That frugality is at the core of the IKEA company culture. In addition to keeping prices low, lately that cost-consciousness has fit well with the company's goals of reducing waste and energy consumption as well as identifying sustainable resources for the company's products.

Ingvar Kamprad, an enterprising Swede who sold matches and pens by bicycle as a teenager, started selling mail-order furniture in the late 1940s and opened a small showroom in 1953. Unassembled furniture became part of the IKEA sales pitch in 1959, and the lower prices it engendered helped drive growth. In 2007, Kamprad, who at 81 no longer directly owns the company, was considered the 4th richest man in the world.

The chain has expanded to 34 countries and grown to 250 stores, with more coming all the time. The giant blue and yellow buildings (the colors in Sweden’s flag) typically cover 300,000 square feet. Shoppers can leave their children at a play area before entering the serpentine path through various showrooms where 7,000 products are displayed in home-like settings. After passing every item, shoppers can collect their own flat-packs in the warehouse and drive them home for assembly.

In an effort to save costs, IKEA historically has strived to get the most out of the materials that go into its products. This focus on resources has evolved into a set of environmental practices that sets challenging goals for the company, as well as its 1,300 suppliers in 53 countries.

IKEA endeavors to use a high percentage of renewable and sustainable materials in its products. In its furniture, the company demands suppliers use only wood that comes from well-managed forests instead of natural forests or those with high conservation value. The retailer and consultants are demonstrating to farmers how they can cultivate sustainable cotton crops.

The company also seeks to reduce carbon dioxide emissions related to its business. While encouraging distributors to shift to low-emission vehicles, it’s making public transportation more practical for customers by offering them discounted vehicle rentals for carrying home purchases. It's even buying hybrid cars for its company fleets in some countries.

On its own turf, IKEA wants to increase energy efficiency at its stores and distribution centers by 25% and supply them with renewable energy, created on-site at the new locations and retrofitted at some older ones. The company also seeks to reclaim 90% of the waste at its stores.

And just as customers often have to assemble their own furniture, IKEA makes them a partner in the waste reduction plan. Shoppers are now charged 5 cents for each plastic bag to encourage use of reusable bags.

Other companies known for reducing the environmental impact of their businesses:
Whole Foods - Sells organic food products
Toyota - Builds hybrid cars, reduces waste
General Electric - Makes more fuel-efficient engines
Starbucks - Buys coffee grown by sustainable methods; uses renewable energy
DuPont - Reduces energy consumption; uses renewable resources