Auchan's entry into Russia: prospects and research implications

Abstract

Purpose

To evaluate the chances of success for Auchan in Russia, and draw conclusions for retail internationalisation theory.

Design/methodology/approach

Provides a comprehensive analysis of the Russian retail landscape and emerging patterns of consumption, especially in the capital Moscow.

Findings

The success of Auchan's Russian venture will depend on the extent to which the retailer is able to leverage its three sources of competitive advantage in its domestic market, namely the hypermarket concept, the channel mix, and the environmental context. This in turn will be a function of its ability to exploit its retail marketing skills, distribution abilities, unique retail formula, strong retail brand, or a combination of these.

Research limitations/implications

The paper is not built on empirical data, but is speculative.

Originality/value

The paper's primary value lies in the call which it contains for a more eclectic conceptual framework underpinning retail internationalisation theory. Such a framework would reflect the importance of a firm's capital structure, and also pay greater attention to organisational dynamics. Attention to these issues would enable researchers to reflect more accurately the reality of the retail internationalisation process in emerging markets.

Citation

Roberts, G.H. (2005), "Auchan's entry into Russia: prospects and research implications", International Journal of Retail & Distribution Management, Vol. 33 No. 1, pp. 49-68. https://doi.org/10.1108/09590550510577129