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Article
Publication date: 28 March 2008

Youngsun Park and Brenda Sternquist

The main aim of this paper is to provide research propositions that explain global retailers' international expansion. Global retailers are considered to be…

18179

Abstract

Purpose

The main aim of this paper is to provide research propositions that explain global retailers' international expansion. Global retailers are considered to be concentralized‐standardized retail formats.

Design/methodology/approach

Research literature is used to develop the concepts related to predicting international expansion. Examples from retailers are used to set the stage for proposition development.

Findings

Seven propositions are provided for further examination. These propositions are related to unique retail concept, private brands, unique capability, internalization advantages, pioneering advantages, resource availability, governance resources, and growth experience.

Research limitations/implications

This is a conceptual paper leading to development of propositions for further testing. An empirical analysis is required to determine whether the theoretical connections can be proven.

Originality/value

The major value of the paper is the melding of theory and retail examples to explain the international expansion of a particular type of retailer. Global retailers are centralized and standardized, thereby providing an expansion opportunity in the area of franchising.

Details

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

Keywords

Article
Publication date: 26 August 2021

Nglaa Ahmad, Shamima Haque and Muhammad Azizul Islam

This article aims to examine how non-governmental organisations (NGOs)' narratives portray the vulnerability of workers in global clothing supply chains during the COVID-19 crisis.

1297

Abstract

Purpose

This article aims to examine how non-governmental organisations (NGOs)' narratives portray the vulnerability of workers in global clothing supply chains during the COVID-19 crisis.

Design/methodology/approach

The research analyses the rhetoric in global clothing retailers' and NGOs' counter-rhetoric during the first seven months of 2020.

Findings

During this period, retailers employed rhetorical strategies to legitimise irresponsible actions (corporate hegemony prevailed), while NGOs embraced forms of counter-rhetoric trying to delegitimise the retailers' logic, stressing the role of neoliberalism in worsening the situation.

Originality/value

The authors contribute to the literature by providing new insight into the consequences of COVID-19 for retailers' neoliberal practices and the livelihood of workers in global supply chains. Findings of this study extend authors’ knowledge about retailers' COVID-19 measures: These have contributed to the plights of workers working for their supply factories in the global South.

Details

Accounting, Auditing & Accountability Journal, vol. 35 no. 1
Type: Research Article
ISSN: 0951-3574

Keywords

Article
Publication date: 1 March 1998

Mark Carr, Arlene Hostrop and Daniel O'Connor

The vice president of sales for a major consumer products company was all smiles as he greeted his best customer, but that smile faded quickly. “I've got stores all over the…

Abstract

The vice president of sales for a major consumer products company was all smiles as he greeted his best customer, but that smile faded quickly. “I've got stores all over the world,” the retailer said. “Yet I'm paying a different price—and getting different promotional programs—for the same product in each market. And your people can't justify the differences.” Before the VP had a chance to respond, the retailer went on: “If you don't give me a consistent price and promotional program for all my stores, I'll just buy everything from the lowest‐priced market.”

Details

Journal of Business Strategy, vol. 19 no. 3
Type: Research Article
ISSN: 0275-6668

Article
Publication date: 28 March 2008

Michael Etgar and Dalia Rachman‐Moore

The purpose of this paper is to examine the effects of international expansion on the sales volumes of large‐scale retailers.

6315

Abstract

Purpose

The purpose of this paper is to examine the effects of international expansion on the sales volumes of large‐scale retailers.

Design/methodology/approach

Sales data of 200 largest retailers from around the world reported in the 2004 Deloitte “Global Retail Power” survey were analyzed with regression analyses.

Findings

It was found that: even though internationalization makes a positive contribution to retailers' sales volumes its impact is small; this effect is not impacted by the moderating factor of the degree of retailer specialization along product lines; while another moderating factor, namely the identity of the retailer's country of origin, does make a difference.

Research limitations/implications

The research methodology and the nature of the data precluded the use of more “soft” measures such as measures of managerial cognitions, perceptions and attitudes to analyze their impact on the effectiveness of internationalization for retailers. The research used cross‐sectional data and further research should compare results in additional time points to capture the possible dynamic changes in this industry.

