PurposeThe main purpose of this paper is to explore the challenges that Wal‐Mart may face as it expands into the Indian retail market. Wal‐Mart's failures in Germany and South Korea are analyzed to identify learnings that could be utilized in the Indian expansion.Design/methodology/approachDunning's eclectic theory as applied to international expansion is used to analyze Wal‐Mart's advantages and disadvantages in Germany and South Korea. The theory is then applied to India to understand the possible advantages and disadvantages for Wal‐Mart in entering the Indian retail market.FindingsThe key findings of the study are that Wal‐Mart faces many ownership as well as locational disadvantages while expanding in India. These significant challenges need to be well‐understood and suitably addressed for success in the Indian market.Originality/valueThis report makes a contribution towards understanding the challenges in entering an international market using a case study. The study helps analyze international experiences can be leveraged in future plans of international expansion.
Purpose -The main purposes of this paper are to perform a micro-and macro-dimensional analysis, and to apply the theory of eclectic firm to understand the investment dimension in the apparel retail environment in India. Design/methodology/approach -A micro and micro analysis of the retail industry in India was conducted. Eclectic firm theory was then applied to the analysis to understand the apparel retail environment in India. Findings -The key findings of the study are that foreign retailers looking to successfully capitalize on India's impressive growth need to understand several driving attributes such as strong and distinct culture, population distribution, and local conditions, and risks that are indeed unique to India. Originality/value -This report makes a contribution towards a comprehensive understanding of the Indian apparel retail market. It is desirable for foreign retailers to acquire such knowledge in order to devise suitable strategies to enter and compete in the Indian marketplace. In addition, this study provides researchers to undertake more in-depth analysis of the market to explore the different facets of the attractive yet complex Indian environment.
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