Internationalisation of Retail

By Group 4

political and economic scenario y Difference in culture and structure in retail 2 PROTON business school .Concept of Internationalisation y Difference in political boundaries of trade y Difference in currency of trade y Different regulatory.

Tread gold·s typology y This group is distinguished by the retention of high control in the international market and a limited international market presence y The companies in this cluster operate in the markets which are either culturally or geographically proximate y Emboldened Internationalists y Aggressive Internationalists y World Powers 3 PROTON business school .

The electric Paradigm y To invest abroad a retailer must be possess some specific advantage (at different cost than comparing firm) y It either derived from the specific privileged possession of specific intangible assets y Or from the common governance of interrelated activities 4 PROTON business school .

y Push factor: Domestic market limited y Pull factor: Particular foreign country attractive y GRDI 2008 5 PROTON business school .Determining The Market of Entry y Classical approach to the analysis of international expansion in retiling.

Factors Affecting Retailer's Choice of Market y Proximity to the Domestic Market y Similarity in Culture y The Size of the Market y The Laws and the Regulations of the Land y Trade Relations between the Countries y Strength of the Local players in the Market 6 PROTON business school .

Decision Making Process Domestic / Export Market Expansion Which Markets? Which Market Entry Strategy? Operationalizing the Market Strategy 7 PROTON business school .

Models to enter Foreign Market y Supply of goods y Franchising y Joint Ventures y Acquisition of stake in existing retailers y Organic Growth 8 PROTON business school .

FRESH AND EASY y It is a company of Tesco. learning their cooking and shopping habits y The stores are smaller than typical supermarkets. UK·s largest retailer y They had spent time in homes of American consumers. with easy to shop aisles to offer a faster. easier shopping experience 9 PROTON business school .

date coded and delivered daily y US has been a graveyard of other British retailers 10 PROTON business school .y They are offering selected range of national brand products at affordable price y Private label Fresh and Easy products contain no artificial colours or flavours y Produce is packed.

Retail in Asia y Singapore y Hong Kong y Japan 11 PROTON business school .

12 PROTON business school . Also-development of planned shopping centres.Singapore y Considered to be shopper·s haven. cold storage Robinson.urban renewal authority. Robinson Group & Takshimaya Singapore are key retailers.key role. Well developed infrastructure.instrumental in retail development. y It has a mature retail market ² rents are stable. Example.infrstructure y y y y attracts many foreign retailers. The URS.NTUC Fair co-operative .

Hong Kong y Over years Hong Kong has evolved from the street side stores and wet markets and a handful of traditional department stores. to a retail destination. has led to the growth of retail in the country. 13 PROTON business school . y Since 70s ² continuous expansion of the transport infrastructure across the island and the development of new towns by both the public and private sectors.

y 700 million stores per million in Japan y As compared to 3 stores³India. 14 PROTON business school .majority³small businesses. y Highly fragmented.Japan y Asia·s richest market.

y Japan³36K convenience stores y Seven eleven has 8K 15 PROTON business school . 50% are of convenience store format. y Out of 93K service stores.y Convenience store format in vogue. y Among Japanese retailers. convenience stores are the forerunners in trying to integrate e-commerce into their business strategies.

Also offer services as the collection of public utility payments Also provide. stimulating consumer demand. They have become important community centres.introduced POINT OF SCALE y y y y system to analyse sales trends and encourage manufacturers to develop new products.y Convenience store ² first. Slow moving merchandise taken off the shelves-as little as 1 week. 16 PROTON business school . ticket reservation services.

Laws y Large-scale Retail store law y Anti monopoly law 17 PROTON business school .

Thank You« 18 PROTON business school .

Sign up to vote on this title
UsefulNot useful