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Article
Publication date: 13 July 2015

Juan Gabriel Brida, Oana Madalina Driha, Ana B. Ramón-Rodríguez and Raffaele Scuderi

This paper aims provides an empirical analysis of the development of the internationalisation process in the Spanish hotel industry, which has experienced major changes…

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1532

Abstract

Purpose

This paper aims provides an empirical analysis of the development of the internationalisation process in the Spanish hotel industry, which has experienced major changes during the past decade. The degree of internationalisation between 2000 and 2010 is used as a proxy variable with the aim of mapping the development of international strategies.

Design/methodology/approach

A longitudinal dataset measuring the internationalisation of Spanish hotel chains is used. Cluster analysis identifies the different behaviour of groups of firms during the analysed period.

Findings

Two different clusters are detected, which can be attributed to different internationalisation strategies over time. Small and medium (SME) hotel companies seem to follow a different path of development than more established multinational companies. Over time, the entire group tends to be more compact, whereas the distance between the clusters is shown to diverge in final years. The groups’ composition suggests that business-networking relationships can be a strategy of particular importance for SMEs pursuing international expansion.

Practical implications

This paper develops a better understanding of the changes of the internationalisation patterns of Spanish hotel chains. Findings could address managers in strategic decisions about how to improve competitive position. In particular, they recommend accounting for size, international experience and business network relationships when expanded abroad.

Originality/value

This paper introduces a new approach based on studying clusters of Spanish hotels according to their internationalisation strategies over the time. Further analysis revealed the role of business network on internationalisation patterns.

Details

International Journal of Contemporary Hospitality Management, vol. 27 no. 5
Type: Research Article
ISSN: 0959-6119

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Article
Publication date: 9 March 2015

Sascha Fuerst and Peter Zettinig

This paper aims to examine the dynamic process of knowledge creation of the international new venture (INV) through the interaction with network partners. The process of

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4768

Abstract

Purpose

This paper aims to examine the dynamic process of knowledge creation of the international new venture (INV) through the interaction with network partners. The process of how INVs make use of external sources for the acquisition of international market knowledge is not well-understood.

Design/methodology/approach

To uncover the dynamics of the knowledge creation process, the authors applied event-driven process research by following the internationalization process of four INVs in real time. More specifically, they adopted qualitative diary research combined with periodic follow-up interviews as the main data collection method. A visual mapping strategy was used for the analysis of the process data.

Findings

The analysis shows that different pathways of knowledge acquisition through congenital learning, searching, vicarious learning and grafting interact with each other. Grafting and experiential learning alongside the partner lead to the acquisition of internationalization knowledge in particular. Knowledge sources for international market knowledge are proactively created by the entrepreneurs. The wider effectual stakeholder network constitutes an important source for international market knowledge.

Research limitations/implications

The authors followed the early internationalization process of the case firm in real time over a 10-month period. This provides a limited window of observation. Future research might extend the observation period to examine further the evolutionary nature of the different learning types throughout the growth of the INV. The case firms operate in Internet-enabled businesses and are all located in the same country and city (i.e. Colombia and the city of Medellin). Future studies might focus on firms operating in different industries and geographical areas.

Practical implications

Congenital technological knowledge is a prerequisite for internationalization. The entrepreneur, however, does not need to rely on congenital international market knowledge. Such knowledge can be developed through network partners. Foreign business and institutional knowledge can be obtained vicariously, also from professional advisors. Internationalization knowledge, however, needs to be developed in close interaction with an international cooperation partner, where a strong relationship commitment prevails.

Originality/value

The authors use effectuation theory combined with process research methods to gain insights into the dynamics of knowledge creation within the INV. Thereby, they are able to shed light on the dynamics of the process that is difficult to capture through cross-sectional research designs. Research on the internationalization process of young ventures in the context of Latin America is scarce. Therefore, the paper contributes new knowledge about the development of these firms in that particular region.

Details

European Business Review, vol. 27 no. 2
Type: Research Article
ISSN: 0955-534X

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Article
Publication date: 12 August 2019

Luis Vinicio Losilla, Alejandra Engler and Verena Otter

The purpose of this paper is to develop and apply a framework that examines the dynamics of internationalization strategies employed by export companies in the…

Abstract

Purpose

The purpose of this paper is to develop and apply a framework that examines the dynamics of internationalization strategies employed by export companies in the agricultural sector of emerging economies over time, with a focus on the locus of destination markets of the Chilean fruit sector. Thus, the objective is to identify conceptual and empirical deviations from existing research on export firms participating in non-agricultural sectors of industrialized countries.

