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these business models, they will need to enter a phase of fine-tuning which will entail managing the complexities and organisational change involved. Many companies opt for their own branded websites selling


direct to consumers, and others take the marketplace route for speed – as shown by the number of British brands on TMall in China. A disadvantage is that retailers and brands on TMall all look the same and lack differentiation. Marketplaces demonstrate price sensitivity, which currently characterises the Chinese e-commerce shopper, but this is predicted to gradually give way as the market matures to a more sophisticated multi-channel paradigm based on consumer convenience and rich lifestyle. Retailers can use both these channels and more to succeed


internationally, but the choice used should always be in line with their target market, segment and brand. Tesco was an early adopter of multiple multi-channel business


models in the domestic market, spanning online, catalogues, white label, affiliates, direct and marketplace. It began selling internationally as early as 2002. In South Korea, it recognised the need to partner with a strong local brand, in this case Samsung. Its


fashion line F&F also has stand-alone shops in over 20 countries with various franchise partners. M&S started selling in China on TMall, armed with knowledge


of shopping culture and how British brands were perceived in the country. Even with meticulous planning, challenges still exist in various


degrees due to local and cultural differences. One illustration of this is Best Buy, which entered China with a US management approach. It used its own expertise to provide customer support, but soon realised that Chinese consumers preferred to receive information direct from manufacturers. Best Buy has recently decided to exit China, but the point stands. Internationally speaking, fashion brands Aldo, H&M and Zara


have achieved a great deal expanding their store numbers while staying true to the multi-channel vision. However, online only retailers face fewer hurdles in terms of streamlined processes. Te number of international retailers now trading in the


UK further highlights the global platform available to reach consumers. Get the model right, there are vast opportunities for growth.


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