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1 – 10 of over 4000Telma Mendes, Vitor Braga and Carina Silva
This article aims to explore how cluster affiliation moderates the relationship between family involvement and speed of internationalization in family firms. The speed of…
Abstract
Purpose
This article aims to explore how cluster affiliation moderates the relationship between family involvement and speed of internationalization in family firms. The speed of internationalization is examined in terms of earliness and post-internationalization speed.
Design/methodology/approach
The research is based on a sample of 639 Portuguese family businesses (FBs) created and internationalized between 2010 and 2018 that was retrieved from the Iberian Balance Analysis System – SABI database. The partial least squares structural equation modeling (PLS-SEM) was used to assess the measurement and construct the model.
Findings
The results suggest that higher levels of family involvement in ownership and management make family firms enter on international markets in later stages of their development but, after the first international market entry, the firms are able to exhibit a higher post-internationalization speed. When considering the effect of cluster affiliation, the authors found that clustered FBs are more likely to engage in early internationalization and to accelerate the post-internationalization process than non-clustered FBs.
Originality/value
The study's findings are explained by the existence of socially proximate relationships with other cluster members, based on similarity, trust, knowledge exchange and sense of belonging, which push family firms to internationalize and increase their level of international commitment over time. The empirical evidence, therefore, highlights the primary role of industrial clusters in moderating the relationship between family involvement, earliness of internationalization and post-internationalization speed.
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Banruo Zhang, Zijie Li, Xiaomeng Li and Ziqi Liu
The speed of internationalization is an important research topic in the process of internationalization. This paper aims to answer two questions: first, what is the relationship…
Abstract
Purpose
The speed of internationalization is an important research topic in the process of internationalization. This paper aims to answer two questions: first, what is the relationship between the speed of internationalization of Chinese multinational firms and their performance? Second, how do potential slack and knowledge assets of firms affect this relationship?
Design/methodology/approach
The authors choose Chinese A-share listed manufacturing firms from 2009–2018 as the research sample and use the fixed-effect regression model to test the proposed hypotheses.
Findings
Firstly, there is an inverted U-shaped relationship between the speed of internationalization and firm performance (SI-P). Secondly, the potential slack and knowledge assets of firms moderate the inverted U-shaped relationship. Firms with a higher level of potential slack or knowledge assets have a flatter inverted U-shaped relationship between SI-P.
Originality/value
First, the authors develop and extend Penrose’s theory of firm growth to the research topic of speed of internationalization. Second, this paper incorporates the time dimension into the research on the internationalization process and locates the research context in emerging market firms (EMFs). This is a step forward in clarifying the complex relationship of SI-P. Third, the authors show that the SI-P relationship of EMFs is inverted U-shaped and integrate previous studies, which argue that rapid internationalization positively or negatively affects firm performance. Fourth, starting from inside the firm, the authors provide more contextual factors for better understanding and analysis of the SI-P relationship.
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Alexander Mohr and Georgios Batsakis
– The purpose of this paper is to study draws on the resource- and knowledge based views (RBV/KBV) of the firm to explain the internationalisation speed of retail firms.
Abstract
Purpose
The purpose of this paper is to study draws on the resource- and knowledge based views (RBV/KBV) of the firm to explain the internationalisation speed of retail firms.
Design/methodology/approach
The authors use a panel data set of 144 international retailers over a ten-year period and employ feasible generalised least squares analysis in order to assess the effect of intangible assets and international experience on internationalisation speed.
Findings
The results support direct effects of intangible assets and international experience, while the latter effect is also moderated by firms’ home-region concentration.
Research limitations/implications
The study investigates the determinants of retailers’ internationalisation speed. While research stresses the positive performance effects of rapid internationalisation, future research should investigate the role of internationalisation speed for the performance of retailers empirically. The findings support the usefulness of adopting a RBV/KBV for explaining internationalisation speed.
Practical implications
The findings imply that firms need to have particular intangible resources before being able to internationalise rapidly. They also show that decision-makers need to be mindful of the effects of international experience in allowing them to expand overseas both within and outside their home region.
Originality/value
There has been very little research into the speed with which firms in general and service sector firms in particular expand their operations internationally. Through a theory-based analysis of a newly created panel data set this study provides novel insights into the factors that lead retail firms to internationalise rapidly.
