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The process of internationalization: how Swedish food retailers perceive their domestic supplier relationships

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Abstract:

This paper focuses on how retailer–manufacturer relationships are influenced by the process of internationalization. Empirically, we study the Swedish food sector. It has previously been domestically oriented and concentrated. As Sweden joined the EU in 1995, however, a lot of entry barriers have disappeared and Swedish food retailers have been given new purchasing opportunities. We investigate how these changes have affected the retailers' relationships with their suppliers.Theoretically the paper is based on a network perspective and resource dependence theory.It develops and tests a set of hypotheses on howa retailer's relationships to its domestic suppliers will change when it gets a greater access to foreign products and suppliers, using a survey of 621 Swedish food retailers. Among other things, the study reveals that while being prepared to buy fewer products from Swedish manufacturers, the retailers still consider it very important to co-operate on a long-term basis with domestic suppliers.

Keywords: FOOD CHAIN; INTERNATIONALIZATION; MANUFACTURER-RETAILER RELATIONSHIPS; NETWORKS

Document Type: Research Article

DOI: https://doi.org/10.1080/09593960050138903

Publication date: 2000-10-01

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