IKEA faced challenges in differentiating against local competitors Mujirushi Ryohin (Muji) and Nitori who were well-entrenched (numerous national stores บริษัทข้ามชาติอื่น), inexpensive (due to low-cost imports from developing Asian countries) and popular local brands (especially among IKEA’s younger generation target market). Japanese consumers were very “quality oriented” and traditionally viewed high priced products as being of high quality
In addition, IKEA has localized its modern designs to include richer and darker wood products packaged in aesthetically pleasing boxes, which are preferred by their Japanese clients, and customized showrooms (small scale apartments) display fitted IKEA furnishings (thereby changing consumer buying patterns) Large retail outlets offer home delivery and assembly services, since the Do-It-Yourself culture has not yet been widely accepted in Japan. In fact, IKEA is developing a service where old furniture is transported away, to make way for new IKEA furniture.