53,963 research outputs found
Is retailing really unique? Insights into retail internationalization using business theories
Internationalization is one of the most important trends in retailing today. This process is not new, however has accelerated in the last two decades. It was less than 30 years ago that almost all of the worldâs retail firms were pure national firms with a negligible share in foreign markets. That scenario has changed dramatically. Taking a look at the top 200 global retailers, almost all players except those in the US operate in numerous countries, having established a noteworthy business capacity in foreign markets. It is observed that retailers often export their business model in new markets. Therefore they are regarded as driving forces of structural change in the agri food business. The understanding of retail internationalization is essential to the understanding of the changes in the agri food business. Investigating retail internationalization many scholars builds on the theories of the wider business internationalization literature. Other authors state that retailing is unique, therefore the business theories can not be applied. By reviewing the literature we try to overcome this tension and discuss how business internationalization theories can help to understand retail internationalization.internationalization, retail internationalization, business internationalization theories, Agricultural and Food Policy,
Empirical evidence for a theory of international new ventures
This paper analyzes twenty empirical studies relating to international new ventures (INVs). Based on this analysis it is shown that traditional internationalization theories do not explain INVs sufficiently. Therefore a model integrating static and process elements from the empirical evidence as well as parts of the traditional internationalization theories is developed. Obtained was an eclectic theory describing and explaining the rise of new firms already venturing abroad briefly after the time of their formation. Key results A 4-pillar-model for explaining the internationalization of INVs is developed. The model relies on basic assumptions from the network-, the stages-, the internalization- and the monopolistic advantage theory.Born global, international new ventures, internationalization theory
Internationalization and the Evolution of Corporate Valuation
By documenting the evolution of Tobin's "q" before, during, and after firms internationalize, this paper provides evidence on the bonding, segmentation, and market timing theories of internationalization. Using new data on 9,096 firms across 74 countries over the period 1989-2000, we find that Tobin's "q" does not rise after internationalization, even relative to firms that do not internationalize. Instead, "q" rises significantly one year before internationalization and during the internationalization year. But, then "q" falls sharply in the year after internationalization, relinquishing the increases of the previous two years. To account for these dynamics, we show that market capitalization rises one year before internationalization and remains high, while corporate assets increase during internationalization. The evidence supports models stressing that internationalization facilitates corporate expansion, but challenges models stressing that internationalization produces an enduring effect on "q" by bonding firms to a better corporate governance system.
Applicability of firm internationalization theories to Colombian Multinational Enterprises
An effect of the globalization process is the increase of the international participation of developing countries firms (dcfs). Most of the extant literature focuses on the internationalization process of the multinational enterprises (mnes) from developed countries, but has paid less attention to the internationalization of dcfs; so it is unclear if the dcfs apply the internationalization theories to their processes of expanding abroad. This article focuses on the Colombian mnes and, with existing data from Colombian cases, will study the applicability of those theories to their internationalization processes. Therefore, it has three intentions: 1. To provide a general overview of the firm internationalization theories; 2. To show Colombian firm adherence these theories to their internationalization processes; and 3. To provide new directions for the internationalization for the Colombian companies
Internationalization and the evolution of corporate valuation
By documenting the evolution of Tobin's q before, during, and after firms internationalize, the authors provide evidence on the bonding, segmentation, and market timing theories of internationalization. Using new data on 9,096 firms across 74 countries over the period 1989-2000, they find that Tobin's q does not rise after internationalization, even relative to firms that do not internationalize. Instead, q rises significantly before internationalization and during the internationalization year. But then q falls sharply in the year after internationalization, quickly relinquishing the increases of the previous years. To account for these dynamics, the authors show that market capitalization rises before internationalization and remains high, while corporate assets increase during internationalization. The evidence supports models stressing that financial internationalization facilitates corporate expansion, but challenges models stressing that internationalization produces an enduring effect on q by bonding firms to a better corporate governance system.Small Scale Enterprise,Microfinance,Investment and Investment Climate,Economic Theory&Research,Markets and Market Access
