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Words: | Submitted: Mon Jun 19 2006
... motives and internationalisation strategies of Wal-Mart and Carrefour-Promodes Motives Retailer motives for internationalisation can essentially be divided into two categories; push and pull factors (McGoldrick, 1995). Over the course of expansion, both Wal-Mart and Carrefour experienced common and different factors, to varying degrees that motivated which countries were targeted. The initial moves abroad of the two companies were based on one distinguishing push factor, saturation in their respective domestic markets. This factor encouraged internationalisation and made it imperative to expand if either of the companies were to sustain growth within the market and meet the demands of shareholders. (McGoldrick, 1995; Rocha & Dib, 2002). However, the method with which this saturation occurred differs between the two. For Wal-Mart, saturation in the US market was mainly due to the fact that they already served the most desirable areas of the market with 2000 plus units (Frazier, 1998). Carrefour, on the other hand, was ...
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