Opportunity Identification and Creation as Factors of Firm Internationalisation


Abstract

Objective: This paper aims to establish if, why and how, in given institutional and industry contexts, the identification and/or creation and exploitation of opportunity may result in a higher intensity of internationalisation processes in firms.

Research Design & Methods: The study is based on literature review. It synthesizes fragmented pieces of research on international entrepreneurship, mainstream entrepreneurship and entrepreneurial learning theory. In-depth comparative literature studies focus on sources, forms and features of opportunities, as well as the role of both Schumpeterian and Kirznerian opportunities in internationalisation activities of firms.

Findings: Findings bring together state-of-the-art research and extends it by providing a deeper understanding of the feed-back effect of entrepreneurial learning as well as highlighting the progressive nature of opportunity space in the proposed model.

Implications & Recommendations: Expanding firm’s operations can be a first step towards a self-reinforcing loop relationship, tying prior experience to future behaviour and moving the entrepreneur to higher levels of international awareness and accuracy in opportunity identification.

Contribution & Value Added: The article presents an integrated process-based view of opportunity antecedents and concludes with a dynamic cyclical path-dependent model of opportunity-based view of firm internationalisation. Hopefully, the proposed model can serve as a useful lens for hypotheses formulation and testing within the research on firm internationalisation determinants.


Keywords

opportunity identification; opportunity recognition; opportunity creation; international entrepreneurship; internationalisation

Adler, P.S., & Kwon, S.W. (2002). Social capital: Prospects for a new concept. Academy of Management Review, 27(1), 17-40.

Aldrich, H. (1999). Organizations evolving, London: Sage Publications.

Autio, E., Sapienza, H.J., & Almeida, J.G. (2000). Effects of age at entry, knowledge intensity and imitability on international growth. Academy of Management Journal, 43(5), 909-924.

Bowen, D., & Inkpen, A. (2009). Exploring the role of “Global Mindset” in leading change in international contexts. The Journal of Applied Behavioral Science, 45(2), 239-260.

Casillas, J.C., & Acedo, F.J. (2013). Speed in the Internationalization Process of the firm. International Journal of Management Reviews, 15(1), 15-29.

Casson, M. (1982). The entrepreneur, Totowa, NJ: Barnes & Noble Books.

Chandra, Y., Styles, C., & Wilkinson, I.F. (2009). The Recognition of First Time International Entrepreneurial Opportunities: Evidence from Firms in Knowledge-Based Industries. International Marketing Review, 26 (1), 30-61.

Chandra, Y., Styles, C., & Wilkinson, I. (2012). An opportunity-based View of Rapid Internationalization. Journal of International Marketing, 20(1), 74-102.

Cope, J. (2005). Toward a dynamic learning perspective of entrepreneurship. Entrepreneurship Theory and Practice, 29(4), 373-397.

Daszkiewicz, N., & Wach, K. (2012). Internationalization of SMEs: Context, Models and Implementation. Gdańsk: Gdańsk University of Technology.

Daszkiewicz, N., & Wach, K. (2014). Motives for Going International and Entry Modes of Family Firms in Poland. Journal of Intercultural Management, 6(2), 5-18.

Erdelyi, P. (2010). The Matter of Entrepreneurial Learning: A Literature Review. In: International Conference on Organizational Learning, Knowledge and Capabilities (OLKC). Conference Papers, Northeastern University, Boston, MA, USA. (Official URL: http://www.cba.neu.edu/olkc2010/).

Grant, R.M. (1996). Toward a knowledge-based theory of the firm. Strategic Management Journal, 17(2), 109-122.

Hayek, F.A. (1945). The Use of knowledge in Society. American Economic Review, 35(4), 519-530.

Jones, G, & Butler, J. (1992). Managing internal corporate entrepreneurship: an agency theory perspective. Journal of Management, 18(4), 733-749.

Gupta, A.K., & Govindarajan, V. (2002). Cultivating a global mindset. Academy of Management Executive 16(1), 116-126.

Kirzner, I. (1973). Competition and Entrepreneurship. Chicago: University of Chicago Press.

Kirzner, I. (1997). Entrepreneurial discovery and the competitive market process: an Austrian approach. Journal of Economic Literature, 35(1), 60-85.

Kreiser, P.M. (2011). Entrepreneurial Orientation and Organizational Learning; The Impact of Network Range and Network Closure. Entrepreneurship Theory and Practice, 35(5), 1025-1050.

Li, J. (2013). The internationalization of entrepreneurial firms from emerging economies: The role of institutional transitions and market opportunities, Journal of International Entrepreneurship, 11(2), 158-171.

