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Ikea announced today another stage in its transformation as it announced that it would be cutting over 7,000 jobs worldwide as well as ploughing more money into its online business, existing outlets and new high street stores.

The company employs 160,000 staff and although 7,000 jobs are to be lost now, the company believes that 11,500 jobs will be created as it rolls out its smaller store format over the next two years.

I think this all sounds like the company is going in the right direction and it could potentially be an attractive tenant for landlords seeking to fill big spaces vacated by department stores on the UK high street.

I’ve said this before, but given the rate of retail space closures – and the prospect of more closures and not less – I would have thought that Ikea would be able to get new premises at decent rents given it’s a buyers’ market at the moment.

Also, landlords will probably be falling over themselves to welcome a company that is likely to generate a lot of foot traffic. Maybe Ikea could potentially pay them in meatballs?

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Please note this article does not constitute investment advice. Investors are encouraged to do their own research beforehand or consult a professional advisor.

Peter Watson

Peter Watson

Peter Watson founded Seiha Consulting, a career transition consultancy, after working in HR and four recruitment agencies. He was also a stockbroker for 13 years in London and Tokyo, advising some of the world’s biggest financial institutions on European and Japanese stock market investment. He started writing the Daily (previously known as “Watson’s WIFI”) to help candidates prepare for interviews – but soon found that many others wanted to read it as well!

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