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Article
Publication date: 1 May 2002

Barry Quinn and Nicholas Alexander

Franchising has become a major driving force in the globalisation of service businesses. Likewise, international retailing has become an important feature of global…

Abstract

Franchising has become a major driving force in the globalisation of service businesses. Likewise, international retailing has become an important feature of global distribution systems. This has been brought about through changing socio‐economic patterns, favourable political and cultural environments, and a shift from manufacturing to service based economies. Both developments have contributed to the globalisation of marketing activity. However, there remain fundamental conceptual inconsistencies in the literatures that explain the development of international retailing and the internationalisation of franchise operations. This paper considers the use of franchising in the internationalisation of retail operations and places the experience of retail operations that use the market entry strategy within the context of other franchising activity. The paper evaluates the literature on the internationalisation of retailing alongside the literature on franchising. It identifies the different perspectives that have emerged within the two literatures and conceptually reconciles the contradictions that exist.

Details

International Journal of Retail & Distribution Management, vol. 30 no. 5
Type: Research Article
ISSN: 0959-0552

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Article
Publication date: 28 March 2008

Jody Evans, Kerrie Bridson, John Byrom and Dominic Medway

In the light of recent changes in the international environment, the purpose of this paper is to consider whether the drivers of, and impediments to, retail…

Abstract

Purpose

In the light of recent changes in the international environment, the purpose of this paper is to consider whether the drivers of, and impediments to, retail internationalisation and the business strategy adopted have also changed.

Design/methodology/approach

Interviews were conducted with 12 UK and US retailers. These exploratory data were combined with a review of the literature to explore changes in the drivers and impediments of retail internationalisation.

Findings

Findings of this study suggest that, while a variety of factors drive retail internationalisation, profit growth is the most dominant motivator. In terms of impediments to foreign expansion, domestic market conditions were a barrier to the initiation of foreign expansion, whilst the regulatory environment and previous experiences presented obstacles in the process of internationalisation. Interviewees also expressed a desire for increased standardisation, while acknowledging the need for a substantial degree of adaptation in response to cultural differences.

Research limitations/implications

The research findings are limited in terms of their generalisability.

Originality/value

Much of the existing research into retail internationalisation was conducted in the 1990s. Given the substantial changes that have occurred over the past 15 years, the value of this paper lies in the updating of knowledge.

Details

International Journal of Retail & Distribution Management, vol. 36 no. 4
Type: Research Article
ISSN: 0959-0552

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Article
Publication date: 1 August 2000

Irena Vida

Uses the results of a mail survey to gain insights into international expansion of US retailers and their strategic thrusts. The findings indicate that important drivers…

Abstract

Uses the results of a mail survey to gain insights into international expansion of US retailers and their strategic thrusts. The findings indicate that important drivers of the retail internationalization process are related to four distinct retailer characteristics, i.e. retail‐specific advantages, dimensional factors, and to international market orientation of companies and their strategic management teams. However, neither the retail operating format nor the lack of domestic growth opportunities emerged as factors promoting international retail expansion. Retailers in this study favored full control entry modes and culturally similar country markets. Implications for future research and retailing practice are outlined.

Details

International Marketing Review, vol. 17 no. 4/5
Type: Research Article
ISSN: 0265-1335

Keywords

Content available
Article
Publication date: 1 August 2019

Jianghuai Zheng and Chunmiao Shen

The purpose of this paper is to propose policy recommendations that resort to the domestic market to achieve inclusive growth from an open perspective.

Abstract

Purpose

The purpose of this paper is to propose policy recommendations that resort to the domestic market to achieve inclusive growth from an open perspective.

Design/methodology/approach

How will economic globalization based on domestic demand affect economic growth and income distribution in an open and large country? With the aim of discussing the mechanism of the impact of expanding domestic demand on the inclusive growth from an open perspective, this paper incorporates the Global Value Chains vs National Value Chains (GVC-NVC) competition, which is triggered by foreign investments attracted by the domestic demand scale into an endogenous growth model with “Schumpeterian Innovation.”

Findings

Theoretical analysis indicates the following findings: although domestic demand-based economic globalization can promote transnational inclusive growth across countries, it is not conducive to national (domestic) inclusive growth; the impacting effect of domestic demand scale on inclusive growth across countries is subject to the moderating effect of the development maturity of the labor market; and the impacting effect of domestic demand scale on national inclusive growth is subject to the joint moderating effect of the development maturity of the labor market and labor skill structure.

