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Food retail buyer behaviour in the People's Republic of China: a grounded theory model

Food retail buyer behaviour in the People's Republic of China: a grounded theory model Purpose – Seeks to summarize relevant literature reporting on western research and to use a grounded theory approach to form the model. Also to develop a Chinese retailer new product decision process model. And consider unique aspects of Chinese culture and the ongoing economic transitions. Design/methodology/approach – Foreign producers have little knowledge about the internal operations of China's chain stores. As China's markets open to the world, an understanding of the ways in which retailers and suppliers interact in China – especially the ways in which they make product selection decisions – will be crucial to companies expanding into this area of the world. Findings – Results are presented from in‐depth interviews with retail food buyers in China. Interviews were conducted during 1999‐2000 in Shanghai and Beijing. The interview data are used to develop a model of buyer‐seller relationships that lends itself to a better understanding of the complexities – cultural and market‐related – of retailer‐supplier relationships in China. Research limitations/implications – Since, China is a vast country this study forms a small part of the process in understanding its buyer‐seller interactions. Practical implications – The literature, including grounded theory and the research undertaken with the sample of respondents highlight the potential gains from understanding the nature of Guanxi and the culture of China. Managerial implications are discussed. Originality/value – The study investigated buyer‐seller relationships within the Chinese market. When Chinese food retailers make decisions on new product acceptance, their criteria are similar to those of food retailers reported in research focused on western society. Supplier role performance, price, trade assistance, and relationship with supplier are primary considerations; these criteria support results from western literature. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Qualitative Market Research: An International Journal Emerald Publishing

Food retail buyer behaviour in the People's Republic of China: a grounded theory model

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Publisher
Emerald Publishing
Copyright
Copyright © 2006 Emerald Group Publishing Limited. All rights reserved.
ISSN
1352-2752
DOI
10.1108/13522750610671671
Publisher site
See Article on Publisher Site

Abstract

Purpose – Seeks to summarize relevant literature reporting on western research and to use a grounded theory approach to form the model. Also to develop a Chinese retailer new product decision process model. And consider unique aspects of Chinese culture and the ongoing economic transitions. Design/methodology/approach – Foreign producers have little knowledge about the internal operations of China's chain stores. As China's markets open to the world, an understanding of the ways in which retailers and suppliers interact in China – especially the ways in which they make product selection decisions – will be crucial to companies expanding into this area of the world. Findings – Results are presented from in‐depth interviews with retail food buyers in China. Interviews were conducted during 1999‐2000 in Shanghai and Beijing. The interview data are used to develop a model of buyer‐seller relationships that lends itself to a better understanding of the complexities – cultural and market‐related – of retailer‐supplier relationships in China. Research limitations/implications – Since, China is a vast country this study forms a small part of the process in understanding its buyer‐seller interactions. Practical implications – The literature, including grounded theory and the research undertaken with the sample of respondents highlight the potential gains from understanding the nature of Guanxi and the culture of China. Managerial implications are discussed. Originality/value – The study investigated buyer‐seller relationships within the Chinese market. When Chinese food retailers make decisions on new product acceptance, their criteria are similar to those of food retailers reported in research focused on western society. Supplier role performance, price, trade assistance, and relationship with supplier are primary considerations; these criteria support results from western literature.

Journal

Qualitative Market Research: An International JournalEmerald Publishing

Published: Jul 1, 2006

Keywords: Buyers; China; Distribution; Food industry; Retailers; Supermarkets

References