Practical implications

Retailers seeking to expand their sales volumes should not rely too much on internationalization but consider also other strategic options. They should therefore analyze carefully whether large investments in overseas operations are justified. This is particularly relevant for US retailers.

Originality/value

This paper focuses on the issue of internationalization as a viable retail strategy to achieve larger sales volumes. The study reaches its conclusions on the basis of an analysis of data from a large population of diverse, domestic‐only and international retailers from around the world from different sectors and countries of origin, who – the international retailers – operate in different countries.

Details

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

Keywords

Article
Publication date: 21 January 2020

Ilias Vlachos and Selvie Carolin Dyra

Supply chains are becoming more complex and uncertain, yet existing theories are predominately based on empirical research of dyads overlooking triadic settings. This study aims…

1049

Abstract

Purpose

Supply chains are becoming more complex and uncertain, yet existing theories are predominately based on empirical research of dyads overlooking triadic settings. This study aims to bridge the gap between supply chain theories and praxis, this study examined multi-sourcing triads in terms of coordination, collaboration and integration.

Design/methodology/approach

Transaction cost economics, resource-based view in conjunction with social capital theory and agency theory were used to develop a research framework. Abductive, comparative research examined four triads. The triads comprised four retailers (EU, USA, Japan and one with a global presence), one third-party logistics provider (3PL) and 103 suppliers in textiles and the clothing industry.

Findings

All multi-sourcing triads achieved efficient coordination via network configuration showing varying degrees of collaboration and integration. Three research propositions were developed as follows: transaction complexity and dynamics necessitate triad coordination and control by the 3PL; relational and structural embeddedness emerge when actors invest in triad-specific resources and capabilities; information, relational and structural asymmetries may trigger bridge transfer and affect triad integration and performance.

Research limitations/implications

Empirical research on multi-sourcing triads complements existing research on logistics and service, transitive triads to uncover how triad coordination, embeddedness and power asymmetries affect supply chain performance. Future studies should examine the interrelationships between triad embeddedness, asymmetries and relational capital.

Practical implications

Compared to logistics or service triads, B3B triads excel in relational and structural embeddedness and offer unique production-distribution solutions that create value to end-consumers and triad actors.

Originality/value

B3B triads are a unique conceptualization in supply chain management that extends the concepts of logistics triads and service triads.

Article
Publication date: 1 September 1997

Brenda Sternquist

US retailers do business in the largest and most affluent mass market in the world. However, they have reached a saturation point for some popular retail formats. US retailers are…

13265

Abstract

US retailers do business in the largest and most affluent mass market in the world. However, they have reached a saturation point for some popular retail formats. US retailers are looking outside national borders for expansion opportunities. The Strategic International Retail Expansion (SIRE) model combines ideas presented in four separate theories to predict future expansion of these retailers.

Details

International Journal of Retail & Distribution Management, vol. 25 no. 8
Type: Research Article
ISSN: 0959-0552

Keywords

Article
Publication date: 16 March 2021

Sina Hardaker and Ling Zhang

The paper aims to investigate the new market entry strategy of the international grocery retailers Aldi Süd and Costco in China; analyzing if and how their prior-online market…

2431

Abstract

Purpose

The paper aims to investigate the new market entry strategy of the international grocery retailers Aldi Süd and Costco in China; analyzing if and how their prior-online market entry reflects a strategic response to organizational challenges in the Chinese market, which is a pioneer in the use of digital technologies and the provision of digital services.

Design/methodology/approach

The article identifies major challenges faced by international grocery retailers in China and discusses these with the help of the conceptual approach of embeddedness. The paper is based on expert interviews with senior executives of the two international retailers and other retail specialists and consultants.

Findings

The prior-online market entry by Aldi Süd and Costco represents a strategic response to organizational challenges that have to be faced in an increasingly challenging and highly digitalized Chinese market. Prior-online market entry allows the two retailers to experiment with the unique and heterogeneous Chinese market and build network and territorial embeddedness to facilitate the establishment of the physical store network. Both retailers utilize online stores to build relation and network with suppliers and customers and to understand Chinese consumer preferences. Yet, the localization strategy of Aldi Süd and Costco vary greatly.

