The Internationalization Process - A Case Study of PWPW S.A.

Abstract

Objective: The purpose of the paper is to present the implementation process of internationalization using the example of Polish Security Printing Works (PWPW) and to examine whether the process follows leading internationalization theories.

Research Design & Methods: The paper is based on a literature review and a case study of PWPW. The methodology of a case study allows showing the researched process of a single firm’s internationalization more precisely and thoroughly than quantitative research. The case study presents the whole internationalization process of PWPW, including a selection of its foreign activities.

Findings: The paper leads to the conclusion that the internationalization of PWPW generally remains in accordance with the revitalized Uppsala model. Nonetheless, there are some deviations from the model. They may result from the specificity of the business sector of PWPW. An example of such deviations is pushing customers actions towards a specified mode of supplier’s internationalization.

Implications & Recommendations: Empirical knowledge resulting from thoroughly studied behaviour of a required number of companies may significantly improve understanding of the internationalization process and point out the best solutions as well as solutions that should be avoided in business practice. It seems that the internationalization pattern of PWPW S.A. may be perceived as successful and therefore be applicable by other companies from the industry.

Contribution & Value Added: The paper delivers new empirical evidence on
internationalization practices pursued by PWPW, a company that delivers products having a critical influence on the state security.

Keywords

internationalisation, exports, Uppsala model, PWPW S.A.

Author Biography

Remigiusz Lewandowski

The Strategy & Marketing Director at PWPW and a guest lecturer at the Faculty of Economic Sciences  and  Management  at  Nicolas  Copernicus  University  of  Toruń where  in  2011  he received (with distinction) a PhD degree in economics.

Grażyna Rafalska

The Director of the International Sales Department at Polish Security Printing Works (PWPW S.A.). Mrs. Rafalska has over 15 years of experience in sales of products and services. For the past 10 years has been in charge of export. Since the beginning of her professional career she deals with sales of security products and services. She graduated from Warsaw University of Technology as Master of Science in Printing.

