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Dublin: 13 °C Wednesday 19 June, 2013

Angry Belgians take action over Ikea’s cheap meatballs

Restaurant owners believe Ikea’s low prices are undermining their own businesses – so they have begun bussing homeless people in for dinner.

The disputed meatballs
The disputed meatballs
Image: perry_marco via Flickr

IKEA MAY BE famous for its cheap meatballs, but not everybody is happy about it.

In fact, restaurant owners in Belgium are so angry at the low prices in Ikea’s in-store cafeterias that they have begun sending homeless people to eat there.

Iin an apparent attempt to disrupt the Swedish furniture chain’s business, Horeca, the organisation representing Belgium’s hospitality industry, bussed 200 homeless people to a branch of Ikea for a slap-up dinner over Christmas.

Horeca has accused Ikea of undermining the restaurant trade. Its president Yvan Roque told Swedish newspaper Dagens Industri (via Google Translate):

With those prices, you have to look at Ikea as a social service – and I acted accordingly. We invited 200 homeless people to dinner at Ikea. We gathered them up in buses and drove them out there.

He said the bussing would continue until Ikea admits that its food prices are an example of “price dumping”, where prices are kept artificially low to disrupt the market.

Roque told Belgian news site RTL: “After seeing meatballs at €2.50 in Ikea, consumers will treat us traditional restaurants like thieves.”

However, Ikea has rejected the accusations. “It is our philosophy,” a spokesman told RTL. “We are here to provide furniture, accessories and food at prices that are affordable for most people.”

More: Holy Flatpacks! We spend €2m a week in Ikea>

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Comments (26 Comments)

  • There’s something a bit disgusting in using homeless people to make their point like that.

    Reply
    • Shame on Horeca for using them for their own – what is in the end – capitalist ends!

      If they wish to feed them then do it all year around for altruistic reasons – not as limited stunt to eventually just increase their profits!

      Belgians should boycott Horeca and anyone involved!

      Reply
  • I remember being told by a lady working in Ikea restaurant on the M50 that a lot of single people or those who live alone in the area, come in for their evening meals, as it is so cheap. Makes sense and they meet other single people, and the food is good.

    Reply
  • Flat pack meatballs, nice!!

    Reply
  • The best advertisment for Ikea, EVER! I think those Belgians just don’t get it. I wonder why…lol

    Reply
  • No such thing as bad publicity in price war how many people in Belgium will now go to ikea as a result of this news

    Reply
  • Just take a glance at their global sales figures. IMPECCABLE.
    They clearly have a well thought out business strategy.
    If you cannott beat them…join them ( in one of their restaurants ).

    Reply
  • On top of spaghetti,
    All covered with cheese,
    I lost my poor meatball,
    When somebody sneezed.

    It rolled off the table,
    And on to the floor,
    And then my poor meatball,
    Rolled out of the door.

    It’s ok though, they only cost €2.50.

    Reply
  • Thats capitalism baby.

    Reply
    • Thats also progress Carlin.

      If you won the Lotto you would be a capitalist.
      I am sure you play the Lotto.
      If you don’t wish to be a capitalist but you should be fortunate enough to win the jackpot give me a call I will gladly take on my new title. CAPITALIST

      Reply
  • Lets hope for a few more IKEA stores scattered round Ireland, cos come 2013 we sure as hell will have a few busloads of starving citizens who will need feeding.
    Unless there are plans for a new NAMA eatery brand in the pipeline????

    Praise the ECB. It isn’t about Ireland, it’s all about the euro and rich bond holders. I would love to see those bastards reduced to eating handout meatballs.

    Reply
  • That’s a funny story, I was in IKEA for the first time a few days ago. The food is very good and cheap, two lunches, cod and chips for €5.50 and those famous Swedish meat balls 15 of them with potato €3.95 coffee x 2@ €1.25 and still water €1 and apple cake €1.50. A fine lunch for two for €14.50. The furniture is well designed but not that durable.

    Reply
  • If the restaurants can afford to foot the bill to feed and transport 220+ individuals, and they promise to continue to do so, they should rethink their strategy and lower their rates, which it seems they can afford to do.

