Académique Documents
Professionnel Documents
Culture Documents
To cite this article: Vertica Bhardwaj , Megan Eickman & Rodney C. Runyan (2011) A case study
on the internationalization process of a born-global fashion retailer, The International Review of
Retail, Distribution and Consumer Research, 21:3, 293-307, DOI: 10.1080/09593969.2011.578804
To link to this article: http://dx.doi.org/10.1080/09593969.2011.578804
systematic supply, or distribution in any form to anyone is expressly forbidden. Terms &
Conditions of access and use can be found at http://www.tandfonline.com/page/termsand-conditions
Division of Textiles and Apparel, The University of Texas-Austin, 200 W, 24th Gearing Hall,
1 University Station, A2700 Austin, TX 78712, USA; bDepartment of Retailing, University of
South Carolina, Columbia, SC 29229, USA; cRetail and Consumer Sciences, The University of
Tennessee, 245 Jessie Harris Building, 1215 W. Cumberland Ave., Knoxville,
TN 37996-1911, USA
(Received 8 February 2010; nal version received 20 December 2010)
This case study on Zara elucidates the expansion strategies used by both bornglobal and gradual global fast-fashion retailers based on theories of internationalization. Aspects related to knowledge sharing, resource-based theory, and
psychic distance are overlaid with Zaras internationalization strategies to
advance understanding of the role fashion plays in dynamic internationalization.
Zara employs a high-risk, high-reward model of internationalization to defend its
unique merchandise and retail position by remaining completely vertical. Zaras
born-global expansion strategy engendered a psychic distance paradox in that it
was very successful in distant markets early on. It is proposed that fashion
retailers may take note of Zaras success through the proposed dynamic strategic
planning process for expansion in international markets. Researchers can test the
proposed framework empirically to investigate the theoretical constructs for both
gradual- and born-global rms.
Keywords: fashion; dynamic strategic planning; internationalization
The fashion apparel industry has evolved greatly over the past decades due to the
expansion of boundaries across the world (Djelic and Ainamo 1999). Among the
various reasons in changing the dynamics of the fashion industry are: fading of mass
production, modied structural characteristics in the supply chain, desire for low
cost and exibility in design, quality, delivery, and speed to market (Doyle, Moore,
and Morgan 2006). This indicates that fashion retailers can gain a competitive edge
in the market by ensuring speed to market with their ability to provide fashion trends
rapidly to the consumers, resulting in adoption of quick fashion to reduce the time
gap between designing and consumption on a seasonal basis (Taplin 1999). Retailers
who practice quick fashion utilize inventory turns much higher than the average
clothing retailer, getting in and out of styles quickly and protably.
Similar to the concept of quick response, fast fashion has been dened as a
business strategy that aims to shrink the processes involved in the buying cycle and
lead times for getting new fashion product into stores, in order to satisfy consumer
demand at its peak (Barnes and Lea-Greenwood 2006). In addition, fast-fashion
294
V. Bhardwaj et al.
295
may take note of Zaras success through the proposed dynamic strategic planning
process for expansion in international markets. This study also provides future
implications to researchers who can test the proposed explanatory framework
empirically to investigate dierences between gradual and born-global rms based
on theoretical constructs.
The explanatory framework seeks to acknowledge the dierences in the
internationalization process, between the two types of retailers discussed above. This
study also analyzes whether or not the theories on retail internationalization (e.g.,
knowledge sharing, resource-based view, and psychic distance) are applicable for bornglobal retailers (e.g. Zara) as they are to gradual-global retailers (e.g., H&M, GAP).
Hereafter, dierences in key aspects of internationalization are explored based on the
extant literature and implications for rms are discussed further.
