Ikea launches its first distribution center in Japan near Nagoya port+
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[October 01, 2008]

Ikea launches its first distribution center in Japan near Nagoya port+

(Japan Economic Newswire Via Acquire Media NewsEdge) NAGOYA, Oct. 1_(Kyodo) _ Swedish furniture retail giant Ikea on Wednesday opened its first distribution center in Japan near the Port of Nagoya as it aims to expand the number of its stores nationwide.



The huge center with a total floor space of 55,000 square meters is located in Yatomi, Aichi Prefecture.

The center is a symbol of Ikea's resolve to engage in the Japanese market over the long-term, President Lars Petersson of Ikea Japan K.K. said at a press conference in Yatomi.



Ikea has an aggressive target to open more stores in the future, he said.

In addition to the distribution center, Petersson said Ikea is looking for a site within Aichi Prefecture to open its first local retail outlet.

Ikea currently operates four stores in the Kanto and Kansai regions -- one each in Funabashi, Chiba Prefecture, and in the cities of Yokohama, Osaka and Kobe -- and will open its fifth outlet in Misato, Saitama Prefecture, in November.

The company hopes to have four to six more outlets in each of the regions, Petersson said, without disclosing when the new stores will be opened.

Operating some 280 retail outlets in 36 countries, Ikea has shipped its products to Japan from production sites worldwide via Shanghai or Kuala Lumpur. With the new distribution center, the company expects to cut costs by shipping them directly to Nagoya port.

Ikea has attracted Japanese consumers by offering low-cost furniture and other household goods with stylish designs.

Copyright ? 2008 Kyodo News International, Inc.

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