best global brands
Posted by Dale Buss on August 10, 2012 06:05 PM
IKEA's standing as one of the world's most valuable brands is a hot topic this week after the company was compelled to disclose its internal brand valuation. The privately held furnishings company has been historically secret about its business metrics — but it finally revealed its internal valuation of its brand because of some changes in corporate structure that came to light.
According to SAPA/AFP, "Swedish furniture giant Ikea said Thursday it had sold its trademark to one of its own subsidiaries for nine billion euros (11 billion dollars), the first time the company has put a book value on the brand. Ikea, which has a complex ownership structure, said its Liechtenstein-based Interogo Foundation had sold the brand name to subsidiary Inter Ikea Systems on January 1, 2012. The transaction was aimed at 'consolidating and simplifying the group's structure,' Inter Ikea Group's head of communications Anders Bylund told AFP."
"Complex ownership structure" is putting it lightly — Ikea's Interogo Foundation only came to light last year following an investigation by Swedish journalists.Continue reading...
brands under fire
Posted by Abe Sauer on July 19, 2011 11:30 AM
China really is picking up on this whole consumer culture thing.
A scandal came to a head late last week as the head of Shanghai-based luxury furniture brand DaVinci melted down at a press conference in which she said allegations that it deals in counterfeit furniture — sold as "made in Italy" but in fact made in China — were false.
As the New York Times explains, "DaVinci furniture stores have been places where wealthy Chinese in (Shanghai) and five other big cities can indulge their appetite for imported luxury. Promoting itself as 'a haven for premium products,' DaVinci is the place to go for Versace sofas, sumptuous Fendi Casa calf-skin couches or stylish chaise lounges stamped Made in Italy. A DaVinci bedroom set can sell for $100,000."
The scandal exemplifies how fragile the brand relationship is in China and how Chinese consumers are increasingly upset about counterfeiting.Continue reading...