Market Entry Strategy In China

As a Norwegian who has been studying in Hong Kong and Shanghai for more than two years,I wish to argue for the importance of the Chinese consumer market and the opportunities for Norwegian retailers in the Chinese e-commerce market.The purpose of this research is to gain a better understanding of the most commonly used internationalization theories and how they impact the internationalization of an enterprise when it has chosen e-commerce as its entry mode.I will analyze three of the most commonly used theories and apply them to the cases in this thesis.I will also look at the different internationalization methods used and analyze the different experiences the case companies have gained.The aim and focus of this study is not to test any existing theoretical frameworks or models in the context of internationalization,rather applying these theories to the case companies exploring if and how they apply in the context of each individual case.The empirical section of this study is based on a qualitative interview-based multiple case study of four Norwegian companies that are on different stages of establishing themselves in the Chinese e-commerce market.The interviews have been conducted both in person one-to-one interviews and by electronic channels such as e-mail and skype.This research show that the main and most important motivation for Norwegian companies to internationalize towards China is proactive with “profit and growth goals” as well as “managerial urge” and the perception that each individual company has unique products that has a competitive advantage in the Chinese market.Earlier research has concluded that Norwegian companies in general looking to internationalize find bureaucracy in terms of long administrative procedures,intense competition in the foreign markets and inaccessible market information as the main barriers to enter foreign markets.Findings from this research reveals that in addition to those prior mentioned;market complexity,cultural and language differences and trust towards the bilateral and multilateral relations between Norway and China are the entry barriers.