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Drawing on the gender self-schema theory, upper echelons theory and the literature on international business, this study aims to examine the impact of board gender diversity on…
Abstract
Purpose
Drawing on the gender self-schema theory, upper echelons theory and the literature on international business, this study aims to examine the impact of board gender diversity on firms' internationalization speed.
Design/methodology/approach
In this study, secondary data of 886 listed Chinese manufacturing firms from 2009 to 2018 are studied using the ordinary least squares regression model as the baseline method, an instrumental variable method is adopted for endogeneity control and both fixed and random effect models are adopted for the robustness test.
Findings
Board gender diversity reduces firms' internationalization speed, and the negative effect between board gender diversity and internationalization speed is stronger when the average age of female directors is older and weaker when female directors have international experience or financial background.
Practical implications
First, Chinese firms need to increase or decrease board gender diversity to match the board to firms' internationalization strategy. Increasing board gender diversity may be a more appropriate choice for firms that are expanding rapidly internationally, and vice versa. Second, when introducing female directors to international firms, it is essential to address other characteristics of these directors beyond their gender.
Originality/value
First, the authors contribute to the literature on board gender diversity using Chinese manufacturing firms as our research sample, which provides new insights into the economic consequences of increasing the number of female directors. Second, this research contributes to the literature on firms' internationalization speed. Third, the authors capture in more detail the economic consequences of increasing board gender diversity in the context of China.
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Henry Langseth, Michele O'Dwyer and Claire Arpa
This study applies Oviatt and McDougall’s (2005) model of forces influencing the speed of internationalisation to small, export oriented enterprises. The purpose of this paper is…
Abstract
Purpose
This study applies Oviatt and McDougall’s (2005) model of forces influencing the speed of internationalisation to small, export oriented enterprises. The purpose of this paper is to explore the significance of the forces enabling, motivating, mediating and moderating internationalisation in small and medium-sized enterprises (SMEs), and the manner in which these forces manifest themselves in the market.
Design/methodology/approach
A qualitative research approach utilising eight case studies within Norway and Ireland was adopted in order to facilitate theory building required for this study.
Findings
The findings demonstrate that four forces in particular are found to be strongly significant to the speed of internationalisation among the case SMEs: the enabling force of technology, the mediating force of entrepreneurial actor perceptions/owner-managers’ global vision and the moderating forces of foreign market knowledge and tie strength in networks.
Practical implications
The empirical evidence has several implications for managers and policy regarding influencing the speed of internationalisation process. The enabling force (technology) has implications for government in their support of the SME macro environment. The motivating force (competition) has implications for government, in understanding what motivates entrepreneurs to enter international markets. The two moderating forces (foreign market knowledge and network tie strength) have implications for managers and can be leveraged through product innovation, increased focus on intellectual property rights for better protection against copycats, and through active and deliberate international networking.
Originality/value
The paper suggests adjustments to Oviatt and McDougall’s (2005) model, permitting researchers to gain an in-depth understanding of the complex reality of SME internationalisation.
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The purpose of this paper is to investigate exploration and exploitation as antecedents to speed of internationalization in born global firms.
Abstract
Purpose
The purpose of this paper is to investigate exploration and exploitation as antecedents to speed of internationalization in born global firms.
Design/methodology/approach
By using 150 born global firms in China, the authors demonstrate that the influence of exploration and exploitation on born globals’ speed of internationalization. The statistical method in this study is hierarchical regression model.
Findings
The results revealed that exploration has a negative effect on the internationalization of born global firms, whereas exploration does not. The interaction between exploration and exploitation has positive influence on born globals’ speed of internationalization.
Practical implications
The study helps entrepreneurs and managers to better understand how to achieve international entrepreneurship success and internationalization success.
Originality/value
This study makes a theoretical development of internationalization speed, a core aspect of international entrepreneurship theory. First, this study contributes to theories on born globals’ speed of internationalization, which the authors redefined in the current study by using two approaches to measure the speed of internationalization of born global firms. Second, the study used exploration and exploitation as the two designated factors that are supposed to affect the speed of internationalization of born globals which contributes to the theoretical literature of international opportunity.
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Qiuping Peng, Xi Zhong, Huaikang Zhou and Shanshi Liu
This paper aims to investigate the moderating roles of negative attainment discrepancy and state ownership in the relationship between internationalization speed and firm…
Abstract
Purpose
This paper aims to investigate the moderating roles of negative attainment discrepancy and state ownership in the relationship between internationalization speed and firm innovation.