Gradual-global versus born-global phenomenon
The traditional and most frequently utilized approach to retail internationalization
includes the Stages model, often known as the Uppsala Model proposed by
Johanson and Vahlne (1977a, 1977b). Based on this traditional method, rms learn
and gain knowledge about a specic market with time and experience in dierent
stages of the process. As the rms gain knowledge, their level of commitment to
invest in more resources increases, though it is a gradual and incremental process
(Jonsson 2008). This can be termed as a gradual global process. Firms that
internationalize utilizing this strategy, emphasize having a strong base in the home
market before trading internationally (Chetty and Hunt 2004). This implies that the
Uppsala model is based on time and experience, which impact the internationalization process. Retail rms that exemplify this model would include Carrefour, Marks
& Spencer, and the GAP. There has been some criticism in the literature on this
traditional concept of internationalization, as many retailers skip stages in posed in
the Uppsala model and directly expand across international markets. These rms are
what Knight and Cavusgill (1996) refer to as born-global.
This new phenomenon emphasizes early and rapid internationalization by highly
committed and technology-intensive retailers (Bell, McNaughton, and Young 2001).
These scholars also assert that retailers who have the ability to oer niche or
specialized products adding value to the market tend to expand their operations in
various geographic locations more rapidly to achieve rst mover advantage. Rapid
internationalization also minimizes the relevance of psychic distance, compared to
traditional retail expansion in foreign markets, which is based on the geographic and
cultural distance from the home market (Chetty and Hunt 2004). Building upon their
discussion of categorization of rms based on extent of internationalization, the
current study highlights the theoretical dierences between gradual global and bornglobal as depicted in Table 1. The dierences noted in Table 1 are based on relevant
theories of internationalization for both traditional (incremental) expansion in
foreign markets as well as the emerging concept of being global from inception or
within 35 years of establishment.
Internationalization as a process
Based on the literature, internationalization can be explained as a process to increase
a rms involvement in international operations. More specically, this process must
296
Table 1.
V. Bhardwaj et al.
Internationalization theories and Zara.
Theory
Knowledge-sharing and
entry-mode
Resource-based
Psychic distance
Fully integrated
Consider its marketplace as
homogenous throughout the
world and keep the products
standardized
Maintain long-term
relationships and networks
with intermediaries that
have experiential knowledge
instead of waiting to
accumulate the knowledge
themselves
Emphasize that psychic
distance is irrelevant for
internationalization
Traditional or gradual
global rm
Perceives domestic
market as a strong
support for
internationalization
process as it helps in
nancial stability
Aversion to take risks
and lack of knowledge
results in slow nature
of learning process
Asserts commit through
incremental steps to
gradually build on
experience and gain
knowledge about
foreign markets
Partially integrated
Considers its
marketplace as
heterogeneous and
may develop
customized products
based on target
location
Maintain short-term
relationships in early
stages of
internationalization
and accumulate
knowledge with time
and experience
Assume that the rms
enter new markets as
a function of the
psychic distance to the
rms prior experience
include a rational planning perspective that can help the rm make strategic
decisions to improve performance (Anderson 2000). This indicates that rms
internationalize their operations based on development of strategies that support
their predened long-term goals, and achieve improved performance. In a similar
attempt, we propose a framework of strategic planning process for fast-fashion
retailers that internationalize across borders based on time taken to operationalize
their business. Specically, the proposed innovative framework (as shown in
Figure 1) depicts the internationalization trends for both gradual global and bornglobal fast-fashion retailers based on time factor. The proposed framework
delineates and systematizes research focusing on the born-global process of
Figure 1.
297
298
V. Bhardwaj et al.
local market or enter both international and domestic markets concurrently (Bell
et al. 2003). In this way, retailers gain competitive advantages through greater
knowledge intensity from rapid internationalization. In this regard, the proposed
framework focuses on the strategic planning process instead of operational process
in internationalization. Thus the framework provides a view of dierences between
born-global and traditional fast-fashion retailers. In doing so, the framework oers
pathways or trajectories that clearly show the extent and timeline for both types of
retailers to internationalize their operations.
