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Article
Publication date: 19 April 2013

Susanne Sandberg

The purpose of this paper is to conceptualize “entry node”, to describe the entry node pattern (i.e. the initial entry node and changes in it) of small to medium‐sized…

Abstract

Purpose

The purpose of this paper is to conceptualize “entry node”, to describe the entry node pattern (i.e. the initial entry node and changes in it) of small to medium‐sized enterprises (SMEs) entering emerging market business networks, and to determine how network nodes are associated with experiential knowledge.

Design/methodology/approach

Using data from an on‐site survey based on a standardized questionnaire, hypotheses were tested using ANOVA on 197 SMEs in southern Sweden that entered the emerging markets of the Baltic States, Poland, Russia, or China.

Findings

The entry node is the establishment point into a foreign market network. In total, four entry situations are defined – triad via home market; triad via host market; dyad from home market; and dyad at host market – each using different entry nodes. After initial entry, one third of the firms changed their nodes, primarily into a more committed node. Various nodes display significant differences in the level of accumulated societal, business network and customer‐specific experiential knowledge. A more committed node is associated with more experiential knowledge.

Research limitations/implications

Knowledge is complex to measure, since various factors influence the level of accumulated experiential knowledge. This study examines the association between types of nodes and experiential knowledge, but does not aim to explain knowledge accumulation. Perceptual measures are used and possible method biases involved are safeguarded through an on‐site survey method.

Originality/value

This paper conceptualizes the novel concept of entry node, provides insight into the SME node pattern in emerging markets and examines the association between nodes and experiential knowledge.

Details

International Marketing Review, vol. 30 no. 2
Type: Research Article
ISSN: 0265-1335

Keywords

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Article
Publication date: 1 January 2014

Susanne Sandberg and Hans Jansson

The purpose of this paper is to investigate the establishments of Chinese wholesale and retail market platforms in China and Europe, which create a new take-off route for…

Abstract

Purpose

The purpose of this paper is to investigate the establishments of Chinese wholesale and retail market platforms in China and Europe, which create a new take-off route for SMEs from China, and to theorize on this as a new collective route to internationalization.

Design/methodology/approach

An exploratory case study has been undertaken covering four Chinese market platforms: the role model in Yiwu, China, and the establishments in Warsaw, Poland; Budapest, Hungary; and Kalmar, Sweden.

Findings

A new collective internationalization route is identified, driven by the collectivistic Chinese culture. Here Chinese SMEs diverge from traditionally suggested paths of internationalization, taking off independently from the domestic business network but form a joint market platform in the foreign market. This collective behavior compensates for the resource constraints of internationally inexperienced Chinese SMEs. From the market platform, they plug into the local market network and are provided with economies of scale and scope, ultimately making them internationally competitive. This collective route offers the potential for joint learning and risk reduction when entering distant markets in the early internationalization stages.

Research limitations/implications

For Chinese SMEs, co-location in a market platform in foreign market offers the advantages of lowering institutional distance and uncertainty as the firms collectively handle these matters. A limitation of the study concerns the generalizability, as few cases are studied. Still, being an unstudied phenomena there are important empirical contributions to be made.

Originality/value

The paper reports on an overlooked empirical phenomenon, namely the establishment of Chinese wholesale and retail market platforms in China and Europe. Through this establishment a new collective route into the global market by Chinese SMEs is identified and theorized.

Details

Journal of Asia Business Studies, vol. 8 no. 1
Type: Research Article
ISSN: 1558-7894

Keywords

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Book part
Publication date: 31 October 2009

Susanne Sandberg

Purpose – To describe and analyze the situation prior to and during the initial stages of internationalization of Chinese SMEs, as well as analyzing the role of clusters…

Abstract

Purpose – To describe and analyze the situation prior to and during the initial stages of internationalization of Chinese SMEs, as well as analyzing the role of clusters as take-off nodes for such firms.

Methodology – A multiple case study is conducted based on semistructured interviews with five private-owned exporting Chinese SMEs. Also, data on Chinese industrial clusters are analyzed.

Findings – The findings complement the model presented with new knowledge. In the take-off situation, Chinese SMEs deviate from assumed paths due to disadvantages in the emerging Chinese market. In the initial stages of internationalization, the focus on indirect exports hinders the building of international relationships being the key for further international expansion. Cluster localization is a take-off node for individual dedicated exporters into international markets.

Research limitations – Few cases, co-location of firms in the advanced Yangtze River Delta region and issues of Chinese versus Western SME definitions limits the possibility to generalize the findings of the study.

Practical implications – Chinese as well as foreign firms can gain from this paper regarding, for example, that competitiveness built up abroad can be utilized for increasing the market share in an attractive domestic market, the pitfall of indirect exports can be overcome by developing direct international relationships, and cluster localization can spur the internationalization of (individual) Chinese SMEs.

Originality – Empirical contribution of internationalization patterns of Chinese private-owned SMEs as well as pinpointing the importance of the domestic market as trigger for internationalization.

Details

Research on Knowledge, Innovation and Internationalization
Type: Book
ISBN: 978-1-84855-956-1

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Book part
Publication date: 20 October 2011

Mikael Hilmersson, Hans Jansson and Susanne Sandberg

Purpose – This study sets out to establish experiential knowledge profiles of small- and medium-sized enterprises (SMEs) entering emerging markets and to examine how the…

Abstract

Purpose – This study sets out to establish experiential knowledge profiles of small- and medium-sized enterprises (SMEs) entering emerging markets and to examine how the different abilities contained in these profiles impact the sustainability of market positions in the new turbulent era of global business.

