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Svante Andersson and Henrik Florén
The purpose of this paper is to discuss the research on internationalization in small firms and research on managerial behavior, and it aims to develop new research questions that…
Abstract
Purpose
The purpose of this paper is to discuss the research on internationalization in small firms and research on managerial behavior, and it aims to develop new research questions that can enhance the understanding of the interface between these two areas.
Design/methodology/approach
A literature review of internationalization of small firms is carried out. It is concluded that understanding of managerial behavior in small international firms is in need of improvement. Therefore, the literature on managerial behavior is described, scrutinized and deployed in the context of small firms' internationalization.
Findings
No previous research has combined the research on small‐business internationalization and managerial behavior. Hypotheses that can be empirically tested and new research questions that can yield a better understanding of the internationalization processes in small firms are developed.
Research limitations/implications
The hypotheses developed in this study have not yet been tested empirically. Further research is suggested to confirm and elaborate these propositions.
Practical implications
As the propositions in this study are not tested their practical implications are limited at present. However, earlier research has shown that there is a link between managerial behavior and firm behavior. Managers may be inspired by the study to reflect upon this link and adjust their behavior in ways that can improve their firms' international development.
Originality/value
In this paper the research on internationalization in small firms is merged with the research on managerial behavior. By adding knowledge from the latter research tradition, the understanding of small‐firm internationalization should be advanced through raising novel issues and applying new methodological tools.
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Laura Cortellazzo, Sara Bonesso and Fabrizio Gerli
The entrepreneur is the main decision-maker in small and medium-sized enterprises and is the principal force in the implementation of a firm's international strategy. Research has…
Abstract
Purpose
The entrepreneur is the main decision-maker in small and medium-sized enterprises and is the principal force in the implementation of a firm's international strategy. Research has paid limited attention to the intangible aspects of human capital, namely behavioural competencies that may have an impact on the entrepreneur's ability to take advantage of international opportunities. This study addresses this gap, identifying the behavioural competencies that distinguish entrepreneurs who pursue a stronger internationalisation expansion beyond the European market.
Design/methodology/approach
A competency modelling process is implemented for a sample of Italian entrepreneurs. Data on behavioural competencies are obtained through the coding of behavioural event interviews administrated to the entrepreneurs. Export intensity is adopted as a performance criterion to classify the entrepreneurs.
Findings
Three behavioural competencies (change catalyst, teamwork and organisational learning orientation) emerged as more significantly activated by entrepreneurs who show a higher export intensity in the global market.
Research limitations/implications
The exploratory nature of the study, conducted in a small sample and in a specific geographical area, may reduce the generalisability of the findings.
Practical implications
Entrepreneurs can become aware of the behavioural competencies needed for the implementation of internationalisation processes. Additionally, training programmes can be designed to promote the development of these behaviours.
Originality/value
Bridging the literature on international entrepreneurship, cross-cultural studies and competency-based research, this study highlights the role of behavioural competencies in the internationalisation process from a micro level of analysis. This article proposes a competency framework that can be adopted to assess a broader portfolio of entrepreneurs' behaviours.
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Daniel R. Clark and Jeffrey G. Covin
The literature on international entrepreneurship offers two competing views on why new ventures internationalize: (a) the nature of the opportunity pulls them international or (b…
Abstract
The literature on international entrepreneurship offers two competing views on why new ventures internationalize: (a) the nature of the opportunity pulls them international or (b) the founder pushes the firm international. While these two internationalization drivers are not independent, they do represent unique causal mechanisms. Previously, the tools available to understand the entrepreneur’s disposition toward internationalization were limited. The present study uses the theoretical foundation of the international entrepreneurial orientation construct and from it develops and tests an attitudinally-based individual-level measure of disposition toward internationalization. To ensure the validity and reliability of the new measure, termed International Entrepreneurial Orientation Disposition, studies were conducted to: develop new scale items, examine their psychometric properties and construct validity, and demonstrate criterion validity. A strong measurement model is developed using structural equation modeling (CFI = 0.93, RMSEA = 0.07), and the measure is shown to be useful as a predictor of perceived international venture attractiveness.
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Mohit Srivastava and Ladislav Tyll
This paper aims to develop a thorough understanding of industry-specific networking behaviour on the internationalization performance of Czech small and medium enterprises (SMEs).
Abstract
Purpose
This paper aims to develop a thorough understanding of industry-specific networking behaviour on the internationalization performance of Czech small and medium enterprises (SMEs).
Design/methodology/approach
The authors used a profile deviation-ideal profile methodology to explore the ideal networking behaviour profile of different industries. The authors argue that firms adhering to ideal profiles performed well in the international market, while firms deviating from the ideal profile performed poorly. Data were collected through an online questionnaire specifically targeted at Czech SME executives. The authors attempted to explore these issues by using four aspects of networking behaviour to test the ideal networking behaviour profile of five different industries (automotive, telecommunications, construction, audit and finance and transportation).
