How international entrepreneurship characteristics influence Internet capabilities for the international business processes of the firm

This research explores the relationship between international entrepreneurship characteristics and the use of Internet capabilities for the international business processes of the firm. It has been suggested, that the accumulation of a firms Internet capability can assist international operations, especially when operating in fast changing dynamic Internet environments. However, international entrepreneurship characteristics which are seen as a precursor to leveraging Internet capabilities are still vague. Given this finding, eight case studies of small and medium sized travel and tourism firms were selected to investigate the influence of international entrepreneurship characteristics, and Internet capabilities for international business processes. Based on the eight in-depth case studies, the results signify that successful international entrepreneurial firms which encompass high levels of international innovativeness and proactiveness behaviour integrate Internet capabilities to a greater degree. Our findings also indicate that the prior international business experience, international risk-taking propensity and international networking characteristics are not necessarily precursors to successful integration of Internet capabilities for international business processes. On the contrary, international business experience and international networks actually lead to a reliance on traditional mechanisms of internationalisation and can dilute the development of Internet capabilities for international business processes.     

Entrepreneurial growth: The role of international knowledge acquisition as moderated by firm age

In line with repeated recent calls for research on specific forms of growth rather than on an undifferentiated notion of “total growth,” our study contributes to the understanding of entrepreneurial growth. By this we mean growth through expansion into new geographic markets and/or via the introduction of new products or services. Building on Penrose's theory of the growth of the firm and on the research streams she has in part inspired, we investigate the impact of knowledge acquisition from international markets on entrepreneurial growth both at home and abroad. We further suggest that the effects of international knowledge acquisition on entrepreneurial growth will vary with firm age. Utilizing longitudinal data on 138 small and medium-sized enterprises (SMEs), we find that the acquisition of knowledge from international markets fuels growth through market development, and that this effect is stronger for international expansion than domestic expansion. Our results also show that firm age negatively moderates the relationship between international knowledge acquisition and entrepreneurial growth via the introduction of new products or services. Specifically, international knowledge acquisition has a positive effect on growth via new products/services development in young firms, but a negative effect in mature firms. We assume this reflects changes over time in how international knowledge is managed.     

Local enablers of business models: The experience of Brazilian multinationals acquiring in North America

Despite the rapid growth of South–North investments, the literature is still incipient to look into the broad range of issues associated with them. This article focuses on reverse takeovers and discusses the reasons why emerging-country firms, Brazilian multinationals in particular, are able to profitably acquire firms in developed countries, chiefly in the United States. The research addresses two specific subjects in international business literature: country-choice and entry-mode. The analytical approach assumes that reverse takeovers are part of the dynamic reconfiguration of global production systems which, in turn, are influenced by shifting conditions in countries' business environments. Changes in business environments impact local firms' business models and their positioning in global production networks and international markets as well. Reverse takeovers are facilitated when both the simultaneous evolution of the developed country multinational and the emerging country multinational business models establish a common ground for the transaction. Through the analysis of Brazilian multinationals' acquisitions in North America, relevant insights pertaining to the realms of firm-specific advantages, country-choice and entry mode in reverse takeovers are unveiled.     

Riding the waves of family firm internationalization: A systematic literature review,integrative framework,and research agenda

Despite the proliferation in research efforts, family firm (FF) internationalization scholarship suffers from fragmentation, theoretical limitations, and empirical indeterminacy, leaving important facets unexplored. This article’s purpose is to unpack how this body of research has evolved over time and interfaces international business (IB) theory. We conduct a systematic literature review of relevant theoretical and empirical studies covering the last 30 years of research and comprising 134 articles. Our study contributes to this corpus of knowledge by identifying and discussing four evolutionary waves of FF internationalization research. We further advance an integrative framework that offers a comprehensive understanding of the state-of-the-art as well as promising avenues for future research at the intersection of IB and FFs.     

Born-global: The case of four Vietnamese SMEs

Despite the fact that many firms in a wide range of industries in various countries internationalize at or near inception, research on factors leading to the formation of born-globals has been limited to firms from advanced, open economies. In order to give a voice to the phenomenon of Vietnamese founding born-globals, we conducted an exploratory, multiple-case study. Three findings of this study are: (1) the major driver to the formation of Vietnamese born-globals is the entrepreneurs’ leadership desire together with the need for short-term profits; (2) their choice of internationalization mode is influenced by market conditions as well as the internationalization degree of the industries in which they find their business opportunities; and (3) the reason why other motivators found in earlier studies do not apply lies in the peculiarity of the Vietnam context.

The effect of internationalization on firm capital structure: A meta-analysis and exploration of institutional contingencies

Despite extensive research on the relationship between internationalization and firm capital structure, findings in this research area remain inconclusive. In this paper, we review the literature on the internationalization–capital structure relationship and investigate its direction, effect size, and multiple contingencies through a meta-analysis of 31 studies with a grand total of 223,658 firm observations and at least two separate samples each. Our cumulative evidence indicates lower debt ratios of multinational corporations compared to domestic corporations, in line with arguments of increased risk and agency costs in international operations. We extend our analysis to institutional characteristics in firms’ home countries and find that much of the existing variation in study findings can be explained using theory arguments on firm risk in internationalization. We contribute to an integration of international business and finance literature and point to directions for future research on determinants of the internationalization–capital structure relationship and its multiple contingencies.     

