Are Neoclassic Internationalization Models Enduring? A Case-Review of the Uppsala Paradigm

Abstract

Internationalization is a theme of great interest to practitioners worldwide, intensified by the increasing business environmental turbulence in last decades. The latter led to the proliferation and expanding of research into new areas, while neoclassic archetypes were conversely dubbed as, supposedly “old-fashioned.” In this context, a review article aims at breaking with such dogma, rejuvenating prior knowledge, and contextualizing it in current time. Hence, this research focus on a seminal framework, the well-known Uppsala Model, purposively selected as being an exception, as it keeps capturing the interest of scholars and is still one of the most cited frameworks in this area. Thus, a theoretical review addresses the evolution of the model in the aftermath of more than 40 years of research, and contextualizes it within the state-of-the-art of internationalization-related theories. An integrative review process is applied to a purposeful selection of descending frameworks of the model, circumscribed to the last decade (2009–2019). An enduring utility is positively observed, grounded on a reactive adaption purpose. In parallel, a shift is assisted from the neoclassic paradigm to a behavioral paradigm pillared on a capability-building logic for the adaption toward volatile, uncertain, complex, and ambiguous environments. This led to the extension of the Uppsala paradigm from a pure internationalization process model to enter the realm of the international capabilization framework.

Innovation and international business: A systematic literature review

“…As previously reported, in the field of international business two models are basic; however, although the Uppsala model keeps capturing the interest of scholars and is still one of the most cited frameworks in this area [ 112 ], it is confirmed that the born global firms’ phenomenon is very present in current literature. As Hennart et al [ 113 ] remember, born global firms make large foreign sales at birth or shortly afterwards since they own valuable resources (for instance, advanced technologies and a high international orientation), and specific internationalization strategies (such as networks).…”