Originality/value

First, this paper examines the impact of domestic demand-based economic globalization on the inclusiveness of economic growth from an open perspective, which deepens the existing theory of intra-product specialization and inclusive growth. Second, the paper puts the sequential production process into Schumpeterian growth model and reveals the mechanism that domestic demand affects inclusive growth. Third, the study finds that the enhancement of labor market efficiency, transfer payments to low-skilled labor and the creation of a fair competitive market environment will contribute to the globalization of a domestic demand-oriented economy, which provides a policy-making basis for government sectors.

Details

China Political Economy, vol. 2 no. 1
Type: Research Article
ISSN: 2516-1652

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Article
Publication date: 1 November 1994

Vitor F.C. Goncalves and Maria Margarida M.

Portugal has been considered a peripheral market by internationalfranchisors owing to the small market size and, in some cases, thegeographical and cultural distance…

Abstract

Portugal has been considered a peripheral market by international franchisors owing to the small market size and, in some cases, the geographical and cultural distance. However, as a reflex of the global trends in franchising, the last decade has witnessed the expansion of networks and the entry of many new foreign operators in Portugal. The presence of international franchise systems is dominant, but a small number of local concepts was developed and some have already started international operations. Reports the results of an empirical study that purported to identify and assess the methods of penetration in Portugal used by foreign participants; the proceedings for implementation of franchise systems at national level; participants′ opinions on major problems encountered in establishing the franchise system in Portugal; the opinion of participants about the performance and prospects of evolution; and the characteristics of international operations of national franchise systems and prospects for expansion.

Details

International Journal of Retail & Distribution Management, vol. 22 no. 7
Type: Research Article
ISSN: 0959-0552

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Case study
Publication date: 30 May 2020

Paula Holanda Cavalcanti Sirimarco and Luiza Neves Marques da Fonseca

The case seeks to meet the following educational objectives: provide an understanding of the problems and opportunities faced by a company doing business in a rapidly…

Abstract

Learning outcomes

The case seeks to meet the following educational objectives: provide an understanding of the problems and opportunities faced by a company doing business in a rapidly expanding emerging market. Understand how the foreign environment and industry practices impinge on the company’s strategic conduct. Develop the ability to evaluate strategic internationalization decisions in light of considerations related to uncertainty, risk and commitment. Provide for the application of internationalization theories to a real case involving an emerging country company. Discuss new strategies for international market expansion.

Case overview/synopsis

This case study is about the strategic change of the Usaflex brand and how it impacted its national and international expansion. Usaflex is a Brazilian footwear company founded in 1998 and acquired in 2016 by a group of partners. The new managers started an accelerated process of national and international expansion. In the domestic market, the company adopted the franchise system and in the international market used licensed stores. In addition, the new management implemented a series of modifications, changing the positioning, design and product variety, as well as the communication strategy. This process took place in a highly negative context, with the domestic market suffering the impact of a strong recession and Brazilian footwear exports losing competitiveness in the international market.

Complexity academic level

The targeted audience of this case is undergraduate and MBA students of Business Management courses, specifically on International Business courses.

Supplementary materials

Teaching Notes are available for educators only.

Subject code

CSS 5: International Business.

Details

Emerald Emerging Markets Case Studies, vol. 10 no. 2
Type: Case Study
ISSN: 2045-0621

Keywords

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Article
Publication date: 7 August 2009

Craig C. Julian and M. Yunus Ali

The purpose of this paper is to examine the impact that various incentives to export have on the export marketing performance of Australian export market ventures.

Abstract

Purpose

The purpose of this paper is to examine the impact that various incentives to export have on the export marketing performance of Australian export market ventures.

Design/methodology/approach

The paper is based on an empirical investigation of firms involved in exporting to foreign countries from Australia. The sample of firms came from a wide cross section of industries. The list of firms comprising the sample is provided by a state government department.

Findings

The paper indicates that the export marketing performance of Australian export market ventures is positively influenced by the export incentive of the chance to diversify into new markets.

Research limitations/implications

From a methodological perspective, a potential concern may be that the measures are all self‐reported. Consequently, the relationships tested may be susceptible to the influence of common method variance.

Practical implications

The importance of diversifying into new markets is identified. Management should consider taking international expansion opportunities because a pre‐occupation with the domestic market can make local firms vulnerable to other growth‐oriented foreign firms and economies of scale via increased productive capacity can assist in reducing the costs of production thereby enabling firms to be more competitive in the global market as well as in the firm's own domestic market.

