Published July 30, 2021 | Version v1
Journal article Open

Internationalisation models and trajectories of gold jewellery in Johannesburg: a conjectural discursive approach

Creators

  • 1. Cape Peninsula University of Technology

Description

The gold jewellery industry is a lucrative sector. It operates within global consumer international networks. The underpinning models of internationalisation of gold jewellery from a theoretical standpoint, are key in comprehending export competitiveness potential. This means that for any company and country to achieve success, they ought to have competitive dominance in the export market, driven by a particular model. This study established that the main trends that characterise gold jewellery exports are underpinned by an aggressive internalisation thrust, which should be supported by market consolidation; market growth; a new channel landscape to push through the products; market consumption trends, absorption capacity, and global fast-fashion demand of gold jewellery. It emerged in this study, that the gold jewellery sector in Johannesburg has many dynamics that affect the ability of gold jewellery exporters to be competitive on the international market. There is a need to implement internationalisation strategies that include the creation of market linkages, standardisation and adaptation of products and services to the changing global market environment. The objective of this study was to investigate the efficacy of the internationalisation models, adopted by jewellery exporters in Johannesburg. The study used both theoretical and empirical data, obtained from the sector. The key finding from the study is that gold jewellery remains one of the most important export commodities in growing economies, such as South Africa. Exports bring the much-needed foreign currency, yet the sector in Johannesburg has very few corporates and individually owned businesses that are connected to the international markets to optimally exploit the opportunities in this sector. Using the mixed review methodology and empirical field data, the study offers propositions to enhance export competitiveness for companies, operating in developing countries.

Files

Internationalisation models and trajectories of gold jewellery in Johannesburg a conjectural discursive approach.pdf

Files (728.3 kB)

