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Drawing on an organizational learning perspective, this paper examines the effect of levels of foreign market involvement (intensity and geographic spread) on internationalization outcomes recognizing that the moderating influence of entry-mode learning potential is not well documented in the literature on small- and medium-sized enterprises (SMEs).

The sample includes 180 SMEs evenly selected from three industries: biotechnology, software and clothing (60 firms in each industry). The sampled firms employ less than 250 employees and are equally distributed between three developed economies and three emerging economies. All were engaged in foreign business.

The authors find that there is a direct relationship between levels of foreign market involvement and internationalization outcomes. Entry-mode learning potential moderates the relationship between intensity of foreign market involvement and internationalization outcomes but not the relationship between geographic spread and internationalization outcomes.

This study reveals several new insights that help explain the pathway through which foreign market involvement activities are translated into internationalization outcomes.

The authors conclude that the positive relationship between intensity of foreign market involvement and internationalization outcomes is strengthened when SMEs also use an entry mode with a higher learning potential than exporting only.

The authors revisit the literature on the use of expatriates and specifically Boyacigiller (1990) and examine whether OW Bunker, a Danish bunker oil trader, filled positions at its foreign units with traders transferred from its other units (expatriates). The authors test the generalizability and robustness of past findings on this topic by using a different dependent variable, sample, and methodology.

By searching the traders' LinkedIn profiles and consulting secondary sources, the authors obtain data on current and previous positions and work location and type of customer handled (global or local). Using qualitative comparative analysis (QCA), the authors analyze 236 hiring decisions made between 1983 and 2014.

The authors find that OW transferred expatriates, principally home-country nationals, to handle global customers in its large foreign subsidiaries located in high-income countries. In another clear pattern, expatriates were used to start new foreign subsidiaries. These results generally confirm those of Boyacigiller. However, and contrary to her findings, none of our scenarios for internal transfers feature expatriates being sent to culturally and institutionally distant subsidiaries unless it is to serve global customers, casting doubt on the idea that a major reason for using expatriates is to remedy a local shortage of skills or to handle political risk.

The authors test the generalizability of Boyacigiller’s (1990) findings and confirm a large part of it. They extend her study by demonstrating that MNEs deploy expatriates not only to distant countries but also to close ones.

Anchored on the broaden-and-build theory and the circumplex model, the authors develop and test a conceptual model in which satisfaction, influenced by an effective handling of communication, cooperation, conflict, and opportunism, is set as the predictor of inter-partner creativity in the relationship between hotels and their foreign travel agents under the Covid-19 pandemic.

The conceptual model was tested with data collected from 190 randomly selected hotel units located in Greece, using both online and drop-in questionnaire methods. Data were analyzed using SEM analysis.

Satisfaction with the working relationship was found to be enhanced by improving communication and cooperation, as well as by keeping conflict and opportunism at low levels. This was a strong predictor of inter-partner creativity, although less pronounced under high levels of relational distance and rigidity.

The study should be extended to other country settings, replicated at different levels of crisis severity, and use dyadic data. Additional environmental factors could be used as boundary conditions, while our model could be expanded to include additional drivers and consequences of inter-partner creativity.

To generate inter-partner creativity, there is a need to maintain high levels of satisfaction through proper communication, enhanced cooperation, conflict minimization, and avoidance of opportunistic actions. Also, to better translate satisfaction into inter-partner creativity, interacting parties should keep distance at low levels, while at the same time demonstrate greater flexibility.

The study unveils the role of effectively managing behavioral factors in inter-firm relationships to develop creative solutions to the Covid-19 crisis challenges, an issue neglected by prior research. The study also sheds light on the contingent effects of distance and rigidity, two important factors moderating relationships under crisis. The study applies for the first time two psychological-based theories, the broaden-and-build theory and the circumplex model, to an international marketing crisis situation.