Design/methodology/approach

The matrix of multi-nationality developed by Aggarwal et al. (2011) is extended by incorporating the firm category of “host region” and the dimensions scale and time. This framework is utilized to classify 233 Chilean fresh fruit exporters according to their internationalization strategies based on a geographical distribution of their exports. A uni- and bivariate longitudinal analysis is conducted over a seven-year period (2009–2015) to explore the dynamics of this internationalization process.

Findings

A significant number (12.75 percent) of firms classified as “host regional” are identified, and thus a clear difference in internationalization strategies when compared to non-agricultural sectors in industrialized countries. Simultaneously, similarities in these sectors can be found. Most firms are “transregionally” (65.12 percent) or “globally” oriented (16.06 percent), mainly following a linear internationalization path when considering the number of export markets. But there is also evidence of “born-global” firms, which mainly follow non-linear internationalization paths in more geographically and psychically distant markets.

Research limitations/implications

The extended framework developed in this research can be applied to future studies, particularly in the case of economies where a significant proportion of firms are predominantly focusing their export strategies on one single international market. Since this study focuses on one national sector as a prime example, further studies on other countries and sectors may provide additional evidence of its generalizability.

Practical implications

Based on the findings, concrete measures have been suggested to aid Chilean policy makers in implementing evidence-based economic policies, as well as Chilean public trade organizations and private export associations in the fruit sector, in relation to services such as training, strategy consulting and trade network development that they provide to export firms.

Originality/value

The study contributes to the existing literature by introducing the firm category “host regional” into the matrix of multi-nationality, and empirically verifies its existence among agricultural export firms in emerging economies. Furthermore, it also shows that even when it might result counterintuitive, firms from the agricultural sector share similarities in internationalization strategies with firms from industrial sectors.

Details

International Journal of Emerging Markets, vol. 15 no. 2
Type: Research Article
ISSN: 1746-8809

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Book part
Publication date: 3 October 2019

Jule Keller-Bacher and Ansgar Zerfass

This chapter examines the specific role of strategic communication as a facilitator for business internationalization. It provides a new and comprehensive rationale for…

Abstract

This chapter examines the specific role of strategic communication as a facilitator for business internationalization. It provides a new and comprehensive rationale for explaining the contribution of strategic communication to the global success of companies and shows communication leaders how they could demonstrate the value of communication for internationalization.

The chapter identifies an important contribution of strategic communication in today’s globalized world, which demands further attention in academia and in practice by addressing three research questions: (1) How can strategic communication be conceptualized as part of the internationalization of firms? (2) Which specific objectives, responsibilities and practices can be assigned to strategic communication within the process of internationalization? (3) Does the theoretical framework capture the significant components of strategic communication within internationalization, appropriately from the point of view of senior experts in the field?

The chosen approach is conceptual and empirical. A cross-disciplinary literature analysis has been performed to construct a framework that links possible forms and manifestations of strategic communication to different situations of international business development. Qualitative interviews with senior communication executives were conducted to verify the plausibility of the theoretical framework from a professional point of view. The study identifies four core fields of strategic communication within the internationalization processes: initiation, transformation, expansion and integration. Communication should be implemented differently within the typical periods of internationalization, and communication management should focus on different aspects during these processes. Empirical findings indicate that the core fields depicted in the framework are either already applied in practice or perceived as plausible and doable.

From a theoretical standpoint, this study emphasizes the value of a cross-disciplinary perspective on corporate communications, which helps to bridge gaps between management research and communication studies. The study expands the body of knowledge in strategic communication by integrating new objectives and activities.

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Article
Publication date: 28 August 2020

Sussie C. Morrish and Anna Earl

The purpose of this study is to investigate the influence of network relationships and institutional environment on premium winegrowers’ internationalization process.

Abstract

Purpose

The purpose of this study is to investigate the influence of network relationships and institutional environment on premium winegrowers’ internationalization process.

Design/methodology/approach

This study uses a case study approach to examine two premium wine producers engaged in internationalization. The data sources consist of semi-structured interviews, observations at three major events and secondary data sourced from industry reports and materials that are available online.

