Retail Internationalization Theory Salmon and Tordjman’s

Classification (1989)PRESENTED BY: GROUP NUMBER 3

ANSHUL BHARDWAJ 15RM903LALITHASRI P 15RM914RAHUL GUPTA 15RM924

SAUMYA SAXENA 15RM936UDAY BHAN SINGH 15RM946

Background

Hollander (1970)Fundamentals

of International

RetailingPurpose of

International Retailers

Treadgold (1988)

Entry Strategy

Geographical Presence

Strategic Perspective

The need to adapt to local conditions.

The ability or lack of ability of organization to transfer its operations to another market.

The operational advantages of maintaining a common approach in all markets.

Retail Strategies

Global

• Replicated retail formula in all markets around the world.

• Standardization of marketing mix.

• Centralized management• Economies of scale

Multinational

• Retail formula adapted to local conditions

• Marketing mix adapted to local conditions

• Decentralised management• Limited economies of scale

Investment

• Existing company purchased in non-domestic market

• Portfolio of non domestic investment• Low risk• Isolated development• Limited communication

Examples

GlobalBenettonLaura AshleyIkeaMcDonalds

MultinationalC&APrintempsCarrefourAuchanPromodesDocks de France

InvestmentLactalis & Tirumala

Scope and Limitation

Scope Facilitate Innovation Cross-organizational learning Benefits across markets through

integration of marketing efforts.

Limitation Monoculture No deep insight

Alexander Comparative Study

Alexander’s Comparitive Analysis

Treadgold:Aggressive Internationalists/World Powers

Treadgold:Cautious & Emboldened Internationalists

Salmon & Trodjman:Global

BenettonLaura AshleyIkeaMcDonalds

Marks & Spencer

Salmon & Trodjman:Multinational

C&APrintempsCarrefourAuchanPromodesDocks de France