Businesses usually define their goals and objectives through mission statement and vision that are imprinted on the organizations product. According to Knapp (1999, p.75)3, mission and vision statements generally represent the purpose of the organization which is evident in the present case study of IKEA where IKEA's mission is to
Whereas the vision is to provide better everyday life to all and IKEA formulates its strategies based on the mission and vision which aims to provide better life by offering its products at lower cost than in the market. Austin and Pinkleton (2006, p.19)4 mentions that mission statement sets out strategic focus for accomplishing long term outcome and vision conveys the long term ideal which is evident in IKEA's scenario. Further vision shares the organizations values that are intended to support their mission. The seriousness of offering products at low cost is also seen its corporate values where the organization recruits employees who share the values developed by IKEA of togetherness, cost consciousness, respect and simplicity. The mission, vision and values are interrelated to each other as each one is developed by other and helps the organization the long term goal as in case of IKEA to provide better life to all by providing low cost products in the industry duly integrating with the values that promotes the involvement of customers in product designing. IKEA has been able to achieve considerable success strongly because of its values and it is essential that the values imbibed in the market for IKEA should be pampered and the organization should continue to operate in the same way as it has done until now generating good revenue and garnering customer appreciation from all over the world.
1 (b) Difference between company's resources and capabilities
According to Grant (2005, p.145) the strategy of any business is concerned with utilizing the firm's resources to improve and increase the capabilities to grab the opportunities arising in the external environment. However both, resources and capabilities play vital role in the development of the organization and to identify their importance, they are distinguished hereunder with special reference to IKEA.
It is the productive asset owned by the firm like tangible and intangible like financial, infrastructural, knowledge and human resource, etc.