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Today, IKEA executives met with President López Obrador to discuss the Swedish company's venture into the Mexican market and announced its plans to invest in Mexico , along with other national companies .
IKEA
is scouting Mexic o’s biggest cities to open its first stores in Mexico , the furniture retailer said, as it expands in Latin America to battle growing competition in its core U.S. and European markets .
The Swedish chain , known for its modern and inexpensive designs, is looking for store locations in Mexico City , Guadalajara , and Monterrey , the company’s local franchisee said.
“We’re looking at the biggest cities in Mexico , with those three being the most important,” said Antonia Banuelos-Leon , country marketing manager for IKEA Mexico on Monday.
The company will likely announce its plans next month, and is considering various store formats , Banuelos-Leon said. She declined to provide more details.
Stores in Europe and the United States drive the majority of sales for Inter IKEA Group and its franchisees , but rival retailers, especially online , are increasingly attracting shoppers . IKEA has 427 stores across 52 markets , with more in the works aimed at growing its customer base .
Banuelos-Leon
said IKEA Mexico , which is part of IKEA franchisee Ikano Group , opened an office in Mexico City on April 2018 and has advertised job openings in the capital and Guadalajara in recent months.
The country’s dense capital area, with over 20 million people and very little open space available, could challenge IKEA ’s traditional model, which calls for vast warehouses on city outskirts packed with goods and eateries known for their delicious Swedish meatballs.
But that model is changing. In January, IKEA announced plans to open its first store in the center of Paris , selling a full range of goods on a compact footprint.
Late last year, IKEA announced its plan to enter Latin America, starting with Chile in 2020 followed by Colombia and Peru .
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