Comparative Study of International Expansion into Developed Markets vs Emerging Markets

Abstract

This dissertation investigates the comparative dynamics of international expansion in developed and emerging markets, using the case study of First Abu Dhabi Bank (FAB) in Switzerland and Saudi Arabia.

First, the objective of the dissertation discusses the importance of the international expansion of companies, especially the increasing influence of companies from emerging and developed countries in the global landscape. What is the role of developed economies in international competition and explores the factors that distinguish between developed markets and emerging markets.

Second, a comprehensive literature review is conducted to delve into various core concepts of this study, including international expansion, internationalisation, market phenomena, and theories such as OLI, VRIO, PESTEL, and Porter's five forces. It also presents a case study: First Abu Dhabi Bank's expansion into Saudi Arabia and Switzerland.

Third, analysis and discussion, using the VRIO framework to evaluate FAB's ownership advantage in 2007 and 2019, while using PESTEL and Porter's five forces frameworks to evaluate location advantages in Switzerland and Saudi Arabia. It comprehensively discusses First Abu Dhabi Bank's international expansion and evaluates its results.

Finally, the paper concludes by providing answers to the research questions, highlighting how the findings can be applied to academic research and real-world business scenarios, and summarising the main insights gained during the study.