Advances in Economics, Management and Political Sciences
- The Open Access Proceedings Series for Conferences
Proceedings of the 7th International Conference on Economic Management and Green Development
Series Vol. 32 , 10 November 2023
Open
Access | Article
A Comparative Analysis of Standardized Inputs and Adaptation Innovation Strategies of Aeon Group and IKEA
* Author to whom correspondence should be addressed.
Abstract
Aeon Group and IKEA, as the first foreign retail enterprises to enter the Chinese market, entered the market with the innovative competitive advantages of “standardized” business modes. Finally, a “re-standardized” business model was formed, and the chain expansion was developed. This paper studies and analyzes the development process of their localization explorations so as to explore effective ways for multinational companies to carry out long-term development of localization in China. The author summarizes and compares their respective development paths through a thorough SWOT analysis of IKEA and Aeon. Similarities lies in many aspects of these two companies, such as brand building, cooperation with locals, marketing strategies and so on. However, differences can be seen mainly through their respective ways to solve the problems due to their own existing circumstances which obeys their backgrounds. In general, both experienced standardized inputs and innovation strategies on adaptions in accordance with local policy, marketing circumstances, customer preferences and other factors are essential to these enterprises and a brand-new localized strategy is needed.
Keywords
IKEA, aeon, multinational companies, standardization, SWOT
References
1. Chen, Liping. A Study on Interactive Mechanism of Marketing Standardization and Adaption in Retail Internationalization. Research on Economics and Management, 12, 109-118. 2010.
2. Baek Jungyim. The process of the local adaptation of the global retailer and its step by step analysis — the case of toys “us” and carrefour’s expansion into Japan, Journal of marketing&distribution, 6(2), p.35-51. 2003-09.
3. Masayuki Furusawa, Chris Brewster. Japanese self‐initiated expatriates as boundary spanners in Chinese subsidiaries of Japanese MNEs: Antecedents, social capital, and HRM practices [J]. Thunderbird International Business Review. Volume 60, Issue 6. pp. 911-919. 2018.
4. Song Yin, Yao Jianfeng. The Localization of Human Resource Management of Multinational Enterprise: A Case Study Based on General Management (China), Human Resources Development of China, (24), 19-24+30. 2015.
5. Takeshi Hoshida. AEON Group’s International Strategy. The Development of AEON’s Asia Business Based upon Marketing Capacity, Journal of Japan Academy for Asian Market Economies, Volume 24, Issue 0. p81-89. 2021.
6. IKEA. https://about.ikea.com/en/about-us
7. AEON. https://www.aeonchina.com.cn
8. Bao Zhenshan. Research on Multinational Retail Enterprises’ Standardization Input and Localization Evolution Path in China-Taking AEON as an Example, Study and Exploration, 2020.
9. Fan Xiucheng, Leng Yan. Loyalty factor method of brand value evaluation, SCIENTIFIC MANAGEMENT RESEARCH, (05), p50-56. 2000
10. INTERBRAND. http://www.interbrand.com
11. Lu Yan. Ikea China Development — Trade-off between standardization and localization, North Economy, (10), p49-51. 2011.
Data Availability
The datasets used and/or analyzed during the current study will be available from the authors upon reasonable request.
This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License. Authors who publish this series agree to the following terms:
1. Authors retain copyright and grant the series right of first publication with the work simultaneously licensed under a Creative Commons Attribution License that allows others to share the work with an acknowledgment of the work's authorship and initial publication in this series.
2. Authors are able to enter into separate, additional contractual arrangements for the non-exclusive distribution of the series's published version of the work (e.g., post it to an institutional repository or publish it in a book), with an acknowledgment of its initial publication in this series.
3. Authors are permitted and encouraged to post their work online (e.g., in institutional repositories or on their website) prior to and during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work (See Open Access Instruction).
- Volume Title
- Proceedings of the 7th International Conference on Economic Management and Green Development
- ISBN (Print)
- 978-1-83558-085-1
- ISBN (Online)
- 978-1-83558-086-8
- Published Date
- 10 November 2023
- Series
- Advances in Economics, Management and Political Sciences
- ISSN (Print)
- 2754-1169
- ISSN (Online)
- 2754-1177
- DOI
- 10.54254/2754-1169/32/20231571
- Copyright
- 10 November 2023
- Open Access
- This article is an open access article distributed under the terms and conditions of the Creative Commons Attribution (CC BY) license, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited