Purpose The purpose of this paper is to analyze how two multinational companies (MNCs) faced the challenge of market uncertainty and political instability in a newly emerging market, and how it affected the impact of their product marketing strategy (PMS) and product (brand) performance. Design/methodology/approach A comparative longitudinal paired case study of a market entry by two global MNCs. Twelve global brands (products) were studied, which were locally manufactured and launched by the two MNCs during their first ten years of operation in Vietnam. Findings The authors approached the investigation from a conventional point of view: standardization versus adaptation. The results showed that in addition to these two traditional processes, a third one was also operating, which the authors labeled semi-adaptation, or the midway PMS. Semi-adaptation refers to a product that has been introduced to Vietnam from a neighboring country. Research limitations/implications This research is based on two European MNCs active in the food and consumer-household goods industry in a newly emerging market: Vietnam. Practical implications This primary data indicate that the product standardization, semi-adaptation and adaptation process in practice is a technique applied to fit a product to a newly emerging market more by degree of change than by product category. Originality/value This paper supports a recent stream of research, which views Standardization or Adaptation as the two ends of the same continuum, where the degree of the firm’s PMS can range between them.

If you would like to write for this, or any other Emerald publication, then please use our Emerald for Authors service information about how to choose which publication to write for and submission guidelines are available for all. Please visit www.emeraldinsight.com/ authors for more information. About Emerald www.emeraldinsight.comEmerald is a global publisher linking research and practice to the benefit of society. The company manages a portfolio of more than 290 journals and over 2,350 books and book series volumes, as well as providing an extensive range of online products and additional customer resources and services.Emerald is both COUNTER 4 and TRANSFER compliant. The organization is a partner of the Committee on Publication Ethics (COPE) and also works with Portico and the LOCKSS initiative for digital archive preservation. AbstractPurpose -This paper seeks to consider the impact of psychic, cultural and institutional distance, the adaptation of international joint ventures and the performance of international companies entering an emerging economy. It is also a critique of the dominant quantitative approach to analyzing distance in international business. Design/methodology/approach -This study applies a comparative case study using a grounded theory approach of six companies who entered Vietnam from 1986 until the present. A total of 20 international executives were interviewed representing different phases from start-up, implementation to the current situation.Findings -In comparison to other empirical studies on entry strategy and distance, this research finds that executives involved in entry do not consider established theories such as transaction costs. The resource-based approach is considered but from a practical view. Despite the considerable cultural and institutional distance between the European cultures and the Vietnamese values, these international ventures have managed to close the distance. This contradicts the findings of many quantitative studies on this issue.Research limitations/implications -This study is qualitative. It depends on the perceptions of international executives over a 25 year period. Only a few of the Vietnamese counterparts are included in this study.Practical implications -This study demonstrates the importance of adaptation overtime for the success of international ventures.Originality/value -A long term qualitative study including executives from six major international companies and executives over such a longtime is rare. Using the grounded theory process in this research context is also unique.

Subject area The case authentically illustrates a common problem encountered within the business scope of an agent who is representing a European food ingredients manufacturer in an emerging market. The case describes the kind of legal set-up and contracts that are necessary to safeguard the long-term prospective of the business for both parties, the agent and overseas supplier. It explains what each party has to observe in case of a termination of the agency agreement. Study level/applicability This is a longitudinal case study of a market entry by a European food ingredients manufacturer through a foreign-owned third agent. The authors studied how sales developed over the first few years and then concentrated the investigation on the fact that after the sales volume was reached, the overseas manufacturer wants to cancel the agency agreement and do the business directly without getting the agent involved. Case overview This case describes and explains a common problem encountered frequently by overseas manufacturers who want to enter an emerging market through a third-party agent representation. The overseas supplier uses the agent’s service and solid reputation to enter an emerging market with limited exposure to costs and risk. The agent works towards guarding the relationship with the overseas supplier for as long as possible. The development of the relationship illustrates what kind of conditions have to be stipulated in advance to provide an acceptable solution to both parties concerned once they part ways. Expected learning outcomes This research is based on a European food ingredients manufacturer, who was expanding its business in different Asian emerging markets, namely, Vietnam and Cambodia. The agent was a long-time established trading house who acted frequently as agent for overseas companies that wanted to get a foothold in these promising Asian emerging markets. Supplementary materials Teaching Notes are available for educators only. Please contact your library to gain login details or email support@emeraldinsight.com to request teaching notes. Subject code CSS 5: International Business