Overseas Market Research Articles

Does capital market liberalization enhance overseas market power of investment firms? An empirical study based on Chinese multinational corporations

This study empirically analyzes the 2012–2022 data of Shanghai and Shenzhen A-share investment-oriented listed companies to determine the impact of capital market liberalization on investment firms’ overseas market power. It finds that both capital market liberalization and research and development investment enhance the overseas market power of investment firms. The impact of capital market liberalization varies based on the different ownership properties and life cycles of firms.

중국 웹소설 수출 관련 연구의 문제점 및 제언: 한·중·일 웹소설의 키워드 공유 사례를 중심으로

Research on the overseas export of Chinese web novels can be broadly divided into two streams. The first stream analyzes that the contents and platform operating systems accumulated by Chinese web novels in China are excellent enough to be directly applied abroad. The second stream suggests that Chinese web novels are being embraced as the novels of ‘Internet humans’ that transcending nationality, due to their Internet-based nature. However, the research that garners more attention from the Chinese side is the former. Even studies that refer to Chinese web novels as the novels of ‘Internet humans’ often premise the ‘superiority’ of Chinese web novels. This paper organizes the history of the overseas export of Chinese web novels and the context of related research, identifying that the ‘superiority’ of ‘Chinese contents’ or ‘Chinese systems’ created in mainland China is frequently presented as a factor in the growth of the overseas market for Chinese web novels. Furthermore, this paper argues that the growth of Chinese web novels in overseas markets is not merely due to the ‘superiority’ of Chinese contents or systems. Instead, it is attributed to the inherent characteristics of web novels, which candidly expose the desires of the users. This is evidenced by the overlap between the keywords of Chinese web novels and those of Korean and Japanese web novels.

Research on Marketing and Innovation Strategies of HEYTEA in the Overseas Market

Chinese tea culture has a long history, and on this basis, many Chinese merchants have made great achievements in product research and development and innovation. Nowadays, milk tea, a low-consumption drink, is popular all over the world. Among them, HEYTEA stands out, is well received by young groups in the Chinese market, and attracts a wide range of other consumer groups, HEYTEA has not only achieved great success in marketing, but its unique product positioning and innovative marketing strategy have also attracted many consumers.With the intensification of market competition and the trend of consumption upgrading in China, HEYTEA needs to explore new growth points. Therefore, the overseas market has become an important direction for HEYTEA’s development. This study aims to analyze HEYTEA’s marketing and innovation strategies to enter the overseas market and discusses HEYTEA’s corporate strategy. In the process, it analyzes different marketing and innovation strategies of HEYTEA in the overseas market by using macro-environment analysis tools, market segmentation, and other methods.This study also draws on the store experience of Starbucks and Blue Bottle to predict and determine HEYTEA ‘s development strategy and prospects in overseas markets, providing reference for other tea brands.

Cross-cultural differences and acculturation in affective response and sensory perception: a case study across Chinese immigrants and local consumers in New Zealand

Understanding cross-cultural variation in perception is essential for identifying culture-specific factors impacting product acceptability. While immigrants may initially maintain their preferences, acculturation levels vary. To understand to what extent immigrants can be used as a proxy to model overseas markets, this study investigated short (CHS) and long-term (CHL) Chinese immigrant responses to plain yoghurts compared to New Zealand (NZ) Europeans (E). Three groups (CHS, CHL and NZE, n = 222) evaluated liking of, emotional response to, and sensory perception of 10 plain yoghurts. Groups liked yoghurts similarly. Notably, NZE rated emotions lower than both immigrant groups, with a few exceptions. Both Chinese groups rated most emotions similarly, but CHL rated some closer to NZE. Positive emotions correlated with higher liking scores. However, cross-cultural differences existed for ‘guilty’ which was associated with yoghurts liked by NZE; and for ‘wild’ and ‘mild’ associated with yoghurts disliked by both immigrant groups. Citation proportions for some sensory attributes differed among all groups, dependent on the sample. But level of acculturation between immigrant groups was limited. Sweetness, vanilla, stone fruit and cream flavours, smoothness, and creaminess drove liking across all groups, whereas only the Chinese valued umami, undoubtedly due to positive associations with it. Some effects of acculturation for long-term immigrants were evident, but responses were often closer to their short-term counterparts. Therefore, immigrants in general provide a useful proxy for measuring consumer responses in early stages of product development for this overseas market, but with consideration of their residence time in the host culture.