Findings
The authors have identified different ideal networking behaviour profile for three industries, which underpinned supported the hypothesis that each dimension of networking behaviour should be fine-tuned for each sector to achieve to attain maximum benefits and performance in the international market.
Originality/value
Although previous studies supported the role of networking behaviour in improving internationalization performance, multiple studies had also provided conflicting results on how networking affects different industries and it is unclear how and why networking affects these various industries differently. The authors believe that the results research provides empirical evidence in proving that different networking dimensions should be fine-tuned as per industry to achieve the highest performance in the international market. The authors believe that the findings broaden the current understanding of the role of networks in the internationalization. The authors believe that the findings extend the current understanding of the role of networks in the internationalization of SMEs.
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Daniele Pederzoli and Volker G. Kuppelwieser
The purpose of this paper is to challenge earlier recommendations and explanations regarding companies’ behaviour after an economic shock and analyses worldwide retail companies’…
Abstract
Purpose
The purpose of this paper is to challenge earlier recommendations and explanations regarding companies’ behaviour after an economic shock and analyses worldwide retail companies’ internationalization processes before and after the 2008 crisis.
Design/methodology/approach
Drawing on information published between 2003 and 2012, the authors focus on the 2008 crisis and analyse 1,500 different internationalization moves by 109 companies from 26 countries.
Findings
The analyses confirm that the pace of retail internationalization increased after the 2008 crisis, that these companies had mainly moved into countries with newly developing economies, and that the entry modes ranged from high-cost entry modes and low-cost strategies.
Originality/value
This paper provides an initial indication of retailers’ actual internationalization behaviour in the period considered. Such material has not been available previously as international retailing research has primarily focused on theoretical assumptions. By focusing on the current financial crisis, the authors highlight the problem that researchers investigating various company behaviours face when comparing these to the theoretical expectations. By using a worldwide, multisectorial, and longitudinal retailing sample to illustrate the internationalization process, the authors not only generalize companies’ internationalization behaviour, but also challenge earlier recommendations and explanations regarding their behaviour after an economic shock.
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The purpose of this paper is to investigate the social-cognitive antecedents of an entrepreneur’s internationalization intent and a firm’s behavior. Building on the insights of…
Abstract
Purpose
The purpose of this paper is to investigate the social-cognitive antecedents of an entrepreneur’s internationalization intent and a firm’s behavior. Building on the insights of social-cognitive psychology, the author develops a conceptual model linking an entrepreneur’s positive orientation, self-efficacy beliefs, internationalization intent and actual behavior of the firm.
Design/methodology/approach
The author tests this model with a sample of 310 Polish firms (including 241 domestic and 69 international new ventures), drawing on data collected first in 2006 and then in 2007.
Findings
The author finds that self-efficacy mediates between positive orientation and internationalization intent, and that an entrepreneur’s internationalization intent predicts a firm’s behavior (i.e. foreign market entry). Moreover, firm age moderates the relationship between an entrepreneur’s positive orientation and internationalization propensity among new ventures.
Research limitations/implications
Overall, the findings demonstrate that social-cognitive theory is useful in predicting new venture internationalization.
Practical implications
Based on the findings, the author recommends that managerial education in international management combines the development of “formal” skills and cross-cultural competencies with experiential and vicarious learning.
Originality/value
The study combines insights from psychology and international business, thus responding to numerous calls for a more interdisciplinary and cognition-oriented focus on the international behavior of firms.
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Patrick Schueffel, Rico Baldegger and Wolfgang Amann
The purpose of this paper is to identify factors that influence so-called born-again global firms’ internationalization behavior. Specifically, this article explores the following…
Abstract
Purpose
The purpose of this paper is to identify factors that influence so-called born-again global firms’ internationalization behavior. Specifically, this article explores the following questions: why do mature, domestically focused firms suddenly turn into born-again global firms, how do they do so and what elements are needed for born-again global firms to be sustainable.
Design/methodology/approach
Using an established international entrepreneurship model as a starting point, we extract relevant factors for a conceptual framework on born-again global firms’ internationalization activities. Case study research among a cross-sectional sample of born-again global firms is being applied for that purpose.
Findings
Driven by the insufficient size of their domestic market, born-again global firms typically embark on internationalization after a generational change at the chief executive officer level. Throughout their internationalization journey, they flexibly adapt toward new needs of their foreign environments. Due to their idiosyncratic characteristics, born-again global firms deserve consideration as a separate group of research objects in the field of international entrepreneurship.
