Born global firms: The differences between their short- and long-term performance drivers |
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Authors: | Kalanit Efrat Aviv Shoham |
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Institution: | 1. KU Leuven, Vlerick Business School, Belgium;2. Vlerick Business School, Belgium |
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Abstract: | Globalization has triggered the emergence of a new breed of firms called “Born Globals” (BGs), firms that become international soon after inception. Unlike previous research, the present study distinguishes between BGs’ short- and long-term performance and argues that different drivers affect each type of performance. Data from 107 Israeli BGs shows that their short-term performance is impacted mostly by environmental (external) factors. In contrast, over the long run, internal factors become more crucial to BGs’ survival and success. These time-based differences have important theoretical and practical implications. |
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