Ikea Group recently consolidated its operations in China to better tap into the strength of its furniture brand to achieve the expansion of a wider retail sector, reports the Chinese-language Economic Observer.

Ikea recorded over a million visits 18 days after the Dec. 19 opening of its Livat shopping center in Beijing. It is the second Chinese outlet launched by the brand following its Wuxi store, said the report.

Right before the opening of Livat's Beijing outlet, Ikea Group announced its acquisition and full takeover of the Inter Ikea Centre Group (IICG) from Inter Ikea Group. The two groups set up IICG as a joint venture to operate retail brands including Livat.

The Inter Ikea Group is responsible for licensing deals involving the Ikea brand and the investment side of the business, while the Ikea Group manages the brand and focuses on sales, according to the report.

According to Ikea Group, IICG will become the operator of 45 shopping centers under different brands in Europe, Russia, and China, all built around Ikea's furniture store.

Ikea Group president and CEO Peter Agnefjall said that shopping centers generate better return and help bring more customers and sales to the group's furniture stores.

The new Livat outlet in the Chinese capital opened next to an existing Ikea store. The three-storey shopping center has created a shopping experience quite different from that offered in Beijing, said the report.

The shoppers in Livat's Beijing outlet can view shops across the floors regardless of the level they are on, and the venue offers 6,500 free parking spaces to local residents and its customers.

The vast amount of parking spaces differs widely to other shopping centers in China, which often skimp on parking space, said Yan Yuejin, an analyst with E-House.

The Livat Beijing outlet offers 400 domestic and foreign brands, including several entering the Chinese capital for the first time, said the report.

Old Navy, subsidiary of American clothing retailer GAP, has been included in the lineup of brands on offer.

Apart from Ikea's furniture store, the three other main vendors in Beijing Livat are French supermarket operator Auchan, movie theater chain Jinyi Cinemas, and Chinese consumer electronics retailer Suning.

Livat is set to open its third Chinese outlet in Wuhan. Future plans include five to six shopping centers in Beijing and Shanghai, according to the report.