4.7 Article

Strategic entry and operational integration of emerging market firms: The case of Cemex, Beko and Tata Steel in the UK

Journal

JOURNAL OF BUSINESS RESEARCH
Volume 93, Issue -, Pages 242-254

Publisher

ELSEVIER SCIENCE INC
DOI: 10.1016/j.jbusres.2018.02.024

Keywords

Emerging market multinationals; Strategic entry; Operational integration; UK

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Funding

  1. School of Management, Royal Holloway

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This paper explores strategic entry and operational integration of emerging market multinational enterprises (EMNEs) in mature markets through an analysis of Mexico's Cemex, Turkey's Beko and India's Tata Steel in the UK. The research points out that the UK entry decision is strategically associated with gaining reputation and prestige to become globally recognised brands for respective firms. Another advantage lies in their will to access high quality product and customer markets. By examining the supply chains and the use of information technology for management and control of operations we are able to trace both radical adjustments as well as incremental changes in the post entry trajectories of the selected firms. However, the findings show that slow-down in mature economies, sluggish global growth and competition from China put new pressures on EMNEs' operational ability and internationalisation ambitions.

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