A hybrid approach to international market selection: The case of impact investing organizations

Social enterprises are hybrid organizations that concurrently pursue social and economic goals and hence are mid-way between conventional capitalistic firms and non-profit organizations. Many social enterprises are becoming international; delivering services across borders. With the objective of understanding the internationalization of these unconventional organizations, this paper examines their international market selection decision based on host countries’ macroeconomic conditions. Generally, we hypothesize that the international market selection decision of social enterprises is tied to their hybridity, an overarching characteristic that sets them apart from other types of organizations. We build an original dataset with information on 41 European and North American impact investing organizations and 153 developing countries. Largely, our findings support the hypothesis, suggesting that social enterprises operate in foreign countries that offer a desirable balance between their social and financial goals. However, they avoid contexts with high country risk, factors that could cause a shortfall in expected returns.     

Organizational culture and post-acquisition changes in management control systems: An analysis of a successful Brazilian case

This paper analyzes the effect of organizational culture on the post-acquisition management control system (MCS) of the Brazilian company Extrativa Metalquímica Inc. after its acquisition by the FASA Participações Group. The results herein reported add to discussions of the subject and contribute to reducing the research gap in this area in Brazil. The analysis supports two major conclusions: (1) changes in the acquired company's MCS were derived from the new financial results-oriented culture introduced by the acquirer; and (2) the implementation of this culture implied modifications in production, financial and quality controls.     

Anatomy of a rural meat operation: The family values/firm strategy nexus at Jackson's of Symington,c.1890–1981

Addressing current concerns in the academic literature regarding family business, this study traces the development of Jackson's, a firm which became Scotland's leading producers of sheep meat by the late 1920s, fulfilling this role until 1981. The paper examines the firm's progress from its startup before 1900 to 1933, when it abandoned its cattle-dealing interests to specialise in the production of lamb and mutton, principally for the London wholesale markets, which it served by means of rail transportation. After 1954, the firm greatly increased its throughput to meet the growing demands of the post-war economy, but by the late 1970s, increasing difficulties associated with the EEC caused a deterioration in trading conditions and results and the firm withdrew from the market in 1981. The paper focuses on the family influence on strategic direction and implementation.     

The effect of international venturing on firm performance: The moderating influence of absorptive capacity

Companies have vigorously pursued opportunities for profitability and growth through international venturing. Yet, research evidence on the performance benefits of international venturing activities has been contradictory. Applying an organizational learning framework, we propose that the expected effects of international venturing activities on financial performance depend on companies' absorptive capacity. Data from 217 global manufacturing companies show that absorptive capacity moderates the relationship between international venturing and firms' profitability and revenue growth. These results urge executives to build internal R&D and innovative capabilities in order to successfully exploit the new knowledge acquired from foreign markets.     

Challenges and opportunities of new retail horizons in emerging markets: The case of a rising coffee culture in China

Economic growth and a rising middle class consumer base make emerging markets an attractive prospect for many international businesses. Changing patterns of retail in these countries present opportunities for business expansion that many are keen to capitalize on, but also present challenges for reaching their ambitions. This article examines the growth of the coffee shop industry in China—considering its key dynamics and drivers—in order to address questions about successful retail expansion in emerging markets. We aim to explore how changing consumer cultures have contributed to a rapidly growing industry and what strategies businesses have used to enter the market and maintain growth, as well as considerations for potential retail success in the future.     

The institutional context as a source of heterogeneity in family firm internationalization strategies: A comparison between U.S. and emerging market family firms

Existing research has underexplored the role of context as a source of heterogeneity in family firms’ (FFs) internationalization strategies. Drawing upon institutional theory, we develop and test a mid-range theory positing that differences in the quality of the institutional context can moderate the strength of the relationship between individual- and board-level attributes and FF internationalization. Our comparison of U.S. FFs with FFs from Brazil and Mexico reveals that in emerging market FFs, individual-level attributes such as CEO international experience, CEO educational attainment, and CEO international education exhibit a stronger relationship with internationalization. Similarly, we find that board-level attributes such as board size and board independence are also more strongly related to internationalization in emerging market contexts. We contribute to the literature by identifying a source of variation in FF internationalization strategies based on context and by examining the relationship between a wide range of FF attributes and internationalization.     

New Challenges for International Business Research: A Review of Extant Research and the Unique Contributions of John Dunning

Relative to other fields, international business is a young field of study. Tracing its origins to the mid-1950s, the field began to develop unique theories and paradigms in the 1970s and 1980s. The field has developed rich research streams since and has become firmly established as an independent field of study and important part of university curricula. John Dunning (1902–2009) is widely regarded as a father of the field, carving out unique theories from his primary field of economics and through his efforts hiring and training future prominent international business scholars. This article examines the evolution of the international business field and unique contributions of John Dunning's research to the development of extant theory. It then reviews Dunning's last contribution—his fifth and last book entitled New Challenges for International Business Research: Back to the Future.     