Findings

Findings illustrate that both personal and inter-firm networks help wineries to internationalize. Inter-firm networks play a significant role in gaining international legitimacy. Personal networks were found to be more important in establishing brand authenticity that facilitates wineries in their internationalization process. Gaining international legitimacy and establishing brand authenticity are crucial in the successful internationalization of premium wineries.

Research limitations/implications

This study provides an explanation of how networks can be put into institutional context. Future studies could map out the formal and informal institutions within the wine industry and investigate the closer dynamics among the different actors in the whole network. A whole network is formally structured and governed, yet still built on the relationships among members, making it a very complex phenomenon. This would allow the evaluation of multilateral ties that link firms and actors within the network and how this affects the internationalization process.

Practical implications

This paper provides managers with insights on how they can capitalize on their inter-firm and personal networks to help them deal with domestic and international institutional environments when embarking on internationalization activities.

Originality/value

This paper adds to the existing literature on networks relationships and provides an important link between networks, institutions and internationalization.

Details

Journal of Business & Industrial Marketing, vol. 36 no. 11
Type: Research Article
ISSN: 0885-8624

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Article
Publication date: 12 October 2015

José Carlos Pinho and Miguel Linhares Pinheiro

This paper highlights the relevance of using social network analysis (SNA) as a different methodological approach to understand the numerous complex interactions that take…

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1494

Abstract

Purpose

This paper highlights the relevance of using social network analysis (SNA) as a different methodological approach to understand the numerous complex interactions that take place within the internationalization process.

Design/methodology/approach

The paper is divided into three major sections: First, it identifies relevant articles on social networks published in appropriate academic journals; second, the process leading to SNA is presented; third, an illustrative case is described to show the relevance of SNA within the context of international business.

Findings

Drawing on relevant literature, the authors found that most studies in the field of social networks and internationalization rely on conventional research methods based on qualitative (e.g. multiple case studies) or quantitative studies (e.g. surveys). Without questioning the relevance of these methods, the authors claim that very few studies have used the SNA methodology, which is based on a sociometric approach addressing the interactional dynamics embedded in international relationships.

Originality/value

Specifically, this paper attempts to analyze the major advantages and shortcomings of the SNA methodology, which may be useful to understand interactional (or relational) effects associated with an internationalization strategy.

Details

European Business Review, vol. 27 no. 6
Type: Research Article
ISSN: 0955-534X

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Article
Publication date: 7 September 2012

Edith Olejnik and Bernhard Swoboda

The purpose of this paper is to identify the internationalisation patterns of small‐ and medium‐sized enterprises (SMEs) quantitatively, to describe SMEs as they follow…

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11062

Abstract

Purpose

The purpose of this paper is to identify the internationalisation patterns of small‐ and medium‐sized enterprises (SMEs) quantitatively, to describe SMEs as they follow different patterns over time and to discuss the determinants of these patterns through empirical study.

Design/methodology/approach

The authors conducted a questionnaire survey among mature German SMEs (n=674). To identify internationalisation patterns, a latent class clustering approach was applied. Because of the large sample, a multinomial logistic regression analysis could be used to analyse the factors influencing these patterns.

Findings

The authors empirically find three internationalisation patterns: traditionals, born globals and born‐again globals. Comparing modern SMEs with the same SMEs from ten years ago, it was found that firms may change their patterns. Moreover, the patterns are determined by international orientation, growth orientation, communication capability, intelligence generation capability and marketing‐mix standardisation.

Research limitations/implications

Combining elements of the Uppsala model (countries and operation modes) and born global research (time lag and foreign sales ratio), three internationalisation patterns of established international SMEs from traditional sectors were identified empirically. Because of the multidimensional nature of internationalisation, the patterns may change over time. Different firm‐level factors determine the internationalisation patterns.

Originality/value

Instead of applying “arbitrary” thresholds, the paper provides a quantitative approach to identifying internationalisation patterns. These patterns confirm the three main internationalisation pathways discussed in the international marketing literature. The paper further advances the field by describing the patterns, showing evidence that the patterns may cross over time and providing information on the factors that influence the patterns.

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Article
Publication date: 1 February 2008

Gard Hopsdal Hansen

The purpose of this paper is to address the role of the qualitative researcher in international business (IB) studies and the need for a local perspective to better…

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1791

Abstract

Purpose

The purpose of this paper is to address the role of the qualitative researcher in international business (IB) studies and the need for a local perspective to better comprehend the complexity and consequences of international economic activity.