Analysis of SHEIN Brand's Success in Overseas Markets Online from the Perspective of Consumer Psychology: Key Factors of Social Media Marketing

Analysis of SHEIN Brand's Success in Overseas Markets Online from the Perspective of Consumer Psychology: Key Factors of Social Media Marketing

Study on Overseas Market Strategy of Chinese E-Commerce Enterprises

Study on Overseas Market Strategy of Chinese E-Commerce Enterprises

Analyzing the Marketing Strategy of Pop Mart in Overseas Market

The rapid expansion of the Internet and the widespread spread of global businesses have both contributed to Pop Mart's decision to expand its operations into international markets. Using Pop Mart's current development state as a foundation, this research explores the possibilities for the company's future expansion and improved market position in international markets. This study fills a previously existing gap in scholarly research about Pop Mart's foreign marketing strategies. According to the findings of the study, Pop Mart possesses substantial potential for expansion in international markets. Pop Mart can leverage this potential by implementing three crucial strategies: understanding consumer psychology, prioritizing product design and innovation, and enhancing the brand's digital media promotion. In order to provide Pop Mart with important insights for its future expansion in the worldwide market, this research analyzes and makes recommendations based on three aspects that are considered to be of fundamental importance. The purpose of this study is to provide an objective analysis that helps connect researchers and scholars interested in analyzing the international market for Pop Mart.

How Does the One Belt One Road Initiative Affect the Chinese International Architecture, Engineering, and Construction Firms? Empirical Analysis Based on Propensity Score Matching and Difference-in-Differences Method

With the proposal of the “One Belt One Road (OBOR) initiative”, the Chinese architecture, engineering, and construction (AEC) industry has increasingly been exploring the overseas markets. This paper adopted the propensity score matching and difference-in-differences (PSM-DID) method to evaluate the impact of the OBOR Initiative on Chinese international contractors and consulting firms, respectively. The results shows that the OBOR Initiative significantly stimulated the overseas market development of contractors, whereas it had no positive impact on consulting firms. The results may provide comprehensive guidance for industry practitioners, policymakers, and scholars to correctly understand the different characteristics of international contractors and consulting firms, thereby formulating a targeted development strategy.

The interaction between manufacturer encroachment and gray market

With the rapid development of retail platforms, many manufacturers use retail platforms to encroach into the retail market (i.e., a type manufacturer encroachment) and gray market is increasingly prevalent in various industries. This paper considers a manufacturer who directly sells product 1 in the domestic market and sells product 2 through an incumbent retailer in the overseas market and a gray marketer can divert product 1 across markets without authorized (we call it gray market). In this paper, we examine the interaction between manufacturer encroachment and gray market. We find that when the domestic price of product 1 is sufficiently low, the gray marketer can successfully enter the overseas market without and with encroachment. Second, regardless of whether there is a gray market threat, the manufacturer has an incentive to encroach through retail platform when the commission rate is low. Moreover, the manufacturer’s incentive to encroach varies with the domestic price of product 1 and gray market threat. Finally, manufacturer encroachment can reduce the scale of the gray market and even eliminate the gray market under certain conditions. The gray marketer always suffers from manufacturer encroachment while the retailer can benefit from manufacturer encroachment.

An extended event study methodology and its application in the HNA group's overseas market contraction

This paper introduces a novel framework for analyzing the performance of cross-border merger and acquisition (M&A) activities in international business. It investigates whether the contraction of overseas market activities can mitigate financial crises, using the case study of a Chinese multinational enterprise (MNE). Traditional event study methodology, commonly used for assessing business performance changes, relies on assumptions of normality and homoscedasticity in data. However, real financial data often exhibits high volatility and non-normal distribution, rendering traditional methods inadequate for estimation. To address this limitation, we propose an enhanced analytical framework integrating the Shapiro–Wilk test, event studies, quantile regression, and nonparametric rank tests. This approach provides more robust estimates, facilitating a more accurate and comprehensive analysis of business performance changes under specific events. Applying this methodology to assess the short-term performance of HNA Group, a cross-border airline in China, during its financial crisis, we find that while overseas market contraction events generate overall positive short-term value for enterprises, the impact varies depending on the assets sold. However, given HNA Group's substantial debt burden, the positive effect is minimal, indicating that overseas market contraction alone is insufficient as a "self-help" strategy in addressing corporate financial crises.

Will the substitution policy resolve the shortage of personal protection equipment?