Design/methodology/approach
Panel fixed-effects regressions model was applied to test the influence of internationalization speed on firm innovation using data collected from Chinese listed companies between 2003 and 2017.
Findings
The internationalization speed can positively promote firm innovation. Moreover, negative attainment discrepancy enhances the effect of internationalization speed on firm innovation. The effect of negative attainment discrepancy on internationalization speed and firm innovation performance is more positive in state-owned firms than in non-state-owned firms.
Research limitations/implications
A suitable time of internationalization speed to affect firm innovation is obtained.
Practical implications
This paper suggests that decision-makers should set an appropriate aspiration to internationalize firms and increase firm innovation. Moreover, state-owned enterprises should pay attention to negative attainment discrepancies.
Originality/value
The study revealed the boundary conditions of negative attainment discrepancy and state ownership on the relationship between internationalization speed and firm innovation, contributing to the theoretical advancements in internationalization speed.
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The purpose of this paper is to investigate the performance implications of internationalization strategies for Chinese multinational corporations (MNCs). Specifically, the…
Abstract
Purpose
The purpose of this paper is to investigate the performance implications of internationalization strategies for Chinese multinational corporations (MNCs). Specifically, the authors examine the individual and joint effects of speed of internationalization in developed and developing countries and age on Chinese MNCs’ performance.
Design/methodology/approach
The authors constructed a unique and comprehensive database on the internationalization strategies of 206 Chinese firms over 14 years and deployed random-effect regressions to assess the effects of age, speed of expansion in terms of number of subsidiaries and countries, and the types of destination (developed vs developing country) on firm performance.
Findings
The analyses show that age is negatively related to performance but rapid expansion of subsidiaries in developing countries and geographic scope in developed countries are positively related to performance. In addition, the impacts of young age and two types of expansion, fast expansion of subsidiaries in developing countries and fast expansion of geographic scope in developed countries, are cumulative.
Originality/value
The authors combine the arguments of the learning advantages of newness and fast movers and model the simultaneous effects of age and speed of two types of international expansion (in terms of number of subsidiaries and countries) in both developed and developing countries on performance. The strong empirical support for the hypotheses based on analyses of a unique data set of Chinese MNCs’ internationalization patterns lends credence to the proposed model.
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The purpose of this study is to investigate the impact of rapid internationalization by emerging-market multinational enterprises (EMNEs) on their innovation performance. It also…
Abstract
Purpose
The purpose of this study is to investigate the impact of rapid internationalization by emerging-market multinational enterprises (EMNEs) on their innovation performance. It also seeks to identify any potential moderating factors that could influence this relationship.
Design/methodology/approach
By analyzing data from listed Chinese MNEs from 2012 to 2022, this study applies a negative binomial regression model to test the research hypotheses.
Findings
This study uncovers an inverted U-shaped relationship between the internationalization speed of EMNEs and their innovation performance. It also suggests that strong absorptive, learning and managerial capacities could play positive moderating roles in the effect of internationalization speed on EMNEs’ innovation performance.
Originality/value
This study highlights rapid global expansion, promoting new knowledge acquisition for EMNEs. However, due to time-compression dilemmas with limited EMNE firm-specific advantages, overly accelerated internationalization hinders learning effectiveness. Additionally, this study reveals the critical importance of three firm-specific capacities in EMNEs – absorptive, learning and managerial capacities – in efficiently assimilating newly acquired knowledge from foreign markets and enhancing their innovation performance through rapid internationalization.
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Models of speed of internationalization have been built on narrowly defined resources, emphasizing the intangibles at the cost of tangibles and relying on controlled resources…
Abstract
Models of speed of internationalization have been built on narrowly defined resources, emphasizing the intangibles at the cost of tangibles and relying on controlled resources while overlooking nonterritorial ones. We build an integrative model for both established and unestablished firms, using three determinants of speed – global value chain experiences, resource adjusted expected return from internationalization and existence of e-commerce platforms. The first is under firms’ control while the last two are partially controlled or totally uncontrolled. Five strategies of internationalization are identified – internationalization through accelerated marketization, delayed internationalization, opportunistic (or on/off) internationalization, IB internationalization, and alliance internationalization, each associates with a different speed of internationalization.
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