scholarly journals Exploring the Role of Industry Structure in New Venture Internationalization

2007 ◽  
Vol 31 (4) ◽  
pp. 517-542 ◽  
Author(s):  
Stephanie A. Fernhaber ◽  
Patricia P. McDougall ◽  
Benjamin M. Oviatt
Keyword(s):  
International Business ◽  
New Ventures ◽  
Theoretical Framework ◽  
Industry Structure ◽  
New Venture ◽  
International New Ventures ◽  
Industrial Economics ◽  
New Venture Internationalization

While we have gained considerable knowledge since the late 1980s regarding the phenomena of international new ventures, less is known about the influence of industry structure on these ventures. In the present paper, we draw on literature from industrial economics, international business and entrepreneurship to identify industry structure variables that fit within the theoretical framework of international new ventures. We then offer propositions as to how the identified industry structure variables individually and jointly influence the likelihood of new venture internationalization.

International new ventures: rapid internationalization across different industry contexts

2014 ◽  
Vol 26 (5) ◽  
pp. 390-405 ◽  
Author(s):  
Svante Andersson ◽  
Natasha Evers ◽  
Olli Kuivalainen
Keyword(s):  
Conceptual Framework ◽  
New Ventures ◽  
New Venture ◽  
International New Ventures ◽  
Special Issue ◽  
Content Type ◽  
New Venture Internationalization ◽  
Entry Strategy ◽  
Geographical Scope

Purpose – The purpose of this article is to, first, offer insights into the relationship between industry idiosyncrasies and international new ventures (INVs), and then present a research conceptual framework that identifies the role of industry factors in new venture internationalization processes and strategies. Second, the authors introduce the content of this special issue. Design/methodology/approach – This conceptual article builds on extant studies on INVs operating in different industrial contexts. Particular attention is given to the role of industry influences in the processes of new venture internationalization, in terms of speed, geographical scope and entry strategy. Such factors are discussed to formulate a conceptual framework as a basis for further research. Findings – The conceptual framework identifies key industry factors as well as emergent factors that influence the new venture internationalization process, in terms of speed, geographical scope and entry strategy. Such key influencing factors are competition and structure, industry life cycle, industry concentration, knowledge intensity, local cluster internationalization and global industry integration. Emergent factors are identified as new business models, technology and industry network dynamics. Research limitations/implications – This article is conceptual in nature, and thus empirical research is recommended in diverse contexts. Practical implications – Further analysis of industry factors is a valid research avenue for understanding INVs. Originality/value – This special issue offers new insights into how industry factors influence INVs’ internationalization processes in terms of speed, scope and entry strategy.

Social-cognitive antecedents of new venture internationalization

2019 ◽  
Vol 14 (3) ◽  
pp. 462-479 ◽  
Author(s):  
Aleksandra Wasowska
Keyword(s):  
Self Efficacy ◽  
Social Cognitive ◽  
New Ventures ◽  
Foreign Market Entry ◽  
New Venture ◽  
International New Ventures ◽  
Actual Behavior ◽  
Positive Orientation ◽  
Content Type ◽  
New Venture Internationalization

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.

Enhancing the understanding of international new ventures: a service-oriented perspective

2017 ◽  
Vol 40 (5) ◽  
pp. 494-516 ◽  
Author(s):  
Sven M. Laudien ◽  
Birgit Daxböck
Keyword(s):  
Market Entry ◽  
New Ventures ◽  
New Venture ◽  
International New Ventures ◽  
Service Orientation ◽  
Entry Modes ◽  
Content Type ◽  
New Venture Internationalization ◽  
Holistic Understanding ◽  
Service Oriented

Purpose This paper aims to challenge the up to now mainly product-centered view on international new ventures by analyzing the influence of service orientation on new venture internationalization behavior. It especially focuses on the utilization of specific market entry modes as a result of a growing service orientation. Design/methodology/approach Newness and complexity of the topic call for a qualitative-empirical research approach. Therefore, the paper is based on an in-depth multiple-case study of six international new ventures operating in fashion and lifestyle industry. Findings This paper shows that service-oriented international new ventures make use of different market entry modes at the same time. Service-related capabilities allow them to especially use cooperative market entry modes to fuel lacking market knowledge and thus to overcome resource constraints in value creation processes. Originality/value The paper contributes to a more holistic understanding of international new ventures, as it provides empirical evidence for the importance of service-related aspects in new venture internationalization. Furthermore, the paper extends international new venture research by not only considering an early international market entry but also other aspects of internationalization such as the type of offerings or the preferred market entry modes.

