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The purpose of this paper is to compare the e‐service quality perceptions of US and South Korean consumers in relation to overall e‐service quality, e‐satisfaction, and e‐loyalty to understand geographic and cultural differences in relation to the international expansion of e‐business.

The data for the study were collected from college‐age internet users in the USA and Korea. A total of 361 questionnaires were deemed as usable for data analysis. Regression analyses were used to test the conceptual model.

Privacy and efficiency significantly affected overall e‐service quality and e‐satisfaction for respondents in both Korea and the USA. As for Korean respondents, system availability and fulfillment were significant factors that affected overall e‐satisfaction. The relationships among overall e‐service quality, e‐satisfaction, and e‐loyalty were positively significant between the two countries.

Using two sets of data from the USA and Korea, the paper examined important e‐service quality dimensions in producing overall e‐service quality and e‐satisfaction which in turn influence e‐loyalty based on respondents' actual shopping experience. The dimensions identified in the study are based on a full assessment of an e‐service experience. Global e‐retailers can use the dimensions identified by the paper to better assess their service performance on an international level.

The paper is unique in that it is one of the first cross‐cultural examinations of how consumers in two different countries perceived e‐service quality using e‐SQ scale developed by Parasuraman et al.

This case will enable students to understand the operations and business model of an international retailer. The case offers enough insights and learning on a retailer who enters a different market and collaborates with the local players to gain market access; and to understand the marketing techniques and strategies of an international retailer to capitalise on market opportunities.

The case is about a third largest US-based multinational Costco Wholesale corporation which is a giant retailer. The company operated at 803 locations with a revenue of $166.7bn, which makes it the third largest global retailer in 2020. The case offers comprehensive insight into Costco Wholesale’s business model, distribution strategy, marketing techniques and internationalisation. The authors further discuss that how Costco put forth its model among different range of customers and provided them with high-quality products at a comparatively lower price. The focus of the case is towards the Asian expansion of Costco. In subsequent parts, the strategies and challenges of Costco with respect to its Asian competitors have also been discussed. After generating experience in Asian markets, Costco has considered China as its next destination. The case also discusses the foreign retailers’ success, failure and retail format.

This case is designed for undergraduate and postgraduate classes of management and business administration.

Teaching notes are available for educators only.

CSS 8: Marketing.