299
mode for retailers in the international market including licensing, joint venture,
wholly owned subsidiaries, to name a few (McGoldrick and Davies, 1995). Each
involves a higher level of control and risk when entering a new market (Anderson
and Gatignon 1986). The way that knowledge is transmitted within a retailer is
crucial to the companys decision of what kind of control they retain and the risk
they will take, and will therefore help to form their ultimate entry mode choice. If a
retailer chooses to internationalize with licensing, it lowers investment and risk, but
knowledge sharing with the licensee is still required (Kim and Hwang 1992). Wholly
owned subsidiaries are the opposite end of the spectrum. Here, a retailer has
complete ownership of a new store in a foreign market, which allows them to
maintain a high level of control, but also involves a much bigger risk. In order for a
retailer to take a larger risk, resource-based advantages that make high-level of
control possible are the best policy for expansion (Anderson and Gatignon 1986).
Kim and Hwang (1992) have analyzed the entry mode choice for companies, and
proposed four variables that aect entry mode choice. The variables most salient to
Zaras internationalization are transaction-specic variables. Knowledge sharing is
known as a transaction-specic variable in Kim and Hwangs analysis of entry mode
choice. Transaction-specic variables include the value of retailer specic know how
and tacit nature know how. Retailer specic know how is information that can be
expressed in physical forms, such as manuals or directories. Tacit nature know how
is not embedded in physical knowledge but is instead knowledge gained through
doing and communicating. Nonakas (1994) study on the dynamic theory of
organizational knowledge also emphasizes the synthesis between these two types of
knowledge, which helped my understanding of the interaction between the two and
its importance to this case.
Nonakas (1994, 12) dynamic theory of organizational knowledge creation holds
that organisational knowledge is created through a continuous dialog between tacit
and explicit knowledge via four patterns of interactions, socialization, combination,
internalisation and externalisation. Explicit knowledge can be transmitted, such as
written rules or guidelines, and tacit knowledge is harder to formalize and is mostly
rooted in action, commitment, and involvement (Nonaka and Takeuchi 1996). This
furthers the importance of both written and learned knowledge within a company,
and helps to elucidate tacit knowledge and the dierence to a company. Kim and
Hwang (1992) propose that a retailer with high levels of transaction-specic and tacit
nature know how would choose a high level of control when they internationalized,
because they would not want to lose proprietary knowledge.
Resource-based theory
Resource-based theory centers on a rms ability to achieve and sustain competitive
advantages (Wernerfelt 1984). In an internationalization frame, the theory is
concerned with asset-exploiting foreign investment (Dunning 2000). Resource-based
theory is echoed by Dunnings (2000) ownership-specic advantages that provide a
framework to consider Zaras resources that are valuable (V), rare (R), imperfectly
imitable (I), and not substitutable (N). In order for one rm to hold a sustained
advantage over another, it is important that it maintain a distinct advantage in a
valuable skill or product that cannot be replicated. Characteristics that can make a
resource valuable (V) include a unique strategy or new idea. Whilst creating and selling
a new product, many parts of that product could be copied. However, implementing a
300
V. Bhardwaj et al.
new strategy or an idea that has not been done before can be a valuable resource. Rare
(R) and imperfectly imitable (I) imply that resources are both dierent from other
resources, and cannot be easily imitated. Thus new ideas must not only be unique but
also must be dicult to copy. But even if a new idea cannot be imitated, it must also be
dicult to substitute (N) for. If a resource can be found with equal benets in the
marketplace, the resource is not valuable (or at least loses some value). Tangible
resources can be copied or exhausted, so often it is the intangible resource that provides
a sustained competitive advantage. Valuable, Rare, Imperfectly imitable, and Not
substitutable (VRIN) resources are hard to nd, thus a retailer possessing VRIN
resources must protect and sustain them (Barney 1991).