Methodology – We analyse a sample of 203 entries into emerging markets by Swedish SMEs. The data collected on site at all sample firms is analysed in two sequential stages. First, an exploratory factor analysis is performed to derive four types of experiential knowledge. Second, a cluster analysis is performed to establish experiential knowledge profiles among the entering SMEs.

Findings – The result of the analysis shows that experiential knowledge is a multi-dimensional construct consisting of four main types. Moreover, emerging market entering SMEs are shown to develop different knowledge profiles. We suggest that Masters are well prepared for such periods. Learners most probably will experience high levels of uncertainty, whereas Country and Customer Experts face less uncertainty due to their specialisation on either host market or customer knowledge.

Originality – The chapter shows that the experiential knowledge base of emerging market entering SMEs is an important indicator of the readiness for turbulent times. Firms will be able to sustain market positions differently depending on which type of knowledge profile they belong to.

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Article
Publication date: 11 May 2015

Mikael Hilmersson, Susanne Sandberg and Firouze Pourmand Hilmersson

– The purpose of the study is to examine the political sources of uncertainty in the internationalization process of small- and medium-sized enterprises (SMEs).

Abstract

Purpose

The purpose of the study is to examine the political sources of uncertainty in the internationalization process of small- and medium-sized enterprises (SMEs).

Design/methodology/approach

The authors theoretically derived a research model embracing three hypotheses. These hypotheses are tested on a sample of 203 on-site interviewed SMEs. Regression analysis is used to test two individual hypotheses and one interaction effect.

Findings

The regression analysis reveals that political knowledge possessed by the firm reduces uncertainty in the internationalization process. Political turbulence is shown to increase uncertainty in the internationalization. The interaction shows that political turbulence obliterates the uncertainty reducing effect by political knowledge.

Research limitations/implications

The authors identifies two main political sources of uncertainty in the internationalization process of SMEs. For managers and business researchers, it is shown that experiential knowledge is useful under stable conditions. When turbulence increases, however, firms need to develop alternative strategies for uncertainty management.

Originality/value

This study is the first to test the uncertainty reducing effects of experiential knowledge in turbulent environments. Thus, by running the interaction between political knowledge and political turbulence, the authors shed new light on the usefulness of previous experiences in the internationalization process.

Details

European Business Review, vol. 27 no. 3
Type: Research Article
ISSN: 0955-534X

Keywords

Content available
Article
Publication date: 19 April 2013

Abstract

Details

International Marketing Review, vol. 30 no. 2
Type: Research Article
ISSN: 0265-1335

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Book part
Publication date: 20 October 2011

Abstract

Details

Entrepreneurship in the Global Firm
Type: Book
ISBN: 978-1-78052-115-2

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Book part
Publication date: 31 October 2009

Abstract

Details

Research on Knowledge, Innovation and Internationalization
Type: Book
ISBN: 978-1-84855-956-1

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Book part
Publication date: 31 October 2009

Jorma Larimo and Tiia Vissak

This volume of Progress in International Business Research comprises of a selection of 12 competitive papers from the 34th EIBA (European International Business Academy…

Abstract

This volume of Progress in International Business Research comprises of a selection of 12 competitive papers from the 34th EIBA (European International Business Academy) annual conference, which was held in Tallinn, Estonia in December 2008 with the theme “International Business and the Catching-up Economies: Challenges and Opportunities”. It addresses two main issues – (1) the internationalization process and (2) the role of knowledge and innovation for internationalization – that are important in the current economic slowdown both for catching-up and for other economies, scholars, and practitioners.

Details

Research on Knowledge, Innovation and Internationalization
Type: Book
ISBN: 978-1-84855-956-1

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Article
Publication date: 13 June 2016

Anders Pehrsson

The purpose of this paper is to extend the understanding of relationships between entrepreneurial orientation (EO) and performance, and between market orientation (MO) and…

Abstract

Purpose

The purpose of this paper is to extend the understanding of relationships between entrepreneurial orientation (EO) and performance, and between market orientation (MO) and performance in different market contexts that set boundaries for performance.

Design/methodology/approach

The paper presents a review of studies containing empirical research incorporating EO, MO, market context and firm performance.

Findings

Patterns regarding content of previous studies of the issue are outlined, and crucial research gaps are identified. These concern a lack of focus on relationships between EO/MO and performance of foreign units.

Research limitations/implications

First, further studies on international strategy need to develop EO/MO components that are consistent with foreign units’ value-adding roles. Second, the impact of dynamism originating from competitors in foreign markets needs attention. Third, direct impacts of market dynamism on performance of foreign units, and moderating roles of EO/MO need to be studied.

Practical implications

International competitiveness of the firm as a whole would benefit from higher performance of foreign units that may be achieved through aligning EO/MO with local market contexts.

Originality/value

Meta-analyses show that it is difficult to establish universal direct relationship between EO/MO and performance and that the importance of market context is underestimated. The paper provides opportunities for further studies that may clarify underlying contingency mechanisms.

Details

European Business Review, vol. 28 no. 4
Type: Research Article
ISSN: 0955-534X

Keywords

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