Strategic Commitment and Timing of Internationalization from Emerging Markets: Evidence from China,India, Mexico,and South Africa |
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| Authors: | Eric Wood Susanna Khavul Liliana Perez‐Nordtvedt Srinivas Prakhya Raul Velarde Dabrowski Congcong Zheng |
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| Affiliation: | 1. Graduate School of Business at the University of Cape Town;2. Department of Management at The University of Texas at Arlington;3. Department of Marketing at the IIM—Bangalore;4. IPADE, Mexico City;5. Department of Management at San Diego State University |
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| Abstract: | In a study of 257 new ventures from China, India, Mexico, and South Africa, we find support for the mediating effect of strategic early internationalization on international sales intensity. We argued that when new ventures from emerging markets internationalize early and with commitment, the legitimacy they acquire helps them overcome liabilities of newness and foreignness. We develop a typology of international new ventures that, based on strategic intent and timing of internationalization, distinguishes strategic early internationalizers from persistent, serendipitous, and long‐term internationalizers. We show that strategic early internationalization accounts for over half of the explained variance in international sales intensity and either fully or partially mediates the effects of managerial knowledge and market orientation on international sales intensity. |
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