Dunnings (1981) eclectic theory of the rm has been characterized as resource
based in nature for many years. Dunning (1981, 1988, 2000) conceptualized resource
advantages, which mostly aected internationalization strategy as ownership-specic
advantages. His eclectic paradigm helps explain why rms invest in foreign markets,
and how the rm will behave in those markets, with the salient variable to the
current study being ownership (O) specic advantages. O-specic advantages include
the competitive advantages specic to that rm, and are the most readily seen in
research on Zara. There are two basic types of O-specic advantages: asset-based
and transaction-based. Asset-based advantages refer to unique products or a
companys reputation. This can be private label clothing or uniquely recognizable
products. Transaction-based advantages come about because of the way things are
done within the retailer (Sternquist 1997; Runyan 2003). Volume buying, economies
of scale, and distribution advantages can be considered transaction-based.
Often a companys resources aect its decision to, and method of internationalizing. Companies tend to internationalize in two fundamental ways: as a
multinational retailer or a global retailer (Sternquist 1997). A multinational retailer
adapts its internationalization model to the culture to which it expands, and is
willing to share and change its business format for an international stage. A global
retailer maintains its basic format as it internationalizes. This can be one result of
resource-based advantages such as asset- and transaction-based advantages: a global
internationalization model when the retailer expands overseas. Global retailers use a
standard retail format, internationalizing using rm-specic resource advantages.
Often, global retailers have decentralized management to keep greater control over
the expanding retailer (Sternquist 1997). Since there are O-specic resource
advantages, the retailer needs to keep a high level of control as it internationalizes,
preventing format duplication, and protecting secrets. A global retailer is often also
backward integrated, allowing all of its subsidiaries to contribute to the preservation
and continued growth of the company. A resource-based advantage needs to precede
international involvement, and a rm needs to have an understanding of its own
resource-based advantages before successful expansion.
Psychic distance
Psychic distance is the degree to which one culture is comfortable dealing with
another culture, and has been dened and operationalized in dierent ways by
dierent researchers (OGrady and Lane 1996). For the purposes of this study, we
adopt Nordstrom and Vahlnes (1992) view that it is comprised of dierences
between countries in culture, structure, and language. These are perceived dierences
between a home country and a foreign country, where the home country is where the
301
302
V. Bhardwaj et al.
provides a cushion against large losses, as if a style is unsuccessful the retailer can easily
move resources into new items and styles (Ramey 1994).
Every Zara shop uses point-of-sale terminals that report directly back to
headquarters in Spain, showing real-time information for buyers (Castellano 2005).
Local managers are responsible for making sure that corporate designers have up-to-theminute customer information, so they can accurately decide on the latest fabric, cut, and
price point for a new garment (Folpe 2000). Information ows from corporate to store
level also, as store managers access a digital assistant on a daily basis. This technology
allows local managers to see what new designs are available, and to order new
merchandise for their particular store (Castellano 2005). This local inuence helps Zara
act locally and keep up with local cultural dierences. Zaras corporate strategy is not one
of trendsetting (Capell, Kamenev, and Saminather 2006). Rather, Zara is constantly
updating its product assortment to reect current trends and fashion. Thus customers
have come to expect that if a style or fashion is new, it will show up rst at Zara.
Zaras marketing and advertising are unique. Zara spends just 0.3% of sales on
advertising, as opposed to the industry average of about 34% of sales (Castellano
2005). The retailer instead focuses on location strategies, seeking key spots in hightrac malls (Ramey 1994), and upon store atmospherics (Capell, Kamenev, and
Saminather 2006). Accordingly, total trac is generated by the mall location whilst
store trac is driven by merchandise presentation. Advertising therefore is based on
word-of-mouth, and repeat business.
Theories for internationalization of Zara
Knowledge sharing
Knowledge sharing and organization are two of the most important facets of Zaras
success. Backward and forward knowledge sharing by the fast-fashion retailer leads
to a communication line that is benecial and crucial to a global company. Zara
probably most benets from reverse knowledge sharing due to its managers and
trend spotters daily reports to headquarters. This ts the knowledge ow model, as
reverse-ow knowledge is more likely to lead to successful globalization. Zaras
reverse-knowledge setup also allows for both explicit and tacit knowledge to be
exchanged from the foreign units, back through the home oce and then back out to
the foreign units. Specic knowledge of product sales, customer reaction to new
products and local trends can also be exchanged. This exhibits a clear blend of rm
and transaction-specic types of knowledge (Kim and Hwang 1992).
