Revisiting the psychic distance paradox: international retailing in China in the long run (1840-2005

This paper uses original research on the roles played by two sets of foreign entrants into Chinese retailing since the 1850s - the overseas Chinese entrants and western entrants - to explore the psychic distance paradox over the long run. It explains how the advantages of psychic closeness in Chinese retailing have always been important in reducing entry barriers, but that the increasing costs of technology have increased the significance of firm proprietary strengths in some formats, notably supermarkets, so reducing the relative importance of psychic closeness. The paper therefore illustrates how taking the long-term perspective enables more sophisticated conclusions to emerge. A cross sectional analysis of one sector – Chinese supermarkets – would confirm the psychic distance paradox; overseas Chinese have been unable to translate psychic closeness into superior performance. By contrast their historic performance in department stores and more recently in fashion chains has been superior to the format leaders. This long term perspective therefore suggests that the understanding of the psychic distance paradox needs to be moderated by additional conceptualisation.Psychic Distance, China, International Retailing, Internationalisation Process

From Supply Chains to Total Product Systems

The evolution of supply chain management and practice has had an integral and expanding role in contemporary global economic and socio-political change over the past 25 years or so. Thi srole is moving closer to centre stage with the emergence of business models equating to 'total product systems'. The impacts of advanced supply chain practice include driving fundamental changes in approach to product design, the concept of 'product', production methods, distribution, marketing, aftermarket support and end-of-life (EOL) reprocessing. Viewed in their full context, methods in supply chain management (SCM) have major influences on societal functioning and on economic development at global, national and local levels. Even the supply chains for simple products can involve several different industries and link many companies, large and small. Those for complex products may span several technological domains and economic sectors, linking hundreds or sometimes thousands of companies

Technological change and the productivity paradox: The management of new technologies in UK retail banks

This thesis was submitted for the degree of Doctor of Philosophy and awarded by Brunel University.Successful implementation of new technologies is necessary for survival in today's increasingly competitive banking environment. The banking sector is now the UK's largest investor in new technology. As a result of de-regulation and new technological opportunities, the dominant market position of the traditional banks is under threat from new market entrants. Such organisations are harnessing the latest technology to develop their services, and are not constrained by the costs of running national branch networks and integrating a diverse historical legacy of incompatible computer systems. This thesis addresses the question of why the massive investment by UK retail banks in information technology is not being translated into significant productivity gains. The issue is referred to in the literature as the IT productivity paradox. It will be argued that the importance of the banks to the economy as a whole, and the position of the industry as the UK's largest investor in new technology, make it a particularly suitable arena in which to study this phenomenon. Six empirical case studies of recent new technology projects are analysed by the development of grounded theory. The findings indicate that dysfunctional organisational structures and cultures, together with poor management of expertise, combine to sabotage change and constrain the potential of new technology projects. Most significantly, a lack of organisational learning is contributing to the paradox. Even successful projects had limited impact because the lessons learned were not disseminated throughout the organisation. The study concludes that the full potential offered by information technology will continue to elude the banks until their apparently complacent attitude towards organisational change is addressed

The success of luxury brands in Japan and their uncertain future

The Japanese are the world?s largest individual consumers of luxury brands and form the second largest market for luxury goods after the US. The Japanese were the driving force behind the exponential growth of the European luxury industry and the resulting ?democratization of luxury?. This concept of giving everyone access to luxury branded goods is a paradox because it abandons the exclusivity that was the original basis of the European luxury industry in the hands of skilled designers and craftsmen. By making luxury branded goods widely accessible to most consumers they run a major risk of becoming simply too ?common?. The 2007-8 economic crisis adversely affected the luxury market, producing a general backlash against ?conspicuous consumption?. In Japan, as in most countries in the world, the crisis reduced consumers? discretionary spending, but in addition it also accelerated the fundamental shift in the attitude and behavior of Japanese luxury consumers.Japanese consumers of luxury brands, Japan the largest luxury market in the world, conspicuous consumption, democratization of luxury, luxury brands as status symbols, luxury brands as badges of economic success, parasite singles

