Describe the four primary challenges faced by retailers when they expand overseas. Provide examples of mistakes made by retailers in foreign markets

What will be an ideal response?

1. Culture and language are a significant obstacle. Compared to most businesses, retailers are close to customers. They must respond to local market requirements by customizing their product and service portfolio, adapting store hours, modifying store size and layout, training local workers, and meeting labor union demands.
2. Consumers tend to develop strong loyalty to indigenous retailers. As Best Buy in Turkey, Home Depot in China, and Walmart in Germany discovered, local firms usually enjoy great allegiance from local consumers.
3. Managers must address legal and regulatory barriers that can be idiosyncratic. Germany limits store hours, and most retailers are closed on Sundays. Japan's Large-Scale Store Law required foreign warehouse and discount retailers to get permission from existing small retailers before setting up sho