Every Zara store is setup using basic formats and operation modes. Operations
succeed because of the rms unique knowledge sharing capabilities. The study of
Zaras structure and knowledge sharing establishes the presence of exchange of rmspecic and tacit-nature knowledge in its operations. This supports the high-control
entry-mode internationalization model used by Zara with wholly owned subsidiaries
in foreign markets. In so doing, the retailer maintains competitive advantage by
protecting important information, reducing the risk factor associated with new
markets (Anderson and Gatignon 1986).
Resource-based view
Zaras international success can be explained within both Barneys (1991) sustained
competitive advantage and Dunnings (2000) O-specic, transaction-based
303
advantages. With a vertically integrated company, Zara controls each level of its
clothing production, distribution, and sales. It is through vigilant adherence to
technological and information strategies that it is able to turn the latest trend into a
saleable product, delivered to consumers in as little as 2 weeks. Internal production,
with its step-by-step process from idea to design to manufacture to distribution to
store, is unique. It also is incomparable to any other retailer in the world. Zara has
transaction-based advantages from a centralized factory, which still produces the
majority of its products. Their corporate structure is not hierarchical, helping to
create a pseudo-backward integration to compliment the forward integration of its
clothing production. From an asset-based perspective, the Zara brand (or private
label) is known for being up-to-the-minute and aordable, a reputation that precedes
Zaras entrance into almost every market today. For example, a majority of
European women have been found to have a very positive perception of the Zara
brand (Heller 2001).
All of these advantages meet both the O-specic criteria proposed by Dunning
(1981, 2000) and the VRIN criteria posited by Barney (1991). Because of the
companys strong O-specic advantages, it has internationalized as a global retailer.
The format and execution of each Zara worldwide follows the same basic format,
and this allows the control and execution mentioned previously. The unique
processes and diculty competitors have in imitating or copying Zara provide
resource-based advantages that are diculty to overcome. The high-control strategy
of internationalization allows Zara to protect these resources.
Psychic distance
The history of Zaras business would suggest initially, congruence with the classic
psychic distance model (Johanson and Vahlne 1977a, 1977b). As previously
mentioned, Zara opened its rst international store in 1988. By 1994, they had
moved into several markets, but were focusing on France and Mexico (Ramey 1994).
Psychic distance provides a suitable explanation for this. France is geographically
close, its language is related, both are Catholic countries and France has a
comparable southern-European culture. The psychic distance model would predict
that Zara would internationalize rst in France. In Mexico, Zara saw a culture with
a common language and religion. It also found consumers seeking aordable ways to
adopt the fashions of developed countries (Ramey 1994).
Zaras initial movement into foreign markets was gradual and into those which
were proximate, but this lasted a very short time. By the middle of the 1990s, Zara
had begun opening stores in psychically distant markets such as Greece (1993),
Sweden (1994), and Cyprus (1996). As Zara gained knowledge through its
backwards integration, it expanded quickly (by 2003) to the rest of Europe, South
and North America. Thus it appears that Zaras strategy bridges the divide between
the classic psychic distance model of Johanson and Vahlne (1977a, 1977b) and the
paradox framework of Evans and Mavondo (2002). Research suggests that as rms
gain knowledge in foreign markets, expansion will move to more distant markets
(OGrady and Lane 1996), but in a gradual manner. Zara seems to have been able to
accelerate the process and move more quickly to psychically distant markets such as
the United States and South Korea. The key to this acceleration seems to be its
knowledge gathering and sharing strategies, implemented at the store level in each
country it enters.
304
V. Bhardwaj et al.
Figure 2.
305
Future research
As mentioned by Burt, Dawson, and Larke (2006), Zara has exemplied the concept
of fast fashion in regards to retail internationalization by redening and
reconguring the traditional approach of demand and supply for fashion clothing.