AbstractPersonal protective equipment (PPE) like face mask is important in managing pandemic. Typically, there exist different standards for face masks such as N95 and KN95. In response to the supply shortages of N95 mask in 2020, KN95 mask was allowed to be sold in U.S. to substitute the standard product N95. This paper considers when suppliers make products to supply both domestic and overseas markets with different product standards (i.e., the standard product for domestic/overseas market is the ordinary/high‐type product), and explore the impact of the substitution policy of allowing the ordinary product as a substitutable product in the overseas market. Analytically we prove that this substitution policy is win‐win by increasing the sales in both markets when ordinary and high‐type products are close substitutes in the presence of strong diseconomies of scale in material supply, or the high‐type product has a dominant competitive advantage in the presence of strong economies of scale in material supply. By contrast, the substitution policy is lose‐lose by decreasing the sales in both markets when the competitive advantage of the high‐type product is small in the presence of strong economies of scale in material supply. Moreover, numerical studies with the real data show the robustness of our analytical findings, and unfold the backfire of imposing export restriction on the standard product for domestic market.

Impact of RMB internationalization on China's competitiveness in financial services trade based on the VAR model: Evidence from China-US.

An increase in a currency internationalization levels can positively impact its credibility in international economic activities, and expand the effective demand and optimize the supply structure for the country's financial service trade. In this way, a state can improve its financial service trade competitiveness in the international market. This study builds a vector autoregressive model based on time-series data of China-US financial services trade from 2010 to 2021, analyzes the impact of different quantitative indicators of RMB internationalization on this trade from the impulse response results, and validates the conclusions using various inspection methods. The results show that the increase in RMB internationalization helps to narrow the China-US financial services trade balance, but with a significant lag. And this effect is heterogeneous in different dimensions, demonstrated by the fact that the development of overseas RMB securities business is more important for the level of RMB internationalization to narrow the China-US financial services trade balance. Finally, among the specific measures to improve its financial services trade, China should focus on developing the international competitiveness of the traditional RMB deposit and loan financial sector, while the competition in the overseas market for high value-added financial businesses must also not be neglected. Furthermore, China needs to implement more targeted RMB internationalization development policies at different levels in the future to provide high-quality financial services to the rest of the world and aid in the economic recovery of the world in the "post-pandemic" era.

Does Corporate Behavior Related to the Overseas Market Promote Enterprises’ Green Transformation?—Evidence from China

Does Corporate Behavior Related to the Overseas Market Promote Enterprises’ Green Transformation?—Evidence from China

Farming for the Overseas Market under the Maoist State

Farming for the Overseas Market under the Maoist State

국제화 동인이 해외시장에서의 전략과 성과 관계에 미치는 영향

Purpose - The purpose of this study is to examine the differences in overseas expansion strategies and performance for Chinese export companies according to internationalization drivers. Design/Methodology/Approach - This study conducted a questionnaire survey after deriving a research model and research hypothesis based on the research purpose presented above. We then conducted an empirical analysis based on the collected questionnaire. In the analysis process, the hypothesis was verified using multi-group analysis after verifying the reliability and validity of the measurement tool. Findings - To summarize the research results, first, it was found that companies with strong internationalization drivers have a stronger impact on management performance via global marketing strategies, strategic alliances, and levels of integration than companies with weak internationalization drivers. Second, in the case of incremental internationalization companies, companies with weak internationalization drivers had a stronger impact on management performance than companies with strong internationalization drivers. Research Implications - The implications of this study are that first, global marketing strategies have foreign costs in uncertain overseas markets, and this study found that these foreign costs can be supplemented through the combination of other strategies. In other words, this suggests that Chinese companies need to combine direct investment, such as cooperation with local partners or the establishment of overseas sales companies, in order to maximize the standardization strategy. Second, when the driving force for internationalization is weak, gradual internationalization is required. This is because the more negative the overseas market economy, the lower the risk probability through the continuous accumulation of experience.