Originality/value

Grocery retailers' prior-online expansion strategy has not yet been the focus of academic research. In regard to global grocery retailers, such as Aldi Süd and Costco, previous research argued that they were prepared to accept a lower expansion speed in order to expand at minimum risk and cost and mainly in countries which are regarded as having higher cultural proximity. The paper reveals the potential of the prior-online market entry strategy to change the internationalization behavior of grocery retailers. In addition, it contributes to the understanding of the evolution of market entry strategy into advanced digital economies in the coming new decade.

Details

International Journal of Retail & Distribution Management, vol. 49 no. 7
Type: Research Article
ISSN: 0959-0552

Keywords

Article
Publication date: 31 May 2011

Polly Chan, Carol Finnegan and Brenda Sternquist

The purpose of this study is to investigate firm‐ and country‐level drivers of retail performance.

7386

Abstract

Purpose

The purpose of this study is to investigate firm‐ and country‐level drivers of retail performance.

Design/methodology/approach

A database of the top 200 global retailers was primarily constructed from the 2005 Global Powers of Retailing data. Regression was used to test the hypotheses.

Findings

The predictors are able to explain firm level variations in sales growth, but not ROI. While retailers' sales growth is positively related to expansion speed, it is negatively related to number of retail formats and number of countries of operation. Moreover, retailers who choose to expand into a host country that is less developed, with relatively high disposable income, tend to be more successful than others.

Research limitations/implications

This study is focused on the foreign expansion process and characteristics of the top performing retailers and their first foreign expansion destination.

Practical implications

Findings reflect differences in internationalization strategies of top retailers. Findings also provide guidance for companies who already have foreign subsidiaries, and for those who are interested in opening new markets.

Originality/value

This paper examines the impact of the economic characteristics of the first host country entered and firm level resources and capabilities on two measures of firm performance. Empirical tests of the impact of retail portfolio management capabilities and international market portfolio management capabilities on retail sales growth are offered.

Details

European Journal of Marketing, vol. 45 no. 6
Type: Research Article
ISSN: 0309-0566

Keywords

Article
Publication date: 1 January 1997

Eithel M. Simpson and Dayle I. Thorpe

A qualitative description of the retail manager's decision to consider global expansion is offered. A case study of a specialty store operation provides a rich idiographic…

Abstract

A qualitative description of the retail manager's decision to consider global expansion is offered. A case study of a specialty store operation provides a rich idiographic description of this phenomenon and illustrates a thematic structure inherent in the retailers' lived‐experience of global expansion. Three themes, time, doing, and differences are presented as mutually related aspects of the retailers' experience. These themes are also discussed in a holistic context consisting of three higher‐level emergent themes: constraint/freedom, adaptability/changeability, and creativity/innovativeness. The applicability of this retail manager's experience to other similar contexts is discussed.

Details

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

Article
Publication date: 1 July 1996

Hayley Myers and Nicholas Alexander

Considers the direction of the international expansion of European food retailers, and suggests that international retail studies have been criticized for a lack of empirical…

3267

Abstract

Considers the direction of the international expansion of European food retailers, and suggests that international retail studies have been criticized for a lack of empirical research. Discusses the results of a survey which sought the views of the main board directors of all major food retail companies based in six European Union countries: France, Germany, Italy, The Netherlands, Spain and the UK. Observation of previous international activity reported in the literature suggests that the direction of international retail expansion is primarily determined by three factors of geography, culture and economic development. Considers the observable trends in the light of the empirical results presented. Presents these findings within a conceptual framework which suggests that, over time, retailers move from a reluctant, through cautious, to an ambitious stage in their international development. Analyses and discussess respondents’ propensity to internationalization and proposes a conceptual development.

Details

International Journal of Retail & Distribution Management, vol. 24 no. 6
Type: Research Article
ISSN: 0959-0552

Keywords

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