Furthering this rationalization, the proposed explanatory framework presented in
this study attempts to provide a connection with the research stream in fashion
retailing. The framework explains, though in an exploratory way, that there are
dierences in the planning process of internationalization for fashion retailers that
can be explained through theory; further research should be extended in this area.
There is a need for empirical studies that specically focus on the planning processes
(e.g., dynamic strategic and incremental planning processes) to see how they can help
retailers achieve successful international operations. Such empirical investigations
may help in clarication of the dierences between born-global and gradual global
fashion retailers.
Furthermore, as identied in the conclusion, Zara employs a high-risk, highreward model of internationalization to defend its unique merchandise and retail
position by remaining completely vertical. It would be interesting and more practical
to understand the dynamics of internationalization process for fashion retailers that
are not vertically integrated. Additionally, Zaras born-global expansion strategy
engendered a psychic distance paradox that has been successful in the fashion
markets. However, a similar global expansion strategy may not be generalized for
other fashion retailers, which may vary based on the size of the business. Conducting
empirical studies and testing the proposed framework with small, medium, and large
fashion (and nonfashion) retailers may provide reliable and valid results that could
be used for future benchmarking of the process of internationalization of fashion
retailers. Another possible future research area could be scale development using
mixed methods (qualitative and quantitative methods) for the theoretical constructs
to measure the internationalization process for born-global retailers.
306
V. Bhardwaj et al.
References
Anderson, T.J. 2000. Strategic planning, autonomous actions and corporate performance.
Long Range Planning 33: 184200.
Anderson, E., and H. Gatignon. 1986. Modes of foreign entry: A transaction cost analysis and
propositions. Journal of International Business Studies 17: 126.
Barnes, L., and G. Lea-Greenwood. 2006. Fast fashioning the supply chain: Shaping the
research agenda. Journal of Fashion Marketing and Management 10, no. 1: 25971.
Barney, J.B. 1991. Firm resources and sustained competitive advantage. Journal of
Management 17, no. 1: 99120.
Bell, J., R. McNaughton, and S. Young. 2001. Born-again global rms: An extension to the
born-global phenomenon. Journal of International Management 7: 17389.
Bell, J., R. McNaughton, S. Young, and D. Crick. 2003. Towards an integrative model of
small rm internationalization. Journal of International Entrepreneurship 1: 33962.
Benito, G., and G. Gripsrud. 1992. The expansion of foreign direct investment: Discrete
rational location choices or a cultural learning process? Journal of International Business
Studies 23, no. 3: 46176.
Brookes, N.J., and J. Smith. 2007. Psychic distance in global operations management. .
Working Paper, Aston Business School, 111, May 7.
Burt, S., J. Dawson, and R. Larke. 2006. Inditex-Zara: Re-writing the rules in apparel
retailing. In Strategic issues in international retailing, 7190. New York, NY: Routledge.
Capell, K., M. Kamenev, and N. Saminather. 2006. Fashion conquistador. Business Week
3999, May 7: 3839.
Castellano, J.M. 2005. The future of fast fashion. Economist 375: 578.
Chetty, S., and C.C. Hunt. 2004. A strategic approach to internationalization: A traditional
versus a born global approach. Journal of International Marketing 12, no. 1: 5781.
de Mooij, M., and G. Hofstede. 2001. Convergence and divergence in consumer behavior:
Implications for international retailing. Journal of Retailing 78: 619.
Djelic, M.-L., and A. Ainamo. 1999. The coevolution of new organizational forms in the
fashion industry: A historical and comparative study of France, Italy, and the United
States. Organizational Science 10, no. 5: 62237.
Doyle, S.A., C.M. Moore, and L. Morgan. 2006. Supplier management in fast moving fashion
retailing. Journal of Fashion Marketing and Management 10, no. 3: 27281.
Dunning, J.H. 1981. International Production and the Multinational Enterprise. London: Allen
& Unwin.
