Foreign retail companies operating in the UK: Strategy and performance

There are at least 20 overseas companies operating in the retail sector in the UK, taking in a range of merchandise from footwear to jewellery. One strategy is that adopted by the multi‐national manufacturers — vertical integration, in order to secure outlets for their products. The multinational retailers, on the other hand, have pursued a policy of horizontal integration. However, many of both types of firms show a relatively low rate of profitability in relation to other foreign companies operating in Britain.