Design/methodology/approach

Argues that the internationalization process is constructed at the doorstep where local and international actors meet and should thus be studied from both angles. The article provides some empirical examples and anecdotes from research in China to underpin the argumentation. The questions are discussed in the voices of “the Geographer” and “the Explorer” – characters borrowed from Saint‐Exupery's novel The Little Prince.

Findings

Research on IB is overly oriented towards the activities of international actors. More knowledge on how local actors evaluate and act upon international initiatives and the relations between entrants and locals may provide better understanding of realities and dynamics of actors in both camps.

Practical implications

Researchers of IB should go beyond the traditional sources of information (i.e. Multinational Corporation managers) and also consult actors on the far side of IB. By entering deeper into the field of study the researcher may be able to gain profound insight, but s/he may also become a more active ingredient in the realities being studied.

Originality/value

To discuss these issues through metaphorical characters like the Geographer and the Explorer, and, on top of this, construct an interview is of course a rather unorthodox solution. However, considering the methodological issues being discussed and the messy approach advocated the author found this solution appropriate.

Details

Critical perspectives on international business, vol. 4 no. 1
Type: Research Article
ISSN: 1742-2043

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Article
Publication date: 16 November 2015

Christian Geisler Asmussen, Bo Bernhard Nielsen, Tom Osegowitsch and Andre Sammartino

– The purpose of this paper is to model and test the dynamics of home-regional and global penetration by multi-national enterprises (MNEs).

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2956

Abstract

Purpose

The purpose of this paper is to model and test the dynamics of home-regional and global penetration by multi-national enterprises (MNEs).

Design/methodology/approach

Drawing on international business (IB) theory, the authors model MNEs adjusting their home-regional and global market presence over time. The authors test the resulting hypotheses using sales data from a sample of 220 of the world’s largest MNEs over the period 1995-2005. The authors focus specifically on the relationship between levels of market penetration inside and outside the home region and rates of change in each domain.

Findings

The authors demonstrate that MNEs do penetrate both home-regional and global markets, often simultaneously, and that penetration levels often oscillate within an MNE over time. The authors show firms’ rates of regional and global expansion to be affected by their existing regional and global penetration, as well as their interplay. Finally, the authors identify differences in the steady states at which firms stabilize their penetration levels in the home-regional and the global space. The findings broadly confirm the MNE as an interdependent portfolio with important regional demarcations.

Originality/value

The authors identify complex interdependencies between home-regional and global penetration and growth, paving the way for further studies of the impact of regions on MNE expansion.

Details

The Multinational Business Review, vol. 23 no. 4
Type: Research Article
ISSN: 1525-383X

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Article
Publication date: 20 April 2015

Rob van Tulder

This paper presents a framework for an improved understanding of actual internationalization motives. Answers to a key question in IB studies – why companies…

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2599

Abstract

Purpose

This paper presents a framework for an improved understanding of actual internationalization motives. Answers to a key question in IB studies – why companies internationalize – contain considerable flaws. There are theoretical, disciplinary and methodological reasons for this state of affairs. In practice, the lacking attention for motivational constellations has serious repercussions for the theoretical sophistication of IB studies, lowering its managerial relevance.

Design/methodology/approach

Managers are confronted with many internationalization considerations simultaneously and, therefore, often have difficulty in recognizing themselves in extant approaches. The abstractions that many textbooks and academic papers present on the why question of corporate internationalization defy reality in case the various motivational trade-offs that managers face are not adequately addressed. This contribution presents a framework that is based on the identification of a number of motivational tensions that define the outcome of the actual internationalization strategies of companies: between intrinsic and extrinsic motives, between strategic intent and realization and between tactical and strategic considerations.

Findings

Dealing with these tensions at the same time provides a strong ground for explaining particular outcomes of the internationalization process in degrees of international coordination and integration.

Practical implications

The practical implication of the approach is a new conceptual framework that help scholars and managers understand complex configurations of internationalization motives better and thus come up with more realistic descriptions of what has actually influenced companies to adopt a particular internationalization strategy.

Originality/value

The paper presents a completely new combination of models to document the motivations and consequently the internationalization trajectories of companies. It is, however, also well founded in the literature, but it presents a fundamental account of some serious flaws in IB theory and practice.

Details

The Multinational Business Review, vol. 23 no. 1
Type: Research Article
ISSN: 1525-383X

Keywords

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