Originality/value

A major contribution of this paper is that it validates a measure for examining the different incentives to export. Furthermore, it examines the relationship between incentives to export and export marketing performance identifying the chance to diversify into new markets as the key predictor of export marketing performance.

Details

Journal of Small Business and Enterprise Development, vol. 16 no. 3
Type: Research Article
ISSN: 1462-6004

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Article
Publication date: 6 June 2016

J.M. Albala-Bertrand

The aim of this paper is to learn about some patterns of sectoral and industrial structural change of the Chinese economy over the 1995-2010 period, which also complements…

Abstract

Purpose

The aim of this paper is to learn about some patterns of sectoral and industrial structural change of the Chinese economy over the 1995-2010 period, which also complements a previous paper of the author. The chosen period is about (and conveniently) bounded by two international crises: the Southeast Asian crisis of 1997 and the world crisis that started in 2007/2008.

Design/methodology/approach

To such a purpose, this paper set up a quantitative methodology via input-output modelling, which allows us to decompose gross output into some key demand sources or contributions. These are then analyzed over the full period.

Findings

It can be shown that the trajectory of the main structural patterns over the period was not smooth and was pretty unbalanced and that they generally responded to both domestic policy and international shocks. Export demand and heavy industry appeared to be the main engines of the economy, which showed massive increases in their share of output, at the expense of domestic demand, services and agriculture. Despite the high growth rates over this period, the Chinese economy seemed to be in need of rebalancing, which seems to have started toward the end of the authors’ period.

Originality/value

The decomposition method has been applied before by the author and others, but the variations in this paper are original, just as original is the application to China (never been done before), which in addition is not confined to two or so snapshots separated by many years, as is the usual use, but to the full year-after-year change of the sectoral and industrial structure over this study’s focus period.

Details

Journal of Chinese Economic and Foreign Trade Studies, vol. 9 no. 2
Type: Research Article
ISSN: 1754-4408

Keywords

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Article
Publication date: 1 May 1996

Rajah Rasiah

Structural economists have been amongst the foremost proponents of a pro‐active industrial policy as the mechanism for promoting rapid economic growth (Lewis, 1956;…

Abstract

Structural economists have been amongst the foremost proponents of a pro‐active industrial policy as the mechanism for promoting rapid economic growth (Lewis, 1956; Myrdal, 1957; Kaldor, 1967; Thirlwall, 1989). This is substantiated by the argument that manufacturing being characterised by increasingly specialised inter‐related activities, radiates tremendous impulses both intra and inter sectorally (Young, 1928: 527–42). Using a sample of 12 developed countries, Kaldor (1967:3–23; 1975:891–6; 1979; 1989:282–310) attempted an empirical study to support this relationship. A positive correlation between manufacturing growth and that of the economy has been defended on the grounds that manufacturing growth increases static (relate to size and scale of production units and are characteristic largely of manufacturing where in the process of doubling the linear dimensions of equipment, the surface increases by the square and the volume by the cube), as well as dynamic (relate to increasing returns brought about by ‘induced’ technical progress, learning by doing, external economies in production, etc.) returns (Thirlwall, 1989: 60). Since manufacturing also produces capital goods that are used in different industrial branches and other sectors, it is seen as a powerful mechanism for transmitting technical change (Weiss, 1988). It is for these reasons, structuralists generally prescribe government policies that favour manufacturing expansion. Malaysia is a good example of a natural resource rich country that has made manufacturing its main plank of economic growth especially since the launching of the New Economic Policy (NEP) in 1971 (see Malaysia, 1976). However, as industrial policy in each socio‐political space offers state‐specific characteristics, we will analyse industrialisation within Malaysia's setting.

Details

Managerial Finance, vol. 22 no. 5
Type: Research Article
ISSN: 0307-4358

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Article
Publication date: 1 January 1997

Brenda Sternquist

Japanese department stores have gained significant market‐share in several Pacific Rim countries. In this paper, factors related to internationalization are discussed…

Abstract

Japanese department stores have gained significant market‐share in several Pacific Rim countries. In this paper, factors related to internationalization are discussed. Dunning's eclectic approach is considered as a framework for explaining internationalization. Profits, number of employees, and dollars spent for research and development are independent variables used to predict internationalization. Japanese department stores with international offices versus no international offices were correctly classified 83% of the time. Those retailers with international offices had greater profit, more employees, and more R&D funds than those without international offices. A two by two matrix focusing on growth and store format is presented to explain Japanese retailers' international expansion. Propositions for future research are presented.

Details

International Journal of Commerce and Management, vol. 7 no. 1
Type: Research Article
ISSN: 1056-9219

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