Research limitations/implications
The investigated sample of case study firms was drawn across a variety of industries. As such, industry-specific conditions could not be observed and the findings from case study research run the risks of being generalized too broadly. In addition, the accuracy of the case study results may suffer from a certain degree of hindsight bias as the internationalization event took place in the past.
Practical implications
Openness to learning from other markets and the flexibility to modify products according to client needs strengthen born-again global firms’ competitiveness. To endure, born-again global firms have to be innovative in adapting to changes, which makes it easier for them to launch their products in new markets.
Originality/value
To date, international entrepreneurship has focused on the activities of small and newly established firms, largely neglecting the behavior of somewhat larger and established firms in traditional sectors. This study shows that established companies can exhibit the same innovative, proactive and risk-seeking behavior across borders as new ventures do. Despite their strongly rooted structures, strategies and cultures, born-again globals can flexibly adapt to new environments.
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Grisna Anggadwita and Nurul Indarti
The academic literature on women’s entrepreneurship in the internationalization of small and medium-sized enterprises (SMEs) continues to increase, possibly due to the enormous…
Abstract
Purpose
The academic literature on women’s entrepreneurship in the internationalization of small and medium-sized enterprises (SMEs) continues to increase, possibly due to the enormous potential of women’s entrepreneurship to promote social empowerment and economic growth in a country. This study aims to systematically review existing research on women’s entrepreneurship in the internationalization of SMEs and provide a robust understanding of academic developments in this field. This study also aims to identify and explore key thematic areas within the research field related to women’s entrepreneurship in SME internationalization.
Design/methodology/approach
This study selected 62 articles retrieved from the four databases (Scopus, Web of Science, EBSCO and Google Scholar). Content analysis was conducted to identify key research issues and gaps, which were then mapped on cluster themes. VOSviewer was used to represent the research cluster themes visually.
Findings
This study identifies and discusses six research streams related to the concept of women’s entrepreneurship in SME internationalization: export behavior and gender in SMEs; entrepreneurship and country economic development; gender, innovation and performance in SME internationalization; women entrepreneurship in international business and management research; internationalization process of SMEs; and business experience and export experience. Some topics that emerged as potential for future research include personal and organizational dynamics, internationalization behavior, decision-making, adoption of strategies or technologies and orientation toward international markets.
Originality/value
This study offers valuable insights for policymakers and stakeholders aiming to foster women’s entrepreneurship within the internationalization landscape of SMEs. The findings provide a roadmap for identifying underexplored areas in women’s entrepreneurship within SME internationalization, guiding future research initiatives.
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Xiaobi Zheng, Jiayue Qian and Danbo Chen
Many newly established Internet loss-making enterprises (NEILEs) are always willing to expand overseas within a very short time from their establishment. This phenomenon is…
Abstract
Purpose
Many newly established Internet loss-making enterprises (NEILEs) are always willing to expand overseas within a very short time from their establishment. This phenomenon is becoming a hot research area. This paper aims to explore why these enterprises are always willing to expand overseas rapidly even if they are facing severe and persistent losses, and to study the different rapid internationalization modes and the international market entry ways for NEILEs.
Design/methodology/approach
This paper constructs a theoretical framework with the dual situation of negative attainment discrepancy and advantageous slack resources to explain the rapid internationalization of NEILEs. Furthermore, cross-case comparative analysis method, based on interviews, questionnaires and secondary data collection, is adopted to reveal the rapid internationalization modes and the international market entry ways of such enterprises.
Findings
Whether blocking competitors or seeking opportunities or both, NEILEs' goal of rapid internationalization depends on the severity and persistence of negative attainment discrepancy. When the severity and persistence of negative attainment discrepancy are very significant, moderate and mild, NEILEs choose sniper-type, opportunity-type and dual-type internationalization target mode in turn; it is very important for NEILEs to match advantageous slack resources and international market entry ways to achieve specific internationalization goals.
Research limitations/implications
This paper enriches the understanding of NEILEs' transnational entrepreneurial behavior in the era of digital economy. The theoretical contribution of this paper is that the authors build a theoretical framework based on the logical starting point, the logical fulcrum and the logic ending point for understanding the rapid internationalization of NEILEs.
Practical implications
This study demonstrates that NEILEs can also expand into foreign markets according to their own characteristics. Undoubtedly, they need to choose appropriate internationalization target mode and international market entry way in line with the extent and duration of their losses, and their advantageous slack resources.
Originality/value
In this paper, the authors construct the rapid internationalization theory of NEILEs based on the dual situation of negative attainment discrepancy and advantageous slack resources in digital economy era. Moreover, the authors discover the behavioral characteristics and patterns of NEILEs' transnational entrepreneurship.
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