2014
DOI: 10.1177/0266242614539363
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The dynamics of failure in international new ventures: A case study of Finnish and Irish software companies

Abstract: This article investigates venture failure in the context of rapid internationalisation using a literature-based framework and four illustrative cases from Finland and Ireland. In addition to introducing a contextualised definition of failure, we offer a holistic framework for analysing failure in future studies while also identifying critical incidents, as well as internal and external factors, informing the failure process. The findings suggest that managerial capabilities, particularly managerial experience … Show more

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Cited by 80 publications
(66 citation statements)
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“…This is indeed a challenging topic to cover not only due to the intricacies of its definition (Benito & Welch, 1997;Calof & Beamish, 1995;Chetty, 1999;Welch & Luostarinen, 1988) but also due to the problem of defining research methodologies capable of collecting data on the subject. Although scholars have had encounters with firms de-internationalizing their activities (e.g., Nummela, Saarenketo, & Loane, 2016) this topic would not only complement the academic knowledge on internationalization but also support the SME business community in their quest to compete in an expanded business arena.…”
Section: Discussionmentioning
confidence: 99%
“…This is indeed a challenging topic to cover not only due to the intricacies of its definition (Benito & Welch, 1997;Calof & Beamish, 1995;Chetty, 1999;Welch & Luostarinen, 1988) but also due to the problem of defining research methodologies capable of collecting data on the subject. Although scholars have had encounters with firms de-internationalizing their activities (e.g., Nummela, Saarenketo, & Loane, 2016) this topic would not only complement the academic knowledge on internationalization but also support the SME business community in their quest to compete in an expanded business arena.…”
Section: Discussionmentioning
confidence: 99%
“…Most articles were published among 2011 and 2014, summing 26 articles from the total included in our sample. In the period researched, the production rhythm has dropped despite the relevance of the subject and the new characteristics, firms' trajectories, and subjects that are being connected to the topic (Dimitratos et al, 2016;Nummela et al 2016).…”
Section: Results Presentation 41 Overall Analysismentioning
confidence: 99%
“…However, there is empirical evidence that easy access to market information does not guarantee smooth and successful entry to international markets. On the contrary, it may create the illusion of understanding the customer and/or the market and lead to failure in internationalization (Nummela et al 2016). Just as scholars have observed a ''paradox of psychic distance'' (O'Grady and Lane 1996), a ''paradox of information availability'' might be at work.…”
Section: Misunderstanding Nomentioning
confidence: 99%