Industry Factors Influencing International New Ventures' Internationalisation Processes

Author(s):  
Natasha Evers ◽  
Olli Kuivalainen ◽  
Svante Andersson
2018 ◽  
Vol 35 (6) ◽  
pp. 890-913 ◽  
Author(s):  
Pushyarag N. Puthusserry ◽  
Zaheer Khan ◽  
Peter Rodgers

PurposeThe purpose of this paper is to examine the role that different collaborative entry modes play in how international new ventures (INVs) expand into international markets.Design/methodology/approachThe paper’s arguments are based on the INVs and social network literatures. In order to investigate the entry modes adopted by British and Indian small and medium information and communication technology (ICT) firms into each other’s markets, the paper outlines the results of qualitative semi-structured interviews with the key decision makers of ten British and ten Indian ICT firms.FindingsThe findings contribute to the relatively under-researched area of how INVs enter foreign markets through collaborative entry mode. The findings suggest that INVs utilize both equity and non-equity modes of collaboration to expand their international operations. The findings also indicate that financial and non-financial resources always limit the market expansion and internationalization of such companies. Against this background, the INVs rely on building collaboration as one of the safest methods for foreign market expansion and successful internationalization. The collaborative entry mode is enhanced by entrepreneurs’ prior experience, social ties and knowledge of the foreign market.Research limitations/implicationsSet against the backdrop of an ever-increasing trend of internationalization of small and medium enterprises (SMEs), the paper offers important implications for understanding the conditions and factors behind the choice of collaborative and non-collaborative entry modes by INVs in particular and SMEs more broadly.Originality/valueThe paper is one of the few studies that have examined the role of collaborative entry modes choice adopted by INVs from two of the largest economies – the UK and India.


Author(s):  
Arash Sadeghi ◽  
Elizabeth L Rose ◽  
Sylvie Chetty

This article aims to explore the under-researched topic of post-entry speed of internationalisation (PSI) in the context of international new ventures (INVs). We unbundle PSI and examine its relationship with both financial and non-financial export performance, considering three related, but conceptually distinct, dimensions of PSI: internationalisation intensity, spread and geographical diversity. Building on organisational learning theory, we highlight different mechanisms that contribute to post-entry performance outcomes among INVs. Our findings from a sample of 112 INVs in New Zealand provide evidence that the three dimensions of PSI are distinct and that they have different impacts on financial and non-financial export performance. This article contributes to the limited, yet growing body of literature on PSI by providing a deeper understanding of PSI and its constituent dimensions. In addition, this study offers new theoretical insights into how and why different dimensions of post-entry speed of internationalisation can contribute to stronger export performance.


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