Lu, J.W., & Beamish, P. W. (2001). The internationalization and performance of SMEs. Strategic Management Journal, 22, 565-686.

Mitchell, R.K., Busenitz L., Lant T., McDougall P. P., Morse E. A, & Smith J. B. (2002). Toward a Theory of Entrepreneurial Cognition: Rethinking the People Side of Entrepreneurship Research. Entrepreneurship Theory and Practice, 27(2), 93-104.

Petkova, A.P. (2009). A theory of entrepreneurial learning from performance errors. International Entrepreneurship Management Journal, 5(4), 345-367.

Pierścionek, Z. (2011). Zarządzanie strategiczne w przedsiębiorstwie, Warszawa: PWN.

Ripolles-Melia, M, Menguzzato-Boulard, M, & Sanchez-Peinado, L. (2007). Entrepreneurial orientation and international commitment. Journal of International Commitment, 5(3-4), 65-83.

Sarasvathy, S.D., Dew, N., Velamuri, S.R., & Venkataraman, S. (2010). Three views of entrepreneurial opportunity. In Handbook of entrepreneurship research (pp. 77-96). New York: Springer.

Schumpeter, J. (1934). Capitalism, Socialism, and Democracy. Harper & Row, New York.

Shane, S. (2003). A General Theory of Entrepreneurship, Cheltenham, UK: Edward Elgar.

Shane, S., & Venkataraman, S. (2000). The promise of entrepreneurship as a field of research. Academy of Management Review, 25(1), 217-226.

Stevenson, H.H., & Jarillo-Mossi, J.C. (1986). Preserving Entrepreneurship as Companies Grow. Journal of Business Strategy, 7(1), 10-34.

Styles, C., & Seymour R.G. (2006). Opportunities for Marketing Researchers in International Entrepreneurship. International Marketing Review, 23(2), 126-45.

Venkataraman, S., Dew, N., & Forster, W.R. (2012). Reflections on the 2010 AMR Decade Award: Wither the Promise? Moving Forward with Entrepreneurship as a Science of the Artificial. Academy of Management Review, 37(1), 21-33.

Wach, K. (2014). Familiness and Born Globals: Rapid Internationalisation among Polish Family Firms. Journal of Intercultural Management, 6(3).

Wach, K & Wehrman, C. (2014). Entrepreneurship in International Business: International Entrepreneurship as the Intersection of Two Fields. In: A.S. Gubik, & K. Wach, (Eds.), International Entrepreneurship and Corporate Growth in Visegrad Countries (pp. 9-22). Miskolc: University of Miskolc.

Welch, L. & Luostarinen, R.K. (1988). Internationalization: evolution of concept. Journal of General Management, 14(2), 36-64.

Zahra, S.A., Ireland, R.D., & Hitt, M.A. (2000). International Expansion by New Venture Firms: International Diversity, Mode of Market Entry, Technological Learning, and Performance. Academy of Management Journal, 43(5), 925-50.

Zahra, S.A., & Garvis, D.M. (2000). International corporate entrepreneurship: the moderating effect of international environment hostility. Journal of Business Venturing, 15(5), 469-492.

Zahra, S.A., & Wright, M. (2011). Entrepreneurship’s Next Act. Academy of Management Perspectives, 25(4), 67-83.

Żur, A. (2014). Corporate Entrepreneurship as an Facilitating Factor in the Rapid Internationalization of firms. The Case of Nowy Styl Group. In: B. Knezevic & K. Wach, (Ed.), International Business from the Central European Perspective (pp. 83-96). Zagreb: University of Zagreb.

Download

Published : 2015-06-19


ŻurA. (2015). Opportunity Identification and Creation as Factors of Firm Internationalisation. Entrepreneurial Business and Economics Review, 3(2), 25-39. https://doi.org/10.15678/EBER.2015.030203

Agnieszka Żur  zura@uek.krakow.pl
Cracow University of Economics  Poland




Authors who publish with this journal agree to the following terms:

  1. Authors retain copyright and grant the journal right of first publication with the work simultaneously licensed under a CC BY-ND licence that allows others to share the work with an acknowledgement of the work's authorship and initial publication in this journal.
  2. Authors are asked to enter into separate, additional contractual arrangements for the non-exclusive distribution of the journal's published version of the work (e.g., post it to an institutional repository or publish it in a book), with an acknowledgement of its initial publication in this journal.

 Authors are permitted and encouraged to post their work online (e.g., in institutional repositories or on their website) only the final version of the article, as it can lead to productive exchanges, as well as earlier and greater citation of published work (See The Effect of Open Access). We advise using any of the following research society portals:


Most read articles by the same author(s)