Rapid internationalization of emerging market firms—The role of geographic diversity and added cultural distance

Jain, Naveen; Pangarkar, Nitin; Yuan, Lin; Kumar, Vikas

doi:10.1016/j.ibusrev.2019.101590

Cited by 40 publications

(32 citation statements)

References 83 publications

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“…This in turn can result in increasing complexity and higher costs for the internationalizing firm. Extant research has shown that when the breadth of internationalization is high, the costs related to adding a new market to the MNE's portfolio will outweigh its benefits, thus leading to diminishing returns (Jain et al, 2019). We therefore conclude that a higher level of breadth of internationalization speed will be negatively related to firm performance.…”

mentioning

confidence: 72%

“…Similar to the previous variable, and in order to normalize the distribution of the variable, a logarithmic transformation was taken. Second, we measure the depth of internationalization speed as the average number of foreign outlets divided by the number of years since the firm's first international expansion Chang & Rhee, 2011;Jain et al, 2019;Vermeulen & Barkema, 2002). Extant literature has used this measure, also in a retail-specific context, to capture the speed by which firms scale their operations in a foreign market and is particularly suited to studying the internationalization of large MNEs (Chetty et al, 2014).…”

Section: Methodsmentioning

confidence: 99%

“…With regard to country-level controls, we account for the effect of cultural distance. Specifically, we use the measure of added cultural distance which represents the distance between a newly entered country and all countries in which a firm already operates and then taking the smallest of these distances (Hutzschenreuter & Voll, 2008;Hutzschenreuter et al, 2014;Jain et al, 2019). To calculate this variable, we use the formula developed by Kogut and Singh (1988) and the cultural values reported by Hofstede (2001).…”

Section: Methodsmentioning

confidence: 99%

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Achieving the Paradox of Concurrent Internationalization Speed: Internationalizing Rapidly in Both Breadth and Depth

Batsakis

Theoharakis

2021

Manag Int Rev

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In this paper, we draw on the notions of breadth and depth of internationalization speed in an attempt to examine the performance implications for multinational enterprises (MNEs) that rapidly and concurrently internationalize in new and existing foreign markets. Specifically, we examine the organizational paradox which suggests that firms which grow internationally by concurrently expanding rapidly in both new foreign markets (breadth) and in foreign markets they currently operate (depth), are better off than firms which do not adopt such an approach. Since past research has not examined the interaction between the breadth and depth of MNE internationalization speed on firm performance, we contribute to the temporal dimension of the internationalization process by developing a novel, yet paradoxical approach. Our analysis is based on a longitudinal sample of the world’s largest retail MNEs covering the period 2003–2012, which includes the 2008 financial crisis that had a significant effect on the global economy. We find that concurrent internationalization speed positively relates to firm performance during periods of stability. Further, we draw from the upper-echelons theory and find that the aforementioned relationship can be strengthened by the level of CEO international experience and CEO education.

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mentioning

confidence: 72%

Section: Methodsmentioning

confidence: 99%

Section: Methodsmentioning

confidence: 99%

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Achieving the Paradox of Concurrent Internationalization Speed: Internationalizing Rapidly in Both Breadth and Depth

Batsakis

Theoharakis

2021

Manag Int Rev

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“…(Johanson & Vahlne, 1977), uma internacionalização lenta permite o aprendizado da empresa com suas experiências anteriores. Esse aprendizado permite que elas usem o conhecimento adquirido no gerenciamento desse processo, bem como em futuras entradas em outros países, de modo a reduzir a propensão em cometer erros dispendiosos (Jain et al, 2019).…”

Section: Resultados E Análisesunclassified

“…Empresas enfrentam grandes desafios ao adotarem a estratégia de internacionalização (Jain, Pangarkar, Yuan, & Kumar, 2019). Na literatura de international business, a teoria de Uppsala aborda a internacionalização como um processo gradual, e sugere que as empresas aumentem o nível de internacionalização paulatinamente, considerando que o conhecimento experimental exige tempo para ser adquirido e efetivamente colocado em prática (Johanson & Vahlne, 1977;Jain, et al, 2019).…”

Section: Internacionalizaçãounclassified

O Impacto da Diversidade de Produtos na Relação entre Internacionalização e Desempenho de Empresas Brasileiras Multinacionais

Dias

Penedo

Pereira

2021

BASE

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O objetivo deste estudo foi investigar o papel moderador da diversificação de produtos na relação entre internacionalização e desempenho de empresas brasileiras multinacionais. Este estudo utilizou dados de internacionalização coletados em relatórios da Fundação Dom Cabral, dados financeiros coletados na base de dados do Economática, além de dados secudários de 33 empresas brasileiras coletados no site da Comissão de Valores Mobiliários (CVM). O trabalho se refere a um período de oito anos (2010 a 2017), e utilizou regressão linear múltipla com efeitos fixos e dados em painel. Foi identificado que a relação entre internacionalização e desempenho de empresas brasileiras multinacionais se dá em formato de U. Ademais, foi identificado um papel moderador negativo na relação entre diversificação de produtos e internacionalização em baixo grau, e um efeito moderador positivo no desempenho de empresas brasileiras internacionalizadas com alto grau de diversificação de produtos. O presente trabalho inovou nessa temática para a literatura brasileira ao focar no efeito moderador da diversidade de produtos. Além disso, o artigo possui implicações para empresas brasileiras multinacionais, pois pode auxiliar o planejamento relacionado à expansão internacional delas, e também destaca que os efeitos benéficos da internacionalização não são imediatos; que os conhecimentos e experiências adquiridos nesse processo são importantes para melhorar sua performance; e que após estágios iniciais do processo de internacionalização, a diversificação de produtos pode auxiliar no que diz respeito a uma melhoria no desempenho dessas empresas.

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Making journals more international: Language subject differences and impact performance

Li,

Yang,

et al. 2023

Learned Publishing

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This study created a comprehensive Country Diversity Score (CDS) index to measure the degree of journal internationality from a diversity perspective, based on publishing authors' affiliation countries. It calculates CDS values and analyses their distribution across countries, publication languages, disciplines, subjects, and journal impact factor (JIF) quartiles for 11,481 journals, and addresses the correlation between CDS and JIF. Empirical studies indicate that journals with authors evenly distributed across more countries are more likely to obtain a higher CDS value. English publications have a relatively high CDS worldwide, and the non‐English publications of a country have a lower CDS than its English‐language publications. In addition, this study found a positive correlation between journal internationality and JIF in terms of the geographical distribution of publishing authors. Implications and recommendations for improving geographical authorship diversity, particularly in the context of internationalization, are discussed.

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Rapid internationalization of emerging market firms—The role of geographic diversity and added cultural distance

Cited by 40 publications

References 83 publications

Achieving the Paradox of Concurrent Internationalization Speed: Internationalizing Rapidly in Both Breadth and Depth

Achieving the Paradox of Concurrent Internationalization Speed: Internationalizing Rapidly in Both Breadth and Depth

O Impacto da Diversidade de Produtos na Relação entre Internacionalização e Desempenho de Empresas Brasileiras Multinacionais

Making journals more international: Language subject differences and impact performance

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