This question contains several parts; be sure to answer each. Describe the characteristics of a good vision statement, and list at least three of the questions that a good vision statement will ask. Finally, evaluate how well IKEA's vision statement matches each question.

Question

What will be an ideal response?

Answer 1

IKEA's vision statement:

"At IKEA our vision is to create a better everyday life for many people. Our business idea supports this vision by offering 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."

Although a vision statement can be short, it should be positive and inspiring, and it should stretch the organization and its employees to achieve a desired future state that appears beyond its reach. A vision statement expresses the company's long-term goal of what it wants to become.

A good vision statement will ask the following seven questions. (Evaluations of IKEA's vision statement on each criterion follow in parentheses.)

1. Is it appropriate for the organization and for the times? (IKEA's vision statement is appropriate for the organization. It reflects the fact that in the Internet age, people are constantly on the lookout for the best deals on quality merchandise.)

2. Does it set standards of excellence and reflect high ideals? (IKEA's vision statement shows its ideals in phrases like "create a better everyday life," "well-designed, functional home furnishing products," and "as many people as possible.")

3. Does it clarify purpose and direction? (IKEA's purpose is clear in its vision statement: It wants as many people as possible to be able to afford quality home furnishing.)

4. Does it inspire enthusiasm and encourage commitment? (IKEA's vision statement does inspire enthusiasm because it taps into most people's desire to have a nice home, regardless of their income or social status.)

5. Is it well articulated and easily understood? (IKEA's vision statement uses easy-to-understand language and is easily understood because it is so direct and forthright.)

6. Does it reflect the uniqueness of the organization, its distinctive competence, what it stands for, what it's able to achieve? (IKEA's vision statement does score high on all of these criteria; it is hard to think of another company that matches IKEA's goals and successes on these criteria.)

7. Is it ambitious? (IKEA's vision statement is ambitious. Just by saying "as many people as possible," the company commits itself to continuously looking for ways to price its products so that more and more people can afford them.)