Understanding Western Fast-Food Chains' Internationalization in Chinese market: A Co-evolutionary Perspective
Author
Butiskyte, Laura
Term
4. Term
Publication year
2015
Submitted on
2015-06-08
Abstract
This master’s thesis examines how Western fast‑food chains have internationalized in China through a co‑evolutionary lens, focusing on KFC and McDonald’s since the sector’s modernization in the late 1980s. It asks why and how these firms entered the Chinese market, how their internationalization activities changed over time, and how the evolution of China’s fast‑food industry and the firms’ internal resources and capabilities shaped those paths—and were in turn shaped by them. The study combines a review of literature on internationalization and co‑evolution with a case study that outlines the industry life cycle in China, traces each company’s entry and expansion (with KFC’s first move in 1987 followed by McDonald’s), and describes their existing and acquired resources, capabilities, and dynamic capabilities. Drawing on industry life‑cycle theory and the idea that resources and capabilities also evolve, it discusses the interaction between strategy, resources, and industry conditions. Based on the material presented, the thesis concludes that a co‑evolutionary relationship is evident: the internationalization of KFC and McDonald’s in China progressed in tandem with shifts in the industry and changes in the firms’ resource bases.
Denne kandidatafhandling undersøger, hvordan vestlige fastfoodkæder har internationaliseret i Kina ud fra et co‑evolutionært perspektiv med fokus på KFC og McDonald’s siden branchens modernisering i slutningen af 1980’erne. Afhandlingen spørger, hvorfor og hvordan disse virksomheder gik ind på det kinesiske marked, hvordan deres internationaliseringsaktiviteter har ændret sig over tid, samt hvordan udviklingen i den kinesiske fastfoodbranche og virksomhedernes interne ressourcer og kompetencer har påvirket disse forløb – og omvendt. Studiet kombinerer en litteraturgennemgang af internationalisering og co‑evolution med et casestudie, der skitserer branchens livscyklus i Kina, beskriver begge virksomheders indtræden og ekspansion (KFC som førstetrækker i 1987 efterfulgt af McDonald’s) og kortlægger deres eksisterende og erhvervede ressourcer, kompetencer og dynamiske kapabiliteter. Med udgangspunkt i industrilivscyklusteori og antagelsen om, at ressourcer og kompetencer også udvikler sig over tid, diskuteres samspillet mellem strategi, ressourcer og brancheforhold. På baggrund af det præsenterede materiale konkluderes, at der er en co‑evolutionær sammenhæng: KFC’s og McDonald’s internationalisering i Kina udviklede sig i takt med ændringer i branchen og i virksomhedernes ressourcebaser.
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