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A Case Study on Joint Overseas Expansion of Home Shopping Firm and Consumer Goods SMEs  

Yang, Heesoon (The Research Institute for Human Life Sciences, Sungkyunkwan University)
Jeong, So Won (Clothing and Textiles, Sangmyung University)
Chung, Jae-Eun (Consumer and Family Sciences, Sungkyunkwan University)
Publication Information
Asia-Pacific Journal of Business Venturing and Entrepreneurship / v.13, no.3, 2018 , pp. 153-165 More about this Journal
Abstract
There must be a balanced development of both conglomerates and small and mid-sized companies in order to secure constant economic growth and competitive edge of South Korea. Accordingly, high expectations are being placed on win-win growth and joint overseas expansion of conglomerates and small and mid-sized companies. This study seeks efficient ways to promote joint overseas expansion of major retailers and small and mid-sized companies considering the distinctiveness of home shopping by conducting interviews about joint overseas expansion of home shopping companies and small and mid-sized consumer goods companies in South Korea. To do this, interviews were conducted with three home shopping companies and three consumer goods SMEs operating in overseas markets. The results are as follows. Home shopping companies contribute to opening up overseas markets for small and mid-sized consumer goods companies, and allows them to make use of business and marketing competencies that they lack. Home shopping companies also produce visual materials or provide language translations, and help draw up documents for customs clearance in trading. They also form market development teams and provide information about the overseas markets. However, since the actual benefits from joint overseas expansion are minor for home shopping companies, there is a need for a strategy for win-win growth of both parties in the long run. To this end, it is necessary to provide substantial benefits to encourage joint overseas expansion. Ultimately, balanced development between home shopping companies and small- and medium-sized consumer goods companies should be promoted.
Keywords
Home shopping firm; consumer goods SME; Joint overseas expansion; Network theory;
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Times Cited By KSCI : 4  (Citation Analysis)
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