Success factors influencing the selection of the location of international firms
ISSN: 1059-5422
Article publication date: 31 March 2020
Issue publication date: 10 September 2020
Abstract
Purpose
This study aims to explore critical success factors contributing to the selection of beneficial foreign markets by Arabian international firms.
Design/methodology/approach
Multiple case study method was adopted in the study, and thus, two rich-information comparative case studies were purposefully selected from Arabian large firms. Additionally, seven international market selection (IMS) decisions were examined through relying on personal interviews and archival data, and field notes as secondary data resources. Two main stages of analysis were undertaken, i.e. within and cross-case analyses.
Findings
The results showed four critical factors contributing to the selection of beneficial international markets by Arabian firms, i.e. international business experience of the selected management team, the market knowledge about the potential international markets, in-house and external consultations with international business experts and identification of a trustworthy and internationally experienced manager for the international operation.
Practical implications
The results have important implications to business managers by improving their foreign market selection behavior. Further, the research’s findings can assist less-experienced firms, willing to internationalize their businesses, in enhancing their decision-making process to arrive at beneficial country for their international operations.
Originally/value
The research findings provide significant theoretical contribution to literature review on the internationalization process of firms through addressing critical success factors in IMS decision process. Further, it provides significant methodological contributions in relation to the effectiveness of the case study approach in capturing elements of the IMS process.
Keywords
Acknowledgements
The author would like to thank the anonymous reviewers for their thoughtful and constructive comments and efforts which contributed to the improvement of this article.
Citation
Al Qur’an, M. (2020), "Success factors influencing the selection of the location of international firms", Competitiveness Review, Vol. 30 No. 5, pp. 665-679. https://doi.org/10.1108/CR-05-2018-0030
Publisher
:Emerald Publishing Limited
Copyright © 2020, Emerald Publishing Limited