Determinants Influencing Korean Agri- Food Companies’ Modes of Overseas Market Entry

Purpose - Faced with the constraints of a limited domestic market, the Korean agri-food industry necessitates regional diversification through the establishment of offshoring production subsidiaries. This study tests the validity of Root’s model of the determinants of offshoring and sequential entry to overseas markets on Korean agri-food companies’ offshoring of production subsidiaries. Design/Methodology – This study employs the convergent mixed-methods research design, wherein qualitative and quantitative data collection and analysis are conducted, then compared, before interpreting the data affecting Korean agri-food outward direct investment (ODI). Methodologically, based on Korean agri-food manufacturing company ODI data from the KOTRA, a survey was conducted to quantitatively analyze the factors influencing their selection of production subsidiaries for ODI. Findings – Though Korean agri-food companies also consider Root’s external factors when selecting overseas entry methods, the sequential entry route and selection model, factors theorized to influence Root’s overseas market entry method, were not found to be statistically significant. Instead, they tailor their market entry approach based on the type of investment and the operating objectives of the local subsidiary. This is attributed to Korean agri-food companies’ deviation from sequential entry routes when entering markets through ODI, as well as the determination of the form and type of investment of these overseas subsidiaries according to the purpose of their operations. Originality/value - This study distinguishes itself by employing a convergent mixed-methods design, which combines quantitative and qualitative analyses to identify the determinants of ODI market entry by Korean agri-food companies. Furthermore, it evaluates Root’s market entry model from the perspective of Korean agri-food companies.

Growth Models and Influencing Mechanisms of Total Factor Productivity in China’s National High-Tech Zones

Total factor productivity (TFP) serves as a crucial indicator of high-quality development, showcasing a region’s utilization of technological advancements and innovative strategies to enhance production efficiency. With China’s regions experiencing varying levels of development, the paths to high-quality development in NHTZs also exhibit significant disparities. Analyzing data from 88 NHTZs between 2011 and 2018, this research aims to explore differences in TFP growth models and the mechanisms influencing these models. Employing stochastic frontier analysis (SFA) and the Tobit model, the study identifies three TFP growth models: technology-led, multi-efficiency improvement, and scale efficiency compensation. While factors such as capital accumulation, overseas market participation, and patent output moderately hinder TFP growth, innovation platforms, R&D investment, and overseas talent acquisition significantly contribute to TFP enhancement. Distinguishing itself from existing TFP studies, this paper focuses on NHTZs, highlighting their role in regional high-tech industry development. It introduces three TFP growth models and their characteristics while also uncovering influencing factors for each model. This research offers valuable insights into regional disparities in high-quality development and contributes to understanding TFP growth dynamics in NHTZs.

Marketing Strategies Analysis of Li-Ning Basketball Shoes Product Line

Li-Ning, a Chinese sports brand, has gained significant market share in the basketball shoe market in recent years. Especially in the Chinese basketball shoe market, Li-Ning has become a brand comparable to big international brands such as Nike and Adidas; the rapid development of Li-Ning's basketball product line has been very successful. However, the brand still faces several challenges, such as product design, quality and sales channels. This paper analyzes Li-Ning's basketball shoe product line from a marketing perspective. It examines the brand's background, development, and current status, including the market segmentation and positioning of its products, marketing strategies, and the challenges it faces. This paper also discusses the advantages and disadvantages of Li-Ning's marketing strategies and provides suggestions for improving the brand's marketing performance, such as investing in research and development of the basketball products, developing price strategy both in China and overseas market, increasing the integration of online and offline marketing channels and expanding the brand’s retail footprint globally.

Research on the Overseas Market Development of Cultural and Creative Thermos under the Background of Cross-border E-commerce

Research on the Overseas Market Development of Cultural and Creative Thermos under the Background of Cross-border E-commerce

When Gray Markets Meet “Made in China”: The Impacts of Global Markets and Value-Added Tax Refund

Motivated by the trend that a gray market such as overseas shopping is thriving on E-commerce platforms, this paper investigates the impacts of the gray market on global supply chain management. We consider a multinational firm (MNF) that outsources product manufacturing to a contract manufacturer (CM) in China and sells products in both the China market and overseas market. Owing to the price gap between the two markets, gray firms may purchase products in the low-price market and compete with the MNF in the high-price market. We build MNF-led Stackelberg game models under the two cases where the wholesale price between the CM and MNF is exogenously given or endogenously set by the CM. We also consider the impacts of China’s partial value-added tax (VAT) refund policy and consumers’ valuation discount for gray products. Our analysis shows that the gray market emerges if the two markets are highly asymmetric in size. Moreover, the gray market is more likely to emerge with lower values of valuation discount, substitutability, and VAT loss. We find that both the MNF and CM may be better off with the emergence of the gray market. When the gray market does not emerge but poses a threat, the MNF strategically adjusts her global pricing strategy to prevent the gray market. In this case, the threat of the gray market always hurts the MNF and CM under exogenous wholesale price, but may improve the MNF’s profit under endogenous wholesale price, since the CM is motivated to lower wholesale price to restore demand.