Additional details

References

  • Manzi, M. J. (2019). The influence of export incentives on gold jewellery manufacturers' decision to export: the case of selected Gauteng manufacturers. Cape Peninsula University of Technology, 109.
  • Leonidou, L. C., Katsikeas, C. S., Palihawadana, D., Spyropoulou, S. (2007). An analytical review of the factors stimulating smaller firms to export. International Marketing Review, 24 (6), 735–770. doi: http://doi.org/10.1108/02651330710832685
  • Da Silva, M. D. R. P. P. (2006). From dynamism to dormancy: the jewellery industry in Johannesburg: 1925–2003.
  • Van der Wath, N. (2019). A total return index for South Africa. Available at: http://2015.essa.org.za/fullpaper/essa_2868.pdf. Last accessed: 16.03.2021
  • Haugen, H. Ø. (2017). Petty commodities, serious business: the governance of fashion jewellery chains between China and Ghana. Global Networks, 18 (2), 307–325. doi: http://doi.org/10.1111/glob.12164
  • Bryman, A., Bell, E. (2007). Business research methods. Oxford: Oxford University Press, 785.
  • Neuman, W. L. (2006). Social research methods – qualitative and quantitative approaches. Pearson Education, Inc., 592.
  • Vahlne, J.-E., Johanson, J. (2017). From internationalization to evolution: The Uppsala model at 40 years. Journal of International Business Studies, 48 (9), 1087–1102. doi: http://doi.org/10.1057/s41267-017-0107-7
  • Akpinar, M., Scott, A. (2009). Internationalization vs. Diversification: A Study on the Drivers of Growth Strategies. Journal of Global business issues, 3 (2), 1–6.
  • Johanson, J., Vahlne, J.-E. (1977). The Internationalization Process of the Firm – A Model of Knowledge Development and Increasing Foreign Market Commitments. Journal of International Business Studies, 8 (1), 23–32. doi: http://doi.org/10.1057/palgrave.jibs.8490676
  • Johanson, J., Wiedersheim-Paul, F. (1975). The internationalization of the firm ? Four swedish cases. Journal of Management Studies, 12 (3), 305–323. doi: http://doi.org/10.1111/j.1467-6486.1975.tb00514.x
  • Geringer, J. M., Hebert, L. (1989). Control and Performance of International Joint Ventures. Journal of International Business Studies, 20 (2), 235–254. doi: http://doi.org/10.1057/palgrave.jibs.8490359
  • Morgan-Thomas, A., Jones, M. V. (2009). Post-entry Internationalization Dynamics. International Small Business Journal: Researching Entrepreneurship, 27 (1), 71–97. doi: http://doi.org/10.1177/0266242608098347
  • Hollensen, S. (2007). Global marketing: A decision-oriented approach. Pearson education, Upper Saddle River.
  • Kotler, P., Armstrong, G., Harris, L. C., Piercy, N. (2014). Principles of Marketing. Financial times/Prentice Hall.
  • Deresky, H. (2005). International Management: Managing across borders and cultures. Prentice Hall Published, 504.
  • Ansoff, H. I. (1987). Corporate Strategy. London: Penguin, 116.
  • Morgan, R. E., Katsikeas, C. S. (1997). Theories of international trade, foreign direct investment and firm internationalization: a critique. Management Decision, 35 (1), 68–78. doi: http://doi.org/10.1108/00251749710160214
  • De Chiara, A. (2017). Stakeholder engagement in sustainability innovation: Experiences in the jewellery business. Innovating in practice. Cham: Springer, 439–459.
  • Satsangi, P. (2013). Exports of Gems and Jewellery from India – SWOPT analysis, 2.
  • Chellam, K. C. (2018). Jewellery industry in India. International Journal of Marketing and Technology, 8 (2), 1–18.
  • Qureshi, M. S., Wan, G. (2008). Trade Expansion of China and India: Threat or Opportunity? World Economy, 31 (10), 1327–1350. doi: http://doi.org/10.1111/j.1467-9701.2008.01131.x
  • Whitelock, J. (2002). Theories of internationalisation and their impact on market entry. International Marketing Review, 19 (4), 342–347. doi: http://doi.org/10.1108/02651330210435654
  • Onkvisit, S., Shaw, J. J. (2004). International marketing: Analysis and strategy. Psychology Press, 594.
  • Gemser, G., Brand, M., Sorge, A. (2012). Internationalisation strategies of technology-driven small- and medium-sized enterprises. Technology Analysis & Strategic Management, 24 (3), 311–326. doi: http://doi.org/10.1080/09537325.2012.655418
  • Ratten, V. (2006). Policy drivers of international entrepreneurship in Europe. EuroMed Journal of Business, 1 (2), 15–28. doi: http://doi.org/10.1108/14502190610750144
  • Bell, J., Loane, S. (2010). "New-wave" global firms: Web 2.0 and SME internationalisation. Journal of Marketing Management, 26 (3-4), 213–229. doi: http://doi.org/10.1080/02672571003594648
  • Da Silva, M. (1999). The jewellery industry in South Africa. Urban Forum, 10 (2), 217–234. doi: http://doi.org/10.1007/bf03036619
  • Central Intelligence Agency (2020). The World Factbook Field Listing: Exports – Commodities.