    Reply
  • @Manfred Meyer I am referring to a group of restauranteurs giving out about competition. I don’t understand the relevance of your lotto comment. I don’t have to win the lotto to be a practicing capitalist. I live in Ireland the amount of money of have is irrelevant. As for wishing to be a capitalist, what difference does it make. Capitalist, Socialist, Communist… They have all failed as human as a species are too greedy for either to work properly. The current financial crisis is proof enough in my opinion (but I am open to being wrong). As for progress. What Kind of stupid comment was that! Progress, in the midst of a huge financial crisis brought on by greed. Not to mention the constant crappy situation the 3rd world has been in before our bubble burst. John Pilger documentary below
    http://www.youtube.com/watch?v=y5nF_mBxOlE
    Progress

    Reply
    • ‘I live in Ireland, the amount of money I have is irrelevant’
      Once the govt. is finished taxing us I would think that statement would read ‘I live in Ireland, the amount of money I have is negligible’ !! ;)

      Reply
  • Martin 02/01/12 #

    The sad fact is IKEA still makes a profit on there meatball’s
    2012 is going to be the year everyone will will stay away from overpriced restaurants
    “IKEA Group is growing and financially strong – net profit FY10 up 6.1% to €2.7 billion
    2011-01-14 | Business Subscribe To Business
    [International] FY10 sales grew by 7.7% to €23.1 billion. The IKEA Group net profit for FY10* increased by 6.1 % to 2.7 billion Euro, compared to the previous fiscal year.
    The strong result was due to increasing sales, higher gross margin and improvements of the cost structure in the running business.
    “FY10 was a good year financially for us – sales grew despite tough market conditions in many countries. Profits give us the resources to grow and reach more people on existing and new markets as well as lowering prices. The main part of the profit was re-invested in existing and twelve new stores in order to become even more inspiring and accessible. In times like this, even more people appreciate value for money in terms of good design and functional home furnishing products at affordable prices and we are committed to continuing that journey”, says IKEA Group President and CEO Mikael Ohlsson.

    In line with IKEA long-term sustainability direction IKEA continued, during FY10, to invest in renewable energy sources. The number of solar panels nearly doubled and currently, IKEA owns 52 wind turbines. During 2010, the IKEA Foundation donated €45 million to social projects. The IKEA Foundation funds programmes designed to improve the rights of children and youth in the developing world to enable them to create a better future for themselves and their families. These programmes will have benefited 100 million children in 2015.”

    Reply
    • Not sure about the EU, but in the US, IKEA lowered the prices on all their products this year to acknowledge the recession.

      Reply
    • I think you’re missing the point… Ikea is engaging in unfair business practices to get people in, harming businesses relying on selling food. Figures about their market performance are irrelevent in this respect, or am i missing something?
      The fact that the Belgian restaurant industry representing body used homeless people (and not just used them, but used them to represent a negative threat just by being themselves) is disgusting.

      Reply
  • There actions are utterly childish! How about Horeca take a page out of Ikea’s book here and pay more attention to their strategy than bussing 200 homeless people to an Ikea store.
    I’m not sure what pricing is like in restaurants in Belgium, but if they are anything like here in Ireland then they definitely need to adjust their pricing instead of telling someone else to.

    Reply
    • Pricing in Belgium is certainly not like Ireland, for what you pay here in Ireland for 1 dish you get a delicious 3 course meal in a high class restaurant! I don’t think Irish people can say anything about the Belgian horeca! Know what you talk about before you make any remark! Having said that, I think it’s unfair that they are using homeless people in this protest!

      Reply
    • An Irish person or anybody for that matter has every right to comment horeca’s actions.

      Reply
    • Sure Gavin, but it would be better to give an informed answer , that’s all…

      Reply
    • I would tend to disagree in this case. If Horeca’s actions are anyway close to that mentioned in this article then I have every right to disagree with there actions.
      And for your information this is a comment section for opinions. I don’t have to be overly tuned into an issue to give my opinions on the content of an article.

      Reply

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