Heterogenous internationalization processes of emerging economy MNEs: A review and research agenda

The Role, Nature and Contribution of Indian Emerging Market Multinational Companies in African Countries

“…It is the latter period in which the development of Indian EMNCs in African countries occurred. Hence, home and host country factors are an important constraints or enablers in the internationalisation process (Sengupta et al, 2023). Others, such as managerial intentionality, or firm-level agency, and path-dependency are important too (Hutzschenreuter et al, 2007).…”

“…From the above discussion, Indian EMNCs do not appear to have one clear or single internationalising strategy (Aharoni, 2015; Contractor, 2015). Their individual distinctiveness even with a strong family orientation and culture is also a function of their core business and firm-specific assets, competencies/capabilities, industry, entrepreneurial orientation (Javalgi & Todd, 2011) and attendant strategic aims (Sengupta et al, 2023). EMNCs variously seek locational advantage, product and labour market benefits such as lower wages, cost advantages and a weak institutional regulatory environment in a host country.…”

“…Hence, one single theoretical explanation for Indian EMNC internationalisation strategies in other emerging markets would be inadequate. An emphasis on institutional effects has led to a systematic lack of appreciation of the effects of home-country political and economic factors’ (Sengupta et al, 2023, op cit., p. 8). These variations appear to be apt in relation to the internationalisation of several Indian EMNCs, such as the Tata Corporation and Infosys.…”

“…Human capital theory, resourced-based theory and social exchange theory appear particularly pertinent in evaluating the human and relational aspects of Indian EMNCs in Africa, as are theories and analyses applying cross-cultural management and institutional theory. In terms of both theory and research, a more nuanced approach is needed to understand the heterogeneity of the EMNC internationalisation process (Sengupta et al, 2023). Triangulated multi-theoretical or hybrid analytical frameworks, for example applying institutional theory and cross-cultural frameworks, human capital theory, firm-level entrepreneurial orientation (Javalgi & Todd, 2011), or the resource-based view, may provide more comprehensive and deeper critical analyses of the development EMNCs operating in VUCA contexts such as Africa (Horwitz et al, 2021).…”