The IKEA name combines the initials of IKEA founder, Ingvar Kamprad, (IK) with the first letters from the names of the farm and village where he grew up - Elmtaryd and Agunnaryd (EA). The IKEA logo has hardly changed during the company's history and the 1967 version remains a consistent symbol of the IKEA business.
In the early 1980s - with IKEA stores in 20 countries and expanding - IKEA founder, Ingvar Kamprad, realized he needed to protect the unique IKEA Concept as part of the company's growth. He wanted total independence and a long-term ownership structure, so the stock market wasn't an option. Plus, he believed that all the companies operating under the IKEA Brand had to build resources before they could expand.
So, the IKEA franchise system was established. Today all IKEA stores (except the IKEA Delft store in the Netherlands, which is owned by Inter IKEA Systems B.V.) operate under franchise agreements.