References

1. Adamkiewicz‐Dwiłło, HG 2008, Współczesna metodologia nauk ekonomicznych, TNOiK, Toruń.
2. Agarval, S 1994, ‘Socio‐cultural distance and the choice of joint‐ventures: A contingency prospective’, Journal of International Marketing, vol. 2, no. 2.
3. Barkema, HG & Drogendijk, R 2007,’Internationalising in small, incremental or larger steps?’, Journal of International Business Studies, vol. 38, no. 7.
4. Barney, JB 1991, ‘Firm resources and sustained competitive advantage’, Journal of Management, vol. 17.
5. Bonnaccorsi, A 1992, ‘On the relationship between firm size and export intensity’, Journal of International Business Studies, vol. 23, no. 4.
6. Capar, N & Kotabe, M 2003, ‘The relationship between international diversification and performance in service firms’, Journal of International Business Studies, vol. 34, no. 4.
7. Daszkiewicz, N & Wach, K 2012, Internationalization of SMEs. Context, models and implementation, Gdańsk University of Technology Publishers, Gdańsk.
8. Die Welt, http://www.welt.de/wirtschaft/article1767242/Staat‐steigt‐wieder‐bei‐Bundesdruckerei‐ein.html
9. Domarecki, K 2012, ‘Ekspansja zagraniczna polskich firm. Jaki kierunek?’, Thinktank, vol. 3, no. 14.
10. Dunning, JH 1988, Explaining International Production, Unwin, London.
11. Erramilli, MK 1991, ‘The experience factor in foreign market entry behavior of service firms’, Journal of International Business Studies, vol. 22, no. 3.
12. Goerzen, A & Makino, S 2007, ‘Multinational corporation internationalization in the service sector: A study of Japanese trading companies’, Journal of International Business Studies, vol. 38, no. 7.
13. Gorynia, M & Jankowska, B 2007, ‘Teorie internacjonalizacji’, Gospodarka Narodowa, vol. 10.
14. Hedlund, G & Kverneland, K 1984, Are establishment and growth patterns for foreign markets changing? The case of Swedish investment in Japan, Institute of International Business,
15. Stockholm School of Economics, Stockholm.
16. Hirsch, S 1975, ‘Product Cycle Model of International Trade’, Oxford Bulletin of Economics and
17. Statistics, vol. 4.
18. Hollensen, S 2001, Global marketing: a market‐responsive approach, Prentice Hall, Harlow.
19. Johanson, J & Mattson, LG 1988, International relations in industrial systems: A network approach, In Hood, N & Vahlne, JE (eds.), Strategies in global competition, Croom Helm, London.
20. Johanson, J & Vahlne, JE 1977, ‘The internationalization process of the firm – a model of knowledge, development and increasing foreign market commitment’, Journal of International Business Studies, vol. 8.
21. Johanson, J & Vahlne, JE 2009, ‘The Uppsala internationalization process model revisited: From liability foreignness to liability of outsidership’, Journal of International Business Studies, vol. 40.
22. Johanson, J & Wiedersheim‐Paul, F 1975, ‘The internationalization of the firm – four Swedish cases, Journal of Management Studies, vol. 12.
23. Juul, M & Walters, PG 1987, ‘The internationalization of Norwegian firms: A study of the UK experience’, Journal of International Business Studies, vol. 27, no. 1.
24. Knight, G & Cavusgil, ST 1996, ‘The born global firm: A challenge to traditional internationalization theory’, Advances in International Marketing, vol. 8.
25. Komor, M 2011, ‘Internacjonalizacja handlu w Europie’ In Sławińska M (ed.), Handel we współczesnej gospodarce. Źródła i przejawy innowacyjności, Zeszyty Naukowe Uniwersytetu Ekonomicznego w Poznaniu, vol. 175.
26. Krugman, P 1979, ‘A model of innovation, technology transfer, and the world distribution of income’, Journal of Political Economy, vol. 87, no. 2.
27. Lewandowski, R 2014, ‘Rola narodowego wytwórcy banknotów, dokumentów i towarzyszących im systemów IT w systemie bezpieczeństwa obrotu gospodarczego i prawnego’, In Raczkowski K (ed.), Bezpieczeństwo ekonomiczne obrotu gospodarczego. Ekonomia, Prawo.
28. Zarządzanie, Wolters Kluwer, Warszawa.
29. Loane, S & Bell J 2006, ‘Rapid internationalisation among entrepreneurial firms in Australia, Canada, Ireland and New Zealand: An extension to the network approach’, International Marketing Review, vol. 23, no. 5.
30. Miesenbock, KJ 1985, ‘Small business and exporting: a literature review’, International Small Business Journal, vol. 6.
31. Nakos, G & Brouthers, K 2002, ‘Entry mode choice of SMEs in Central and Eastern Europe’, Entrepreneurship Theory and Practice, vol. 27, no. 1.
32. Nordström, KA 1990, The internationalization process of the firm. Searching for new patterns and explanations, Stockholm School of Economics, Stockholm.
33. Penrose, E 1959, The Theory of Growth of the Firm, Basil Blackwell, London.
34. Petersen, B & Pedersen, T 1997, ‘Twenty years after: Support and critique of the Uppsala internationalization model’, In Bjorkman, I & Forsgren, M (eds.), The nature of the international firm, Copenhagen Business School Press, Copenhagen. Polish Central Statistical Office, http://www.stat.gov.pl/
35. Posner, M 1961, ‘International trade and technical change’, Oxford Economic Papers, vol. 13.
36. Prahalad, CK & Hamel, G 1990, ‘The core competence and the corporation’, Harvard Business Review, May‐June.
37. Przybylska, K 2010, ‘Kontrowersje wokół tradycyjnego ujęcia procesu internacjonalizacji przedsiębiorstw’, In Dach, Z (ed.), Otoczenie ekonomiczne a zachowania podmiotów rynkowych, PTE, Kraków.
38. Simon, H 1999, Tajemniczy mistrzowie – studia przypadków, PWN, Warszawa.
39. Vernon R 1979, ‘The product Cycle Hypothesis In a New International Environment’, Oxford Bulletin of Economics and Statistics, vol. 2.
40. Vernon, R 1966, ‘International Investment and International Trade In the Product Cycle’, The Quarterly Journal of Economics, vol. 2.
41. Williamson, OE 1975, Markets and Hierarchies: Analysis and Antitrust Implications, The Free Press, New York.
42. Zahra, S, Ireland R & Hitt M 2000, ‘International expansion by new venture firms: International diversity, mode of market entry, technological learning, and performance’, Academy of Management Journal, vol. 43, no. 5.
43. Zain, M & Ng SI 2006, ‘The impacts of network relationships on firms’ internationalization process’, Thunderbird International Business Review, vol. 48, no. 2.