Role of experience and knowledge in early internationalisation of Indian new ventures

2017 ◽  
Vol 23 (6) ◽  
pp. 850-865 ◽  
Author(s):  
Pratik Arte
Keyword(s):  
New Ventures ◽  
Technological Knowledge ◽  
New Venture ◽  
International New Ventures ◽  
Content Type ◽  
Knowledge Resources ◽  
International Growth ◽  
Knowledge Based ◽  
Early Internationalisation

Purpose The purpose of this paper is to investigate the role played by knowledge and experience of the entrepreneurs in early internationalisation of small- and medium-sized Indian new ventures. Using the theory of international new ventures (INV) and knowledge-based view (KBV); the conceptual framework of this study develops three propositions. First, it has been suggested that experience of the entrepreneurs motivates them to internationalise. Second, experience of the entrepreneurs increases their market and technological knowledge. Finally, it has been suggested that without market and technological knowledge, new ventures find it difficult to expand beyond national borders. Design/methodology/approach This study employs a comparative case analysis research design to investigate the propositions. The key constructs are drawn from prior empirical research and the relationships are tested using qualitative analysis. Findings Key findings of this study suggest that along with experience and knowledge, entrepreneurs’ education background is positively associated with new venture internationalisation. It was found that importance of knowledge resources varies across nature of business and industry in which INVs operate. Research limitations/implications Findings of this study contribute to advancing the literature on INV and KBV. The findings provide a framework to entrepreneurs to help them improve their decision-making logic and increase the speed of international growth. Originality/value Very few studies have investigated the internationalisation of new ventures from India. The knowledge is limited on the ways in which entrepreneurs acquire experience and assimilate knowledge in internationalising their operations.

scholarly journals The Role of Accelerator Designs in Mitigating Bounded Rationality in New Ventures

2018 ◽  
Vol 64 (4) ◽  
pp. 810-854 ◽  
Author(s):  
Susan L. Cohen ◽  
Christopher B. Bingham ◽  
Benjamin L. Hallen
Keyword(s):  
Bounded Rationality ◽  
New Ventures ◽  
Multiple Case Study ◽  
New Venture ◽  
External Information ◽  
Start Up ◽  
Multiple Case ◽  
Established Firms

Using a nested multiple-case study of participating ventures, directors, and mentors of eight of the original U.S. accelerators, we explore how accelerators’ program designs influence new ventures’ ability to access, interpret, and process the external information needed to survive and grow. Through our inductive process, we illuminate the bounded-rationality challenges that may plague all ventures and entrepreneurs—not just those in accelerators—and identify the particular organizational designs that accelerators use to help address these challenges, which left unabated can result in suboptimal performance or even venture failure. Our analysis revealed three key design choices made by accelerators—(1) whether to space out or concentrate consultations with mentors and customers, (2) whether to foster privacy or transparency between peer ventures participating in the same program, and (3) whether to tailor or standardize the program for each venture—and suggests a particular set of choices is associated with improved venture development. Collectively, our findings provide evidence that bounded rationality challenges new ventures differently than it does established firms. We find that entrepreneurs appear to systematically satisfice prematurely across many decisions and thus broadly benefit from increasing the amount of external information searched, often by reigniting search for problems that they already view as solved. Our study also contributes to research on organizational sponsors by revealing practices that help or hinder new venture development and to emerging research on the lean start-up methodology by suggesting that startups benefit from engaging in deep consultative learning prior to experimentation.

Imprenditorialitŕ e nascita di nuove imprese innovative in Europa: un'analisi delle determinanti in alcuni settori ad alta tecnologia

2009 ◽  
pp. 67-92
Author(s):  
Camilla Lenzi ◽  
Maria Luisa Mancusi
Keyword(s):  
New Ventures ◽  
Jel Classification ◽  
New Venture ◽  
Entrepreneurial Activity ◽  
Work Experiences ◽  
Start Up ◽  
Geographical Regions ◽  
New Firm ◽  
The University