  • Bhattacharya, J. (2015). Beyond the Glitterati: The Indian and Chinese Jewellers of Little India. Singapore: Indian and Chinese Immigrant Communities: Comparative Perspectives, 91.
  • Hancok, T. (2019). Demand for gold jewellery up in SA, but imports favoured. Available at: https://www.miningweekly.com/print-version/demand-for-gold-jewellery-up-in-sa-but-imports-favoured-2019-06-28
  • Wilkinson, T., Brouthers, L. E. (2006). Trade promotion and SME export performance. International Business Review, 15 (3), 233–252. doi: http://doi.org/10.1016/j.ibusrev.2006.03.001
  • Ogasavara, M. H., Boehe, D. M., Barin Cruz, L. (2016). Experience, resources and export market performance. International Marketing Review, 33 (6), 867–893. doi: http://doi.org/10.1108/imr-10-2013-0247
  • Miocevic, D., Crnjak‐Karanovic, B. (2012). Global mindset – a cognitive driver of small and medium‐sized enterprise internationalization. EuroMed Journal of Business, 7 (2), 142–160. doi: http://doi.org/10.1108/14502191211245589
  • Drachal, K. (2014). Property prices and regional labor markets in Poland. Singidunum Journal of Applied Sciences, 11 (1), 5–15. doi: http://doi.org/10.5937/sjas11-4650
  • Hollensen, S., Boyd, B., Ulrich, A. M. D. (2011). The Choice of Foreign Entry Modes in a Control Perspective. IUP Journal of Business Strategy, 8 (4), 7–31.
  • Dunning, J. H. (1988). The theory of international production. The International Trade Journal, 3 (1), 21–66. doi: http://doi.org/10.1080/08853908808523656
  • Daszkiewicz, N., Wach, K. (2012). Internationalization of SMEs: Context, models and implementation. Internationalization of SMEs. Context, Models and Implementation. Gdańsk University of Technology Publishers.
  • Dunning, J. H. (2000). The eclectic paradigm as an envelope for economic and business theories of MNE activity. International Business Review, 9 (2), 163–190. doi: http://doi.org/10.1016/s0969-5931(99)00035-9
  • Hermannsdottir, A. (2008). Theoretical underpinnings of the internationalization process. Reykjavik: Institute of Business Research, University of Iceland School of Business. Working Paper Series W08:02. doi: http://doi.org/10.13140/RG.2.2.24894.59203
  • Klein, S., Frazier, G. L., Roth, V. J. (1990). A Transaction Cost Analysis Model of Channel Integration in International Markets. Journal of Marketing Research, 27 (2), 196–208. doi: http://doi.org/10.1177/002224379002700207
  • Katsikeas, C. S. (1996). Ongoing export motivation: differences between regular and sporadic exporters. International Marketing Review, 13 (2), 4–19. doi: http://doi.org/10.1108/02651339610115737
  • Leonidou, L. C., Katsikeas, C. S., Palihawadana, D., Spyropoulou, S. (2007). An analytical review of the factors stimulating smaller firms to export. International Marketing Review, 24 (6), 735–770. doi: http://doi.org/10.1108/02651330710832685
  • Hill, C. W. L. (2013). International business: competing in the global marketplace. New York: McGraw-Hill/Irwin.
  • Madanoglu, M., Alon, I., Shoham, A. (2017). Push and pull factors in international franchising. International Marketing Review, 34 (1), 29–45. doi: http://doi.org/10.1108/imr-03-2015-0037
  • Zafarullah, M., Ali, M., Young, S. (1997). The Internationalization of the Small Firm in Developing Countries – Exploratory Research from Pakistan. Journal of Global Marketing, 11 (3), 21–40. doi: http://doi.org/10.1300/j042v11n03_03
  • Francis, J., Collins‐Dodd, C. (2004). Impact of export promotion programs on firm competencies, strategies and performance. International Marketing Review, 21 (4/5), 474–495. doi: http://doi.org/10.1108/02651330410547153
  • Diamantopoulos, A., Hart, S. (1993). Linking market orientation and company performance: preliminary evidence on Kohli and Jaworski's framework. Journal of strategic marketing, 1 (2), 93–121. doi: http://doi.org/10.1080/09652549300000007
  • De Falco, S. E., Simoni, M. (2014). The Effect of Public Export Incentives on Italian Textile and Fashion SMEs. International Studies of Management & Organization, 44 (1), 70–83. doi: http://doi.org/10.2753/imo0020-8825440105
  • Wagner, J. (2012). Exports, imports and firm survival: first evidence for manufacturing enterprises in Germany. Review of World Economics, 149 (1), 113–130. doi: http://doi.org/10.1007/s10290-012-0141-2
  • Gereffi, G., Humphrey, J., Sturgeon, T. (2005). The governance of global value chains. Review of International Political Economy, 12 (1), 78–104. doi: http://doi.org/10.1080/09692290500049805
  • Xue, L. (1997). A historical perspective of China's innovation system reform: a case study. Journal of Engineering and Technology Management, 14 (1), 67–81. doi: http://doi.org/10.1016/s0923-4748(97)00002-7
  • Gereffi, G., Memedovic, O. (2003). The global apparel value chain: What prospects for upgrading by developing countries. Vienna: United Nations Industrial Development Organization, 2009–2012. doi: http://doi.org/10.2139/ssrn.424560