South African aspirant multinationals and their move into emerging market economies : how emerging markets are chosen for market entry : Standard Bank as a case study

Abstract

This study originated in an interest in the evolving field of emerging markets and ongoing efforts being made by academics to test current theory and develop theories and approaches for emerging markets, which constitute a major growth component of today’s global market. This study specifically set out to verify whether or not Multi-National Corporation (MNC) theories and approaches proposed by International Business researchers and theorists in respect of strategy, locational considerations and market assessment also apply to multinational firms coming out of emerging markets, dubbed Emerging Multi National Corporations (EMNCs) or Emerging Multi National Enterprises (EMNEs). Ongoing review of present MNC theory and its applicability to these newcomers on the block is being undertaken and is coupled with research into the development of business models and approaches specific to EMNCs. The research was undertaken as a single case study, using the Standard Bank Group (SBG) and its Africa operations as an example of an EMNC with the specific objective of verifying present MNC theory in the areas of strategy, locational consideration and market assessment. Qualitative interviews with experts from the SBG Africa operations provided interactions and insights on the central themes of the research and these, in the light of approaches argued in the available literature, formed the basis of the research findings.