- This paper evaluates the importance of some key elements in the process leading to the birth and start-up of a new firm. We focus on a sample of recently founded and innovative European firms in technological fields characterised by strong innovative and competitive dynamics in the last 15 years. Emphasis is placed both on the role of the founder and on the assets exploited and developed in the new ventures early stages. The analysis of the questionnaire confirms the importance of the intellectual capital of the founder and of the scientific and technological knowledge acquired during advanced studies or previous work experiences. It further confirms the importance of the human and financial capital (particularly, access to external funds) necessary to the start of entrepreneurial activity, of intellectual property rights and of the network of relationships with actors having complementary knowledge and assets (other firms, universities and public research centres, parent organisation). The analysis finally highlights interesting differences both at the geographical and sectoral level. Differences across geographical regions include the degree of development of financial markets and the opportunities to access external financial resources, but also and mostly the functions performed and the effectiveness of the university system. On the other side, differences across sectors include the assets exploited in founding the new venture and the key competences that allow it to survive and eventually grow. Keywords: entrepreneurship, spin-off, patent Parole chiave: imprenditorialitŕ, spin-off, brevetto Jel Classification: L10, M13, O30

Early Internationalizing of Small-Medium Firms

2022 ◽  
pp. 46-63
Author(s):  
Afifah Alwani Ramlee
Keyword(s):  
New Ventures ◽  
International Markets ◽  
Global Market ◽  
New Venture ◽  
International New Ventures ◽  
Born Global ◽  
Business World ◽  
Catch Up ◽  
Venture Firms ◽  
Medium Firms

Internationalization is not an odd term in business, and increasing numbers in the business world show this phenomenon as a vital element that must be emphasized and practiced by an organization to become the top company in international markets. Born global has become a new entity entering the global market and rapidly evolved to catch up and maintain its pace with international new ventures. Gaining the upper hand in the international market has motivated the born global entity to compete with other giant companies in the same markets. This chapter's findings enlighten the crucial parts of the definition between these two terms supported with previous studies that encompass gaps, conventional and new ventures, and the advantages versus liabilities that existed in the new venture firms. In addition, this chapter's discussions would offer better justification and views in global market perspectives.

Internationalisation path heterogeneity and growth for international new ventures

2020 ◽  
pp. 026624262096579
Author(s):  
Bin Guo ◽  
Zhen Wang
Keyword(s):  
Experiential Learning ◽  
Firm Growth ◽  
New Ventures ◽  
New Venture ◽  
Superior Performance ◽  
Curvilinear Relationship ◽  
International New Ventures ◽  
Fine Grained ◽  
The Cost ◽  
Venture Firms

An increasing number of new venture firms are internationalising their business operations early in their lifecycles to achieve superior performance. Taking the perspective of dynamic capability theory, our study sheds light on the effect that heterogeneity in experiential learning has on international new venture (INV) growth in terms of a curvilinear relationship. Specifically, we introduce the concept of internationalisation path heterogeneity to capture the path-specific features of INV experiential learning and capability building and explore the relationship between internationalisation path heterogeneity and INV firm growth. We also argue that this relationship will be moderated by environmental munificence because the cost and benefit of path heterogeneity is bounded. We test the hypotheses based on empirical analysis of a longitudinal dataset of 1054 INVs from 58 countries. Overall, this study provides a dynamic and fine-grained view of the role played by internationalisation path heterogeneity in driving the growth of INVs.

scholarly journals Entrepreneurial Business Ties and New Venture Growth: The Mediating Role of Resource Acquiring, Bundling and Leveraging

2019 ◽  
Vol 11 (1) ◽  
pp. 244 ◽  
Author(s):  
Gang Wang ◽  
Linwei Li ◽  
Xu Jiang
Keyword(s):  
Resource Management ◽  
New Ventures ◽  
Empirical Support ◽  
Mediating Effect ◽  
New Venture ◽  
Management Perspective ◽  
New Venture Growth ◽  
Resource Leveraging ◽  
Business Ties

Adopting insights from a resource management perspective, this study investigates how entrepreneurs utilize their business ties to promote new venture growth. We propose a multiple mediator model in which different resource management processes (i.e., resource acquiring, resource bundling, and resource leveraging) act as critical mediating mechanisms. We undertook a two-stage survey design, and collected data during the period from 2013 to 2016. Drawing on a longitudinal sample of 229 new ventures in China, we tested the hypotheses through the optimal scaling regression (OSR) analysis. We find empirical support for the mediated effects of entrepreneurial business ties via resource bundling and resource leveraging to promote new venture growth. However, our results find the mediating effect of resource acquiring non-significant. These findings will deepen understanding of the role of entrepreneurial business ties in the new venture growth process and expand resource management perspective into the entrepreneurial field.

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