It is important to note at this early point in the case study, that the above tenets do not exclusively include the subject of environmental analysis, save for strategy to a minor degree, which is part of DO, and is mostly an internal aspect of organizational analyses (Lima & Shaman, 2005). It is also a key aspect of this study to analyze KEA from an internal consultative perspective, given the evaluation of its organizational tenets as a whole. Introduction and Background Factual information in this section pertaining to KEA was collected directly from Kike’s website, thus it is not necessary to cite redundantly (KEA, 2012).
KEA began through the hard work of Angina Kampala in 1958. He had taken modest steps as a young boy selling office supplies from his dad’s shop, and later thought it would be a good idea to expand his entrepreneurship into housewives and furniture sales. Today KEA is a privately owned firm, Inter KEA, with its financial headquarters located in the Netherlands. The foundation is led by a committee of five members, with Kampala as its Chairman. His modest ideals of minimalism, flat hierarchy, sustainability, and quality commitment to his customers still influence Kike’s vision and mission today.
This reflects Steve Job’s well known capacity for perfection, and value-driven system of quality and modularity, that will continue to produce highly effective products long after his recent passing (Apple, 2012). In contrast, Angina’s values are relatively simple and straight forward; “To create a better everyday life for the many people. ” And, “To offer a wide range of well designed, functional home furnishing products at prices so low that as many people as possible will be able to afford them. More important to this case study is how KEA operates in relation to its DO practices. Although KEA is a Swedish company, it is nonetheless a global enterprise with cultural roots that influence how it operates today. For instance, Hefted (2001) created one of the largest international studies on cultural dynamics, which provides a detailed analysis of factors that influence each country and continent chosen for his research. His methodologies address patterns of cultural behavior based on distinguishing characteristics such as power distance (Hefted, 2001).
This aspect of Swede’s low power distance culture is indicative f how KEA promotes employee engagement, opportunities for advancement, leadership incentives, motivation, and its organizational structure (Hefted, 2001 )(KEA, 2012). Kike’s overall strategy also reflects its commitment to quality customer services. Kampala encourages his leadership teams to practice living frugally in light of keeping prices low for its consumer base. In this way, leadership not only lives by example, but sets the standard for management and every employee by putting the company’s values after that of its client base.
This also sets the tone for DO differentiation in a way that underscores its competitive advantage in a global marketplace, while maintaining its culture-specific values as a quality marketplace for home furnishings (Holistic & doter, 2004). This certainly is not an exhaustive introduction and background. However, under the second section of this case study, this allows for more content analysis of identifiable symptoms and issues at KEA facts or causes, and strengths or weaknesses. Further determinations are made as to which sections closely match the organizational tenets, as they are the foundation of this study.