Market entry decisions of US small and medium‐sized software firms

Ojala, Arto; Tyrväinen, Pasi

doi:10.1108/00251740810854113

Cited by 26 publications

(20 citation statements)

References 47 publications

(148 reference statements)

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“…Key research themes relating to the exporting SME include the investigation of the process itself [36,37], market entry and the role of the decision maker [38], SMEs and globalisation [39], exporting stimuli [40], export problems and barriers [41,42], the link between firm/managerial characteristics and exporting competencies [43] and export stimulation measures [44]. Other issues investigated include comparisons of non-exporters versus exporters [45], networking and the entrepreneurial exporter [15,46], the impact of the internet on SME domestic and export behaviour [47], export market information gathering [48] and the use of creativity to overcome resource constraints [49].…”

Section: Exporting As a Path To Internationalisationmentioning

confidence: 99%

The Internationalisation Process of the Smaller Firm: An Examination of the Craft Microenterprise

Fillis¹

2008

TOBJ

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Abstract:This work involves an examination of the internationalisation process of the smaller firm, focusing on the craft enterprise in the United Kingdom and the Republic of Ireland. Craft sector analysis was carried out in order to determine historical precedents as well as to assist in the identification of industry and firm level factors impinging upon domestic and export market behaviour. A range of internationalisation theories are discussed, with the conclusion that the majority of these frameworks fail to readily explain smaller firm exporting behaviour. More recent developments such as the born global firm, the instant international and networking for internationalisation are deemed more appropriate fits for smaller firm internationalisation research. Quantitative results identify the majority of craft firms as microenterprises with almost one half operating as a single person business. Qualitative analysis enabled profiling of craft firm types to be carried out. Four orientations are uncovered: the entrepreneur, the idealist, the lifestyler and the latecomer. A composite framework of the factors uncovered in the analysis is constructed in order to better explain the process of smaller firm internationalisation.

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Section: Exporting As a Path To Internationalisationmentioning

confidence: 99%

The Internationalisation Process of the Smaller Firm: An Examination of the Craft Microenterprise

Fillis¹

2008

TOBJ

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“…A study from Sheng and Mullen (2011) shows that the industrial-specific model o↵ers more accurate prediction of the export opportunity in foreign markets than macroeconomic data. Empirical evidence from the software industry also indicates that foreign market size in the specific industry is a strong indicator for the entry decisions of small firms (Ojala and Tyrväinen, 2008;Sinha et al, 2015). In the EM context, extent research shows that the dynamism of emerging 41 2.…”

Section: Role Of Market Size In the Perceived Opportunitymentioning

confidence: 99%

Contextualization of Evolving Patterns in the Internationalization of Small Firms

2015

Linköping Studies in Science and Technology. Dissertations

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The internationalization of SMEs has been recognized as one of the important paths to growth in SMEs. However, internationalization is also a resource and competence-demanding process. This is especially true for smaller-sized SMEs – the small and micro-sized firms – which have a large resource constraint, making internationalization even more challenging. Although this group of small firms counts for an average of over 98% of the total population of enterprises in EU countries, extant research on the internationalization of this group is still limited. Therefore, the main purpose of this dissertation is to contribute to a better understanding of evolving patterns of internationalization in the smaller-sized SMEs. The study uses emerging market entry along the internationalization of small firms as a context to probe the dynamics of perceived risk (uncertainty) and perceived opportunity in different foreign markets which influence the important decisions of small firms during their internationalization. The main study takes a longitudinal approach and uses mixed methods to investigate the features in both the initial period and the continued period of internationalization. It mainly builds on a multiple-case study of 12 Swedish firms, which have/had emerging market entry experience and/or involvement. This study illustrates influences from the environmental, organizational and individual levels on evolving patterns of internationalization in the investigated firms. This dissertation concludes that critical decisions and actions taken in the internationalization process depend on interactions among the influence and resources from the three levels. Such interactions form a conditional preference on perceived risk (uncertainty) and perceived opportunity during the internationalization of small firms. The study further proposes that the dynamics in the internationalization process are caused by a prospect-guided change mechanism. This dissertation contributes to the literature by: differentiating patterns of internationalization; enriching the study of “born global” in the continued period of internationalization; introducing a new perspective on the interpretation of dynamics in the internationalization; and increasing the understanding on the interactions of resources from three levels on the internationalization of small firms

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“…This is particularly the case with providers of specialized systems and applications in business-tobusiness markets. Due to these various characteristics, the internationalization of software firms has also received a considerable amount of attention in academic circles, as demonstrated by the proliferation of studies addressing the internationalization of software firms in particular [6,14,15,32,33,36,43].…”

Section: Theoretical Background and Development Of Hypothesesmentioning

confidence: 99%

“…This is surprising, since the internationalization of software firms has attracted considerable attention in academic literature (e.g. [6,14,15,27,29,31,32,33]). Moreover, young high-growth firms have been shown to have a strong impact on economic development [1,27], and for companies with small domestic markets, internationalization can be regarded as a natural stage in development [40].…”

Section: Introductionmentioning

confidence: 99%