I have a meh relationship with Ikea. Their furniture can be pretty good, and their accessories are often fantastic, with great prices, but I hate that you have to spend a whole day going through the full store before you can buy anything. I don’t really mind the flat-pack and home setup, though.
Never have I considered their ownership structure before. I suppose I just assumed they were structure like any other large store — either they were privately owned, or they were publicly traded.
Well, according to this damning report in The Economist, the answer is neither.
Surprisingly, Ikea appears to be “owned” by a charitable foundation. According to the Economist, it’s a very private foundation, but it’s almost certainly the world’s richest, with several billion dollars more in assets than the Bill and Melinda Gates Foundation.
Unfortunately, it gives out barely any more — instead, hoarding all the cash that Ikea makes in this tax-free “charity” and investing it, in case Ikea later needs the money.
Read the whole thing here, and then see how you feel about “Scandinavian designs at Asian prices”
(Note: the Economist story is a few years old, but I doubt much has changed. I found it using GiveMeSomethingToRead.com)
Grant Hamilton
One Response to “The surprising truth about IKEA’s ownership”
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That’s damning, but I’m really commenting just to note that “Scandinavian designs at Asian prices” is hilarious. Seems like I’m late to the party here, as the quotes indicate you probably didn’t coin it, but it made me spurt coffee across my desk. Must be noted.