Factors Affecting Market Entry Mode of Retailer to Enter Developing Country Markets: The Case of Tesco Supermarket

Intense market competition, market saturation and high rates of globalization have influenced businesses to seek foreign markets for factor endowment, increased sales and sustenance of long-term profits. Developing countries provide foreign markets with high potential owing to increasing incomes, hi...

Full description

Bibliographic Details
Main Author: Rattanakomut, Rapeephan
Format: Dissertation (University of Nottingham only)
Language:English
Published: 2013
Online Access:https://eprints.nottingham.ac.uk/26389/
_version_ 1848793167877373952
author Rattanakomut, Rapeephan
author_facet Rattanakomut, Rapeephan
author_sort Rattanakomut, Rapeephan
building Nottingham Research Data Repository
collection Online Access
description Intense market competition, market saturation and high rates of globalization have influenced businesses to seek foreign markets for factor endowment, increased sales and sustenance of long-term profits. Developing countries provide foreign markets with high potential owing to increasing incomes, high population and low production costs. This study attempts to apply the Dunning Eclectic Theory on the selection of modes of entry into foreign market in developing countries by Tesco Supermarket. The study collected data from Tesco managers and from company records. The findings indicate that the Eclectic Theory applies to Tesco Supermarket. Ownership advantages of size, international experience influence choice of sole venture entry mode, location advantage of high market potential and high market risks influence sole venture and joint venture respectively, and internalization advantages influence the selection of sole venture. A joint influence of large size, experience in international acquisitions and high market potential is the greatest in driving Tesco to select a sole venture. The study recommends use of size, foreign experience and market potential as primary determinants for selecting an appropriate entry mode into foreign markets in developing countries.
first_indexed 2025-11-14T18:56:00Z
format Dissertation (University of Nottingham only)
id nottingham-26389
institution University of Nottingham Malaysia Campus
institution_category Local University
language English
last_indexed 2025-11-14T18:56:00Z
publishDate 2013
recordtype eprints
repository_type Digital Repository
spelling nottingham-263892017-10-19T13:30:59Z https://eprints.nottingham.ac.uk/26389/ Factors Affecting Market Entry Mode of Retailer to Enter Developing Country Markets: The Case of Tesco Supermarket Rattanakomut, Rapeephan Intense market competition, market saturation and high rates of globalization have influenced businesses to seek foreign markets for factor endowment, increased sales and sustenance of long-term profits. Developing countries provide foreign markets with high potential owing to increasing incomes, high population and low production costs. This study attempts to apply the Dunning Eclectic Theory on the selection of modes of entry into foreign market in developing countries by Tesco Supermarket. The study collected data from Tesco managers and from company records. The findings indicate that the Eclectic Theory applies to Tesco Supermarket. Ownership advantages of size, international experience influence choice of sole venture entry mode, location advantage of high market potential and high market risks influence sole venture and joint venture respectively, and internalization advantages influence the selection of sole venture. A joint influence of large size, experience in international acquisitions and high market potential is the greatest in driving Tesco to select a sole venture. The study recommends use of size, foreign experience and market potential as primary determinants for selecting an appropriate entry mode into foreign markets in developing countries. 2013-07 Dissertation (University of Nottingham only) NonPeerReviewed application/pdf en https://eprints.nottingham.ac.uk/26389/1/Rapeephan_Rattanakomut_4164784.pdf Rattanakomut, Rapeephan (2013) Factors Affecting Market Entry Mode of Retailer to Enter Developing Country Markets: The Case of Tesco Supermarket. [Dissertation (University of Nottingham only)] (Unpublished)
spellingShingle Rattanakomut, Rapeephan
Factors Affecting Market Entry Mode of Retailer to Enter Developing Country Markets: The Case of Tesco Supermarket
title Factors Affecting Market Entry Mode of Retailer to Enter Developing Country Markets: The Case of Tesco Supermarket
title_full Factors Affecting Market Entry Mode of Retailer to Enter Developing Country Markets: The Case of Tesco Supermarket
title_fullStr Factors Affecting Market Entry Mode of Retailer to Enter Developing Country Markets: The Case of Tesco Supermarket
title_full_unstemmed Factors Affecting Market Entry Mode of Retailer to Enter Developing Country Markets: The Case of Tesco Supermarket
title_short Factors Affecting Market Entry Mode of Retailer to Enter Developing Country Markets: The Case of Tesco Supermarket
title_sort factors affecting market entry mode of retailer to enter developing country markets: the case of tesco supermarket
url https://eprints.nottingham.ac.uk/26389/