What competitive advantages do foreign retailers such as Wal-Mart and Carrefour enjoy when they enter Asian markets?

Such foreign retailers as Carrefour and Wal-Mart obtain several advantages when entering the Asian market. Firstly, in most cases, local governments welcome such entities to their economies to stimulate the development of their home retail industries. For example, as Gillespie and Hennessey state, China has “credited Wal-Mart with revitalizing the retail sector.” Thus, foreign retailers have access to local sources of products that enhance their inventory opportunities.

Secondly, due to their developed system of business management in their home countries, large retailers might apply their experience to a new environment where there are no significant competitors other than small retailers. The lack of influential competitors in the majority of Asian countries is imposed by the fact that these countries have emerging economies and are willing to provide opportunities for successful foreign businesses. Thus, large international retailers gain more opportunities for rapid global growth.

Answer by Academic.tip's expert
An answer to this question is provided by one of our experts who specializes in business & economics. Let us know how much you liked it and give it a rating.

Cite this page

Select a citation style:

References

Academic.Tips. (2022) 'What competitive advantages do foreign retailers such as Wal-Mart and Carrefour enjoy when they enter Asian markets'. 8 November.

Reference

Academic.Tips. (2022, November 8). What competitive advantages do foreign retailers such as Wal-Mart and Carrefour enjoy when they enter Asian markets? https://academic.tips/question/what-competitive-advantages-do-foreign-retailers-such-as-wal-mart-and-carrefour-enjoy-when-they-enter-asian-markets/

References

Academic.Tips. 2022. "What competitive advantages do foreign retailers such as Wal-Mart and Carrefour enjoy when they enter Asian markets?" November 8, 2022. https://academic.tips/question/what-competitive-advantages-do-foreign-retailers-such-as-wal-mart-and-carrefour-enjoy-when-they-enter-asian-markets/.

1. Academic.Tips. "What competitive advantages do foreign retailers such as Wal-Mart and Carrefour enjoy when they enter Asian markets?" November 8, 2022. https://academic.tips/question/what-competitive-advantages-do-foreign-retailers-such-as-wal-mart-and-carrefour-enjoy-when-they-enter-asian-markets/.


Bibliography


Academic.Tips. "What competitive advantages do foreign retailers such as Wal-Mart and Carrefour enjoy when they enter Asian markets?" November 8, 2022. https://academic.tips/question/what-competitive-advantages-do-foreign-retailers-such-as-wal-mart-and-carrefour-enjoy-when-they-enter-asian-markets/.

Work Cited

"What competitive advantages do foreign retailers such as Wal-Mart and Carrefour enjoy when they enter Asian markets?" Academic.Tips, 8 Nov. 2022, academic.tips/question/what-competitive-advantages-do-foreign-retailers-such-as-wal-mart-and-carrefour-enjoy-when-they-enter-asian-markets/.

Copy