Over the past decade, several studies have questioned the stage models of the internationalization process. Many of these studies concentrate on the exporting versus nonexporting factor, identifying an increasing number of firms that are active in international markets shortly after establishment. Limited empirical evidence exists as to whether this actuality indicates simply a reduced time factor in the preexport phase or an important change in the export behavior of firms. Using small and medium-sized exporting firms from Norway, Denmark, and France, the authors focus on the concept of gradual development. The results suggest that export intensity, distribution, market selection, and global orientation are not influenced by the firm's year of establishment or first year of exporting activity. One-third of the firms sampled reported that the time period between establishment and export commencement was less than two years. In terms of export intensity, these firms outperform those that waited several years before exporting. The results indicate that the future export involvement of a firm is, to a large extent, influenced by its behavior shortly after establishment. The results further indicate that the development of resources in support of international market competitiveness may be regarded as the key issue and that the basic resources and competencies of the firm are determined during the establishment phase. The authors review how the management challenges differ depending on the type of firm (age and export involvement) in question.
Companies that internationalise at or near their founding, “born globals,” are emerging in great numbers world‐wide. Characterised by a specific Gestalt of marketing‐related competencies, they are playing an increasing role in international trade. Born globals are investigated using data from case and survey‐based studies in Denmark and the USA. First introduces and describes the born‐global phenomenon. Then, hypotheses are developed and tested via a structural model that represents key factors in the international success of this important breed of firm. Results suggest that born‐global international performance is enhanced in the wake of managerial emphasis on foreign customer focus and marketing competence. Product quality and differentiation strategy also play important roles, particularly in the US firms. These and additional findings are discussed in light of their theoretical and practical implications.
3 March 2013 in International Journal of Management Reviews