The increasing internationalization of the international business classroom: Cultural and generational considerations

This article reviews the dynamic demographics of the international business classroom across five Anglo countries: the U.S.A., the UK, Australia, New Zealand, and Canada. Figures indicate that business education is becoming increasingly international, and that the countries of origin of international business students are changing. Cultural impacts of this increasing internationalization upon international business pedagogy—as well as issues of generational expectations of the classroom experience—are considered, benefits and challenges of the increased cultural diversity in the classroom are discussed, and practical suggestions for instructors teaching in future international business classrooms are detailed.     

Organizational slack as an enabler of internationalization: The case of large Brazilian firms

In this paper, we address an empirical puzzle. We note that a deliberate and serious drive to internationalize has occurred rather late in the evolution of large Brazilian firms. Meanwhile, and despite their late internationalization, these Brazilian firms expanded rapidly and intently. Despite the rich literature on Emerging Market Multinational Enterprises (EMNEs), there is still much contention on what drives rapid EMNE internationalization, particularly for the less explored firms from Latin America. Using an inductive case study of five leading Brazilian MNEs, we bring new insights on this neglected question. We unveil that the existence of organizational slack (of operational, managerial, and financial nature) can indeed facilitate rapid internationalization, particularly when triggered by unique home country conditions (e.g., regulation; rising cost of doing business at home; exhaustion of profitable growth opportunities in the domestic market).     

The motivation of international entrepreneurship: The case of Chinese transnational entrepreneurs

The ventures of transnational entrepreneurs (TEs) are a new business phenomenon, representing a fluid context in which established arrangements may be expected to change. In terms of one particular relationship, motivation has been found to be a key construct in international entrepreneurship (IE) research, with two established features of motivation comprising entrepreneurial vision and its implementation. At the same time, nationality has been found to be a consistent influence on entrepreneurial orientation through the impact of culture. Employing qualitative case study methods, this paper investigates these relationships in the new context of the internationalization of Chinese TEs socially embedded in their host and home countries. Subtle changes in established patterns of IE motivation are detected, and Chinese cultural influence may also be weakening to meet the environment of host countries.     

Entrepreneurial orientation and international scope: The differential roles of innovativeness,proactiveness, and risk-taking

This research integrates the international business and entrepreneurship literatures by examining the independent influences of innovativeness, proactiveness, and risk-taking on the ability of a firm to broaden its scope across international markets. For each dimension of entrepreneurial orientation, a cost–benefit framework is applied to highlight the trade-offs associated with different levels in the internationalization context. Based on a unique dataset of 500 SMEs spanning 10 industries, the results reflect the consequences of being “stuck in the middle” with respect to their strategic posture on innovativeness and proactiveness, but reveal a nuanced role for risk-taking behavior. The non-uniform and non-linear relationships from the findings contribute to a better understanding of when the individual dimensions of entrepreneurial orientation help or hinder entrepreneurial firms in the internationalization process.     

The efficacy of talent management in international business: The case of European multinationals

The focus of this study is on the efficacy of talent management (TM) practices to the performance and operations of international businesses. There are relatively limited dedicated studies on the value and effectiveness of TM as an identifiable international practice and its contribution to international business. Anecdotal research and consultants' reports have argued for an increase in the return on investment where TM practices are aligned with the business strategy. Conceptually, human capital theory is adopted to explain investment in high potentials in addition to the resource‐based view, which help explain the development of internal sources of competitive advantage, which are rare, inimitable, nonsubstitutable, and valuable. This article builds on knowledge by qualitatively examining managerial experiences of TM practices within 17 European internationally operating businesses with employees ranging from 800 to 200,000. An exploratory qualitative approach is adopted, with semistructured interviews as the main data collection tool. Findings accentuate the significance of developing the most valuable source of competitive advantage—people. We argue that, if TM is effectively implemented can result in the development of unique competences, which can ease the burdens of cross‐border business challenges and lead to sustainable competitive advantage.     

The search for global competence: From international HR to talent management

This article describes the evolution of the search for global competence through a 50-year content analysis and review of published research in the field of International HR Management (IHRM), and more recently, Talent Management (TM), with special emphasis on the Journal of World Business. We present a detailed examination of the IHRM/TM content of the Journal of World Business from its inception in 1965 through 2014. To put the results of that review into perspective, we review key themes in global business and strategy from 1965 to the present, noting where IHRM/TM research and business trends correspond, diverge, and lag. Next, we present a brief history of IHRM and TM, showing how the emerging theme of TM offers challenges and promise for connecting future IHRM/TM research with emerging business, strategy, and social trends. We conclude with the implications of our findings for future research, and the importance of the search for global competence.