Effects ok ikea's entry into a furniture production cluster


  • Vasco Eiriz Universidade do Minho, Portugal.
  • Diana Carvalho Universidade do Minho, Portugal.




multinacional, cluster, móveis, estratégia, vantagem competitiva


The entry of a multinational into a cluster, a geographic agglomeration in a given place or region of predominantly small and medium enterprises specialized in a given industry or related industries, impacts the incumbent in the cluster. Aiming to identify the main effects of a multinational entry on the firms’ strategy in a cluster, it was analyzed the entry of IKEA, a Swedish multinational, into the cluster of furniture production in Paços de Ferreira and Paredes, in Portugal. In this study, the data collection technique to access primary data was a survey. The sample has small enterprises, which is similar to the structure of firms in the studied cluster. Results show that more than half the sample thinks that the entry of the multinational had not affected them. However, the firms that acknowledge a significant impact, assess that impact as negative. The competitiveness factors that have improved more significantly after IKEA’s entry were new product development and exporting strategies. The main responses of incumbent firms to the multinational entry were internationalization and the development of generic strategies of differentiation and focus based on differentiation.


Download data is not yet available.

Author Biography

Vasco Eiriz, Universidade do Minho, Portugal.

Professor da Universidade do Minho (Braga, Portugal). É PhD in Management da University of Manchester (Reino Unido) com uma tese intitulada "A Network and Relationship Approach to Strategic Marketing in Competitively Volatile Sectors"; Mestre em Gestão de Empresas na Área de Especialização em Marketing (Universidade do Minho, Portugal) e Licenciado em Gestão, com opção de Gestão Económico-Financeira (Instituto Superior de Gestão, Portugal). Possui artigos publicados em revistas como Industrial and Corporate Change; European Journal of Marketing; International Business Review; Transformations in Business & Economics; Journal of Transnational Management; Strategic Direction; Innovation: Management, Policy & Practice; Growth and Change; Service Industries Journal; International Entrepreneurship and Management Journal; e International Journal of Globalisation and Small Business.


AEP. Estudo de Mercado Sectorial. Associação Empresarial de Portugal. Disponível em : http://www.aeportugal.pt . Acessado em 28 de março de 2016.

BARBOSA, N.; EIRIZ, V. Linking corporate productivity to foreign direct investment: an empirical assessment. International Business Review, v.18, n.1, p.1-13, 2009.

BARBOSA, N.; EIRIZ, V. The role of inward foreign direct investment on domestic entrepreneurship. International Entrepreneurship and Management Journal, v.5, n.3, p.319-339, 2009.

BELL, S. J.; TRACEY, P.; HEIDE, J. B. The organization of regional clusters. Academy of Management Review, v.34, n.4, p.623-642, 2009.

BLOMSTRÖM, M.; KOKKO, A. Multinational corporations and spillovers. Journal of Economic Surveys, v.12, n.3, p.247–277, 1998.

DUNNING, J. H. Multinational Enterprises and the Global Economy, Addison-Wesley, Workingham, 1993.

ENGELSTOFT, S.; JENSEN-BUTLER, C.; SMITH, I.; WINTHER, L. (2006). Industrial clusters in Denmark: Theory and empirical evidence. Papers in Regional Science, v.85, n.1, p.73–98, 2006.

ENRIGHT, M. Regional clusters and multinational enterprises. International Studies of Management and Organization, v.30, n.2, p.114-138, 2000.

HALLIN, C.; LIND, C. Revisiting the external impact of MNCs: An empirical study of the mechanisms behind knowledge spillovers from MNC subsidiaries. International Business Review, v.21, n.2, p.167-179, 2012.

HERVAS-OLIVER, J.-L.; GONZALEZ, G.; CAJA, P.; SEMPERE-RIPOLL, F. Clusters and industrial districts: Where is the literature going? Identifying emerging sub-fields of research. European Planning Studies, v.23, n.9, p.1827-1872, 2015.

IKEA. IKEA Group – Yearly Summary FY, 2015.

JAFFE, E.; NEBENZAHL, I.; SCHORR, I. Strategic options of home country firms faced with MNC entry. Long Range Planning, v.38, n.2, p.183-195, 2005.

NACHUMA, L.; KEEBLE, D. MNE linkages and localised clusters: foreign and indigenous firms in the media cluster of Central London. Journal of International Management, v.9, n.2, p.171-192, 2003.

PORTER, M. E. Competitive advantage: Creating and Sustaining Superior Performance, The Free Press, New York, 1985.

PORTER, M. E. Clusters and new economics of competition. Harvard Business Review, v.76, n.6, p.77-90, 1998.

POULIS, K.; YAMIN, M.; POULIS, E. Domestic firms competing with multinational enterprises: the relevance or resource-accessing alliance formations. International Business Review, v.21, n.4, p.588-601, 2012.

SPENCER, J. The impact of multinational enterprise strategy on indigenous enterprises: horizontal spillovers and crowding out in developing countries. Academy of Management Review, v.33, n.2, p.341-361, 2008.



How to Cite

Eiriz, V., & Carvalho, D. (2016). Effects ok ikea’s entry into a furniture production cluster. Revista Produção E Desenvolvimento, 2(1), 90–102. https://doi.org/10.32358/rpd.2016.v2.127



Markets & Management