Problemistic Search and International Entrepreneurship
This paper explains the internationalization process of small firms using the theory of performance relative to aspiration levels. The study complements prior theory by explaining why and how small firms are triggered to engage in internationalization despite not reaching maturity in their home market. We outline a model where firmsâ internationalization is triggered by problemistic search, following periods of below-aspiration performance. The model is tested on 860 Swedish firms followed during an economic downturn. Results indicate that internationalization activities follow a boundedly rational process characterized by search behavior which is triggered by performance feedback. The study complements prior theories of internationalization and offers a first empirical demonstration of the viability of aspiration-level performance theory in international entrepreneurship research.Entrepreneurship; International Entry; Behavioral Theory of the Firm
Retail Internationalization and Its Consequences on the Food Chain
In order to meet with the obstacles of market saturation and the resulting cut-throat competition in the home countries of most of the top food retailers, they use the chance to participate in the increasing standard of living in Asia, South America and Central- and Eastern Europe. Thus, retail internationalization can be regarded as a growth strategy for top food retailers. However, opposite to manufacturers internationalization is for retailers still a new strategy so that globalization continues to accelerate. AT Kearney (2006) shows that since 2001 more than 50 different retailers have entered 90 new markets. In this context our the aim of our paper is threefold. First, using different theories of internationalization we want to work out the courses why the retailers internationalize. Furthermore, by analyzing secondary data we will show the actual degree of internationalization. Second, using theories of the new institutional economics as well as strategic management we will elaborate on its consequences for the participants of the agri-food business. Building on the more general parts of our aim the third part contributes to the developments in Central and Eastern Europe. This includes a detailed analysis of the current situation and an outlook to future developments.CEEC, consequences, retail internationalization, Agribusiness, International Relations/Trade,
The Role of IPO in Internationalization Process of Family Business. The Italian Case of the Burani Family. Is it a Black Swan?
Considering the growth of global economy and the high competitiveness internationalization process seems to be more important for family businesses. The internationalization theories are often related to the most appropriate tool for their feasibility. Also internationalization strategies need high financial resources that small family businesses often do not possess. The aim of this paper is to show a grey area in the intersection between the studies on family businessesâ IPO and internationalization. We try to contribute to the literature on family business discussing some propositions and highlighting which are the main advantages and the more significant costs associated to the IPO as a tool for internationalization. We argue these propositions through the use of a systematic research on literature and through the case study on the Burani family.Internationalization; Family Business; IPO
Industrial network membership: Reducing psychic distance hazards in the internationalization of the firm
The network approach to internationalization of the firms has warranted the research focus of many international business scholars. Firms are increasingly involved in international business endeavors and arguably need to learn to adapt to idiosyncratic milieus they encounter in the foreign markets. This paper proposes a conceptual model suggesting that integration in networks strengthens corporate competitiveness in international markets. Network membership provides access to knowledge that facilitates adaptation to the various dimensions - economic, political, legal, cultural ? of the international business environments. Membership in social and business networks are likely to ease internationalization by reducing firms? perceived psychic distance.Networks, internationalization theories, psychic distance
Internationalization in the cloud: an explorative study of B2b saas provider into the Iberian market
In todayâs world, the trend of digitalization and globalization is undeniable. Covid-19 spurred
digitalization, and SaaS models proved their power on a global scale. However, rapid change,
digitalization, and global competition demand rethinking and generate new perspectives on
traditional internationalization theories for software enterprises. This paper
âInternationalization in the Cloud: An Explorative Study of B2B SaaS Provider into the Iberian
Marketâ discusses elements that influence the internationalization of B2B SaaS businesses to
Iberia. A thorough investigation of (1) Internationalization theories in the context of SaaS
enterprises and (2) Challenges and drivers within Iberia, differentiating between Spain and
Portugal, is conducted. The qualitative approach and the interview process with 23 interviewees
in senior positions at B2B SaaS firms that have expanded to Iberia add to the existing literature
of internationalization theories. Furthermore, drivers and challenges within Iberia are discussed,
and practical suggestions for a successful SaaS internationalization are given
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