Title: Strategic adaptation under changing environment: how Amway reinvented and revitalised itself in China

Authors: Justin Tan

Addresses: Eppley College of Business Administration, Creighton University, Omaha, NE 68178, USA

Abstract: This case documents how the American direct marketer, Amway, entered the Chinese market and significantly altered its business model when the Chinese Government suddenly banned direct selling in April 1998. Facing the prospect of having to reorganise its internationally renowned sales system or leaving China, Amway (China) made unprecedented modification to its business model for long-term growth potential in the rapidly growing Chinese market.

Keywords: Amway; China; multinational corporate strategy; regulatory environment; Chinese marketplace; business models.

DOI: 10.1504/IJEIM.2005.006534

International Journal of Entrepreneurship and Innovation Management, 2005 Vol.5 No.3/4, pp.349 - 357

Published online: 20 Mar 2005 *

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