Understanding internationalisation approaches and mechanisms of diaspora entrepreneurs in emerging economies as a learning process

Abstract

Purpose The purpose of this paper is to present an exploration into the internationalisation approaches and mechanisms of diaspora entrepreneurs in emerging economies. It seeks to conceptualise the strategies as a learning process. Design/methodology/approach The research is qualitative using a case study approach involving in-depth semi-structured interviews conducted longitudinally. Findings The findings suggest that diaspora entrepreneurs adopt mostly the network or, in some cases, the international new venture (born-global) market entry approach rather than the traditional stage by stage approach. The findings also suggest that diaspora entrepreneurs have perceived advantages over domestic small- and medium-sized enterprises (SMEs) because of their foreign exposure which has influenced their entrepreneurial behaviour in exploiting business opportunities. Practical implications The main implication of the study is that entrepreneurs who are beginning to internationalise their activities should seek to exploit potential first-mover advantages in emerging economies by realising an approach of internationalisation at high speed. Originality/value The paper contributes to better understanding of the diaspora entrepreneurship and its dynamics.

The diaspora phenomenon: scholarly assessment and implications for countries and firms

“…Hence, the above definition does not require that the person was born in a country of origin, but it is required that he/she has some relations with their homeland (IOM GMDAC, 2019;Poirine et al, 2017;Poston and Wong, 2016). They can also be called overseas communities or overseas and refer to longsettled members of diaspora, who can have their own firms that refer to born-global organizations or family businesses located in host countries (Chand and Ghorbani, 2011;Ekanem, 2019;Sifneos, 2011).…”

“…Thus, diaspora entrepreneurs' firms usually are more internationalized (Brzozowski et al, 2019). Moreover, being born-global, they quite often operate within a host market, increasing its economic development (Ekanem, 2019;Guercini et al, 2017). At the same time, they can continue to be entrepreneurially active in home countries (Brzozowski et al, 2019).…”

“…There is the significant role of diasporans as minority entrepreneurs (born-global firms established from the outset) or family businesses located in host countries (Chuah et al, 2016;Ekanem, 2019;Guercini et al, 2017;Sifneos, 2011). They serve as an important factor for developing the host economies (Nkongolo-Bakenda and Chrysostome, 2013;Redding, 1990).…”

From immigrants to local entrepreneurs: understanding the effects of migration on entrepreneurship in a highly informal country

“…The existing evidence has shown how migration from developing-to-developed country might trigger entrepreneurship in the destination country as a result of the complementary effects in labor markets, new capital flow, and increasing human capital, among others (Fiess et al, 2010;Li and Zahra, 2012;Siqueira et al, 2016;von Bloh et al, 2020). Nonetheless, there is a lacuna in studies exploring this relationship when migration happens between two developing countries in which both places, origin and destination, are characterized by high informality and institutional weakness (Ekanem, 2019;Jain and Pisani, 2008;Mickiewicz et al, 2019).…”

A Internacionalização De Uma Empresa Brasileira E Os Riscos De Mercado Sob a Óptica Do Modelo De Uppsala

“…O processo de internacionalização é conceituado por várias teorias que elucidam diferentes motivações e etapas para a realização dos negócios internacionais. Alguns estudos recentes concentraram-se na avaliação da utilidade de modelos teóricos para explicar a internacionalização das multinacionais de economia emergente (AMAL et al,2013;MEYER e THAIJONGRAK;2013), nas estratégias adotadas (ISLAM, 2014;BANDEIRA-DE-MELLO et al,2016;WARISARA, 2016;MARTIGNAGO;CÁRIO;ALPERSTEDT, 2018;EKANEM, 2019) e nos riscos envolvidos na internacionalização (CHIAVEGATTI; TUROLLA, 2011;YANG, 2012).…”