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International retailers' strategic responses to institutional environment of emerging market: multiple case studies in China

Author

Listed:
  • Lanlan Cao

    (Pôle Customer, Retail and Supply Chain - Rouen Business School - Rouen Business School)

  • Daniele Pederzoli

    (Pôle Customer, Retail and Supply Chain - Rouen Business School - Rouen Business School, Pôle Markets, Brands & Experiences - Rouen Business School - Rouen Business School)

Abstract

Purpose - The purpose of this paper is to analyze the international retailers' strategic responses to the institutional environment in emerging markets. Design/methodology/approach - Based on in-depth interviews with top managers from a grounded-theory perspective, the research provides a comprehensive analysis of the implications of the institutional environment for the strategic choices of international retailers in an emerging market, especially in China. Findings - The international retailer's strategic choices are often identified as pragmatism, dynamism, public policy-orientation, seeking lead position in the market and decentralization if the institutional distance between the home country and host country is high. Moreover, when international retailers can commit to cultivating local markets and creating shared added value, they are better able to respond proactively to an institutional environment that is geared to a collective social network and still in a phase of transition. Research limitations/implications - This paper focuses on only one country, China. Originality/value - The major value of this paper is to highlight the specificities of international retailers' strategic responses to the institutional environment of an emerging market. Attention to these specificities would enable researchers to analyze better the reality of retail internationalization process in an emerging market.

Suggested Citation

  • Lanlan Cao & Daniele Pederzoli, 2013. "International retailers' strategic responses to institutional environment of emerging market: multiple case studies in China," Post-Print hal-00916537, HAL.
    • Handle: RePEc:hal:journl:hal-00916537
    DOI: 10.1108/09590551311330555
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    Citations

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    Cited by:

    1. Rujirutana Mandhachitara, 2014. "Old Traps for New Players: Western Direct Retailing Investment in Emerging Asian Markets," International Review of Management and Marketing, Econjournals, vol. 4(2), pages 150-159.
    2. Youssef Boulaksil & M. Jaafar Belkora, 2017. "Distribution Strategies Toward Nanostores in Emerging Markets: The Valencia Case," Interfaces, INFORMS, vol. 47(6), pages 505-517, December.
    3. Cao, Lanlan & Navare, Jyoti & Jin, Zhongqi, 2018. "Business model innovation: How the international retailers rebuild their core business logic in a new host country," International Business Review, Elsevier, vol. 27(3), pages 543-562.
    4. Grzegorz Karasiewicz & Mariusz Trojanowski, 2016. "Internationalization of the Grocery Retail Market in Poland (Internacjonalizacja handlu detalicznego produktow spozywczych w Polsce)," Problemy Zarzadzania, University of Warsaw, Faculty of Management, vol. 14(57), pages 19-41.
    5. Krzysztof Dembek & Prakash Singh & Vikram Bhakoo, 2016. "Literature Review of Shared Value: A Theoretical Concept or a Management Buzzword?," Journal of Business Ethics, Springer, vol. 137(2), pages 231-267, August.
    6. Grosso, Monica & Castaldo, Sandro & Grewal, Anjana, 2018. "How store attributes impact shoppers’ loyalty in emerging countries: An investigation in the Indian retail sector," Journal of Retailing and Consumer Services, Elsevier, vol. 40(C), pages 117-124.
    7. Sina Hardaker, 2018. "The Emerging Retail Market in Myanmar - An Institutional Perspective of Foreign Retailers’ Market Entry Decisions," International Business Research, Canadian Center of Science and Education, vol. 11(1), pages 19-33, January.

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