Dunning, J.H. 1988. The eclectic paradigm of international production: A restatement and
some possible extensions. Journal of International Business 19: 131.
Dunning, J.H. 2000. The eclectic paradigm as an envelope for economic and business theories
of MNE activity. International Business Review 9: 16399.
Evans, J., and F.T. Mavondo. 2002. Psychic distance and organizational performance: An
empirical examination of international retailing operations. Journal of International
Business Studies 33, no. 3: 51532.
Folpe, J.M. 2000. Zara has a made-to-order plan for success. Fortune 142, no. 5.
Heller, R. 2001. Galician beauty. Forbes 7, no. 13: 98.
Hunt, S.D. 1991. Modern marketing theory: Critical issues in the philosophy of Marketing
Science. Cincinnati, OH: South-Western Publications.
Johanson, J., and J.E. Vahlne. 1977a. The internationalisation process of the rm: A model of
knowledge development and increasing foreign market commitments. Journal of
International Business Studies 8: 2332.
Johanson, J., and J.E. Vahlne. 1977b. The mechanism of internationalism. International
Marketing Review 7, no. 4: 1125.
Jonsson, A. 2008. A transnation perspective on knowledge sharing: Lessons learned from
Ikeas entry into Russia, China, and Japan. The International Review of Retail,
Distribution, and Consumer Research 18, no. 1: 1744.
Hofstede, G. 1980. Cultures consequences: International dierences in work related values.
Beverly Hills, CA: Sage Publications.
Kim, W.C., and P. Hwang. 1992. Global strategy and multinationals entry mode choice.
Journal of International Business Studies 25, no. 3: 51335.
307
Knight, G.A., and S.T. Cavusgil. 1996. The born global rm: A challenge to tradition
internationalisation theory. In Advances in international marketing, ed. S.T. Cavusgil, 8
(1126). Greenwich, CT: JAI Press.
Kogut, B., and U. Zander. 1992. Knowledge of the rm, combinative capabilities, and the
replication of technology. Organization Science 3, no. 3: 38397.
McGoldrick, P., and J. Davies. 1995. International retailing: Trends and strategies. London:
Pitman.
Moen, O., and P. Servais. 2002. Born global or gradual global? Examining the export behavior
of small and medium-sized enterprises. Journal of International Marketing 10, no. 3: 4972.
Murphy, R. 2008. Expansion boosts Inditex net. WWD: Womens Wear Daily 195, no. 69: 2.
Nonaka, I. 1994. A dynamic theory of organizational knowledge creation. Organization
Science 5, no. 1: 1437.
Nonaka, I., and H. Takeuchi. 1996. A theory of organizational knowledge creation.
International Journal of Technology Management 11, no. 7/8: 83346.
Nordstrom, K.A., and J. Vahlne. 1992. Is the globe shrinking? Psychic distance and the
establishment of Swedish sales subsidiaries during the last 100 years. Presented at the
International Trade and Finance Associations Annual Conference, April, Laredo, TX.
OGrady, S., and H. Lane. 1996. The psychic distance paradox. Journal of International
Business Studies 27, no. 2: 30933.
Ramey, J. 1994. Zara makes its mark in Mexico. WWD: Womens Wear Daily 167: 89, 20.
Runyan, R.C. 2003. A resource-based view of internationalization. In Retailing 2003:
Strategic planning in uncertain times, ed. J.A. Evans, 10, 17480. Hempstead, NY:
Academy of Marketing Science.
Sternquist, B. 1997. International expansion of U.S. retailers. International Journal of Retail &
Distribution Management 25, no. 8: 26268.
Taplin, I.M. 1999. Continuity and change in the U.S. apparel industry: A statistical prole.
Journal of Fashion Marketing and Management 3, no. 4: 36068.
Tiplady, R. 2006. Zara: Taking the lead in fast fashion. Business Week Online. EBSCOHost
database (accessed May 20, 2008).
Wernerfelt, B. 1984. The resource-based view of the rm. Strategic Management Journal 5, no.
2: 17180.