafts. Sourcing from India will continue to increase during the next five years as the stores are being built.