Bloomberg Anywhere Remote Login Bloomberg Terminal Demo Request


Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.


Financial Products

Enterprise Products


Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000


Industry Products

Media Services

Follow Us

Bloomberg Customers

Businessweek Archives

Guess who is insourcing furniture production?

? Home sales up, but.... |


| New homes sales: down, down, down ?

March 26, 2007

Guess who is insourcing furniture production?

Dean Foust

I grew up in North Carolina, and the middle swath of the state was the capital of the U.S. furniture industry. No more. All those revered manufacturers -- Broyhill, Drexel -- began shifting work to China in recent years, so much so that most of the factory towns like Morganton and Lenoir are struggling. Same with other cities across the country that were dominated by furniture manufacturing.

Now comes news that one furniture town in Ohio is getting a surge of orders from an unlikely source: Ikea, the European maker of stylish, but cheap furniture that's popular with twentysomethings and urbanites. Ikea decided that it was cheaper to build in the U.S. than to manufacture in Poland and pay the freight (at least for its U.S. business, I'm presuming).

ScrippsNews has the full story. And if you want to read more about Ikea's formula for success, my BusinessWeek colleague Kerry Capell wrote an in-depth cover story in late 2005 on the company.

12:09 PM


TrackBack URL for this entry:

blog comments powered by Disqus