Regulatory reform and market opening in Japan

This paper examines the nature of Japanese regulation, its effect on international trade, and the reasons for the slow progress of deregulation. It argues that theinformal and discretionary power of the Japanese bureaucracy, combined with acontinued protectionist, pro-producer, and pro-insider bias to the manipulation of the regulatory system, continues to maintain high prices and discourage imports into Japanese markets. The paper also argues that Japans weak anti-trust enforcementallows cartels to play an important role in regulating Japanese markets, particularly inindustries such as steel and chemicals. While liberal initiatives have introduced some important regulatory reforms, they have not fundamentally transformed the Japanese regulatory system because neither business nor the bureaucracy genuinely wantdrastic reform or free-wheeling markets. Liberal reformist measures in Japan are animportant corrective and supplement to mercantilist policy, but are not likely tofundamentally transform Japans political-economic system -- In dieser Studie werden Konzept und Realisierung der japanischen Regulationspraxis analysiert sowie ihre Auswirkungen auf den internationalen Handel und die Ursachen für den langsamen Fortschritt bei der Deregulation. Dabeiwird die Meinung vertreten, daß als Folge der informellen Macht der japanischenBürokratie mit ihrem großen Ermessensspielraum, kombiniert mit der fortdauernden protektionistischen, Unternehmer- und Insiderfreundlichen Grundeinstellung zur Beeinflussung des regulatorischen Systems, sowohl hohe Preise als auch die Abschottung der japanischen Märkte vor Importen aufrechterhalten werden.Außerdem ist zu berücksichtigen, daß die nur schwach entwickelte japanische Anti-Trust-Politik den Kartellen die Möglichkeit gibt, eine einflußreiche Rolle bei derRegulierung der Märkte zu spielen, vor allem in der Stahl- und Chemiebranche. Auchwenn einige Liberalisierungsinitiativen durchaus erkennbare regulatorische Reformen gebracht haben, so haben sie doch nicht das japanische regulatorische System in seiner prinzipiellen Wirkungsweise verändert. Weder die Unternehmen noch die Bürokratie wollen eine wirklich durchgreifende Reform oder freie Märkte. Liberale Reformmaßnahmen in Japan sind wichtig als Korrektiv und Ergänzung der merkantilistischen Politik, aber es ist unwahrscheinlich, daß sie Japans politikökonomisches System verändern.

Managerial Perceptions of Firms’ Corporate Sustainability Strategies: Insights from Croatia

Although corporate social responsibility (CSR) has gained increasing academic attention, we lack a solid understanding of how managerial perceptions underpin firms’ sustainability practices. This study interprets and sheds light on managers’ perceptions of sustainability activities under various stakeholder domains in Croatia through a multi-theoretical approach. Using 21 semi-structured interviews with managers, the study reveals that sustainability activities in the research context tend to focus more on environmental issues and customer service, as well as employees and supplier domains. The study further establishes three distinct levels of sustainability commitments by firms. These stages include sustainability as a minimal response, corporate culture-driven, and committed response. These findings, as a whole, are insightful and enable us to advance research on sustainability by elucidating how managerial perceptions underpin firms’ strategic sustainability activities. The contributions to theory and practice are also discussed

The Impact of Foreign Direct Investment in Japan: Case Studies of the Automobile, Finance, and Health Care Industries

Having historically received very little foreign direct investment, Japan has experienced a substantial increase in such inflows in recent years. This paper analyzes the impact of the growing presence of foreign firms on the Japanese economy through detailed case studies on the automobile, finance, and health care industries. The wholesale & retail and the telecommunications sector are also briefly examined. The case studies show that in the sectors considered, foreign firms in one way or another are contributing to a greater degree of competition, are exposing domestic firms to global best practice, and are increasing the range of products and services available in Japan. In many of the sectors, they are also contributing to changes in industry structure and employment practices. The case studies thus illustrate that foreign direct investment - even at its present levels, which, although large by Japanese standards, are still low in international comparison - can be an important catalyst for change and hence help to reinvigorate the Japanese economy.

Coevolutionary Competence in the Realm of Corporate Longevity: How Long-lived Firms Strategically Renew Themselves

Understanding the phenomena of corporate longevity and self-renewing organizations has become an important topic in recent management literature. However, the majority of the research contributions focus on internal determinants of longevity and self-renewal. Using a co-evolutionary framework, the purpose of this paper is to address the dynamic interaction between organizations and environments in the realm of sustained strategic renewal, i.e. corporate longevity. To this end, we will focus on the competence of long-lived firms to coevolve due to the joint effect of managerial intentionality and environmental selection pressures. Building on coevolutionary framework, we develop a conceptual framework that highlights an organization’s coevolutionary competence. Two longitudinal case studies are presented illustrating the arguments.strategic renewal;corporate longevity;competence-based management;adaptive open systems;coevolutionary competence

Organisational learning through international assignment in Japanese overseas companies

Existing literature on expatriate managers tends to focus on their adjustment from the point of view of individual well-being. This paper, in pointing out that international assignments are an opportunity to internationalise the company through a learning process, has a different emphasis. Japanese companies tend to employ many Japanese expatriate managers in overseas locations. The development of cross-cultural adaptation among expatriate Japanese managers in two retail subsidiary companies in Hong Kong was studied. In both companies, the expatriates learned reactively rather than proactively, involving either zero or single-loop organisational learning ensued for the parent company. The reactive learning approach stemmed from expatriates perceiving their career prospects related more to events back at the parent company than to the success or failure of the local subsidiary, and that it might be harmful to their career if they internationalise themselves during the overseas assignment

Resolving The Structural Paradox of Retail Transnational Corporations: A Case Study of Walmart in Latin America

This research focuses on the structural paradox of retail transnational corporations through a case study of Walmart in Latin America. The structural paradox is defined as the struggle to find a successful balance between localization and standardization efforts. Through the analysis of the failures and successes of Walmart in Latin America and supplemental examples of Walmart in other markets, I argue that intense localization efforts in areas with direct customer contact (front-end operations), as well as in areas without direct customer contact, like management and planning (back-end operations), are necessary in order to be successful in international markets