Retailing sector
Williams (1992) conducted case studies with 42 internationalizing retailers
which focused on the motivations, obstacles and competitive advantages
associated with retailer internationalization. He found that the major drivers
of retailer internationalization are the desire for growth in sales, profits and
markets, as well as the proactive orientation of top management. Optimistic
managers appear to be relatively oblivious to potential obstacles, including
inadequate corporate resources and the absence of planning appropriate for
overseas markets. Retailers derive certain operating advantages based on the
scale of their operations, indicating that international success is associated
perhaps foremost with the possession of substantial resources. This latter
finding was confirmed in a separate empirical study of Japanese retailers by
Chen and Sternquist (1995). But retailers are warned to acquaint themselves
with the various challenges, risks and obstacles that characterize
international expansion.
Franchising in services
internationalization
354 JOURNAL OF SERVICES MARKETING, VOL. 13 NO. 4/5 1999