Regional Multinationals: Evidence from Wal-Mart’s Withdrawal from the South Korean Market11

• 발행기관: 동아시아경상학회
• 저자명: Se-Yeon AHN
• 간행물 정보: 『East Asian Journal of Business Economics』Vol.9 No.1, 53~61쪽, 전체 9쪽
• 주제분류: 경제경영 > 경제학
• 파일형태: PDF
• 발행일자: 2021.03.31

영문 초록

Purpose – This study aims to understand the phenomenon called “regional multinational” in the geographical expansion of multinational enterprises and to find some evidence whether globalization of multinational enterprises tends to have a strong home region bias. Research design, data, and methodology – Through an in-depth case analysis, we analyze the series of strategic behaviors Wal-Mart made in South Korea from its entry in 1998 to its withdrawal in 2006. Then, we discuss the plausible causes of this exit, seeking to provide some evidence on the “regional multinational” phenomenon. Result – This study finds some evidence on the regional-based expansion of multinational enterprises. Our case study shows that Wal-Mart in South Korea focused on global standardization strategy and made an exit from the market as they were faced with increasing localization demands. From the perspective of multinational enterprises’ globalization strategy, Wal-Mart’s exit from the South Korean market can be considered as a strategic exit. Conclusion – The findings of this study suggest that while national responsiveness and localized adaptation are considered as a panacea for penetrating international markets, in reality most multinational enterprises attempt to add value primarily by capitalizing on similarities across markets and remain as regional multinationals.

목차

1. Introduction

2. Theoretical Background

3. Methodology

4. Analysis and Findings

5. Conclusion

키워드

Regional Multinational Firm Specific Advantages Liability of Foreignness Localization Strategy Global Integration Strategy