Ikea in Noida
After Hyderabad, Ikea will open stores in Gurgaon and Noida. It is in line with Ikea’s plan of expanding in other cities such as Mumbai…
After Hyderabad, Ikea will open stores in Gurgaon and Noida. It is in line with Ikea’s plan of expanding in other cities such as Mumbai and Bengaluru. Customers are eagerly waiting. Local furniture businesses may not like Ikea’s presence.
Brief:
The Noida store will be of large format like Hyderabad. Ikea Hyderabad is in 400,000 square feet or 13 football fields.
It will expand to other cities of Uttar Pradesh. Ikea will cater to other cities with smaller stores and e-commerce.
It will invest INR 5000 crores.
Why is it good for Noida?
Noida is a retail hub. It attracts big brands, as it has the best infrastructure in Delhi-NCR. Brands such as Decathlon and Muji first opened in Noida, before they opened in Delhi or Gurgaon.
Ikea means more jobs. It predicts that it will create 8,000 jobs. It will employ sales and retail professionals.
It may also mean more business for small businesses of the region. Hanung Toys from Noida was one of the bigger suppliers to Ikea.
Why is it bad for Noida?
Urban Ladder’s CEO had predicted in 2013 that traders importing cheap furniture and selling are at the risk.
Noida is also a hub for furniture with brands such as Swani. Ikea will affect these traders.
Ikea will also affect the furnishing and kitchen ware market, where informal sector rules.