Market Entry Strategies into China in the Welfare Industry

A Case Study using the Uppsala Model

抄録

This study attempts to reveal the process of market entry in one service industry focusing on three Japanese firms as a qualitative study. The author clarifies the market entry process through an analysis on the selection of initial and subsequent locations in China and commitment of each Long-Term Care （LTC） firm in the welfare industry, from the perspective of the Uppsala model. Firm A has managed to succeed in their market expansion while putting a higher priority on experience of joint-venture in Qingdao. Providing consultation has also been one of the significant keys for them to expand in China. Firm B has been taking certain steps in managing psychic distance in their expansion while also making more effort in rotating selected expatriates very well. Firm C has also been running sound overseas businesses in China and making good use of the closeness in psychic distance between Shanghai and Nantong as a foundation in the internationalization of the firm under the direction succeeded by their first expatriate currently working at their headquarters. Interestingly, Chinese businesses of Japanese LTC firms have been very cooperative with outside firms since it is still a developing process after the governmental initiative. The validity of the Uppsala model is also discussed.