| Abstract: | This research focuses on the case of international chains facingsignificant competition from domestic chains in advanced industrializedeconomies. In this article, I question the assumptions behindthe perceived, simultaneous process of globalization and retailconcentration by taking the cases of the world's two largestretailers, Wal-Mart and Carrefour, entering the Japanese marketin the early 2000s. Both retail TNCs have so far failed to meetinitial high expectations for their performance. I argue thatthere is a structural paradox inherent among retail TNCs, whichis expressed as contradictory forces between standardizationand localization. Empirical evidence is provided on how theseforces complicate retail TNCs’ front-end (store-front)and back-end (distribution) operations in the case of Japan.Emphasis is placed on the role of oligopoly in the retail sectorand how its absence affects retail TNCs’ operation inforeign markets. |
