Skip to main content
SpringerLink
Log in

Performance Measurement and Antecedents of Early Internationalizing Firms: A Systematic Assessment

  • Chapter
Book cover Four Essays on International Entrepreneurship

  • 699 Accesses

Abstract

With the increasing importance of early internationalizing firms (EIFs), recent literature has shown a rapidly growing research interest in EIF performance. To enhance our understanding of what drives EIF performance, we conduct a systematic analysis of performance antecedents and performance measures in current empirical research. This method allows us to: (i) systematically analyze EIF literature to identify how performance has been examined empirically; (ii) methodically identify and synthesize the antecedents of performance in respect to EIFs’ specific resources, capabilities, and strategies; and (iii) to identify areas that are understudied. Based on the analysis, we make suggestions for future research.

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Log in via an institution
Chapter
USD 29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD 39.99
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
Softcover Book
USD 54.99
Price excludes VAT (USA)
  • Compact, lightweight edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

Preview

Unable to display preview. Download preview PDF.

Unable to display preview. Download preview PDF.

References

  • Aldrich, H. E., & Auster, E. R (1986). Even dwarfs started small: Liabilities of age and size and their strategic implication. In B. M. Staw & L. L. Cummings (Eds.), Research in Organizational Behavior (pp. 165-198), Greenwich, London: Elsevier, JAI.

    Google Scholar 

  • Andersson, S., &Wictor, I. (2003). Innovative internationalisation in new firms: Born global-the swedish case. Journal of International Entrepreneurship, 1(3), 249–275.

    Google Scholar 

  • Ariño, A. (2003). Measures of strategic alliance performance: An analysis of construct validity. Journal of International Business Studies, 34, 66–79.

    Google Scholar 

  • Aspelund, A., & Moen, Y. (2005). Small International Firms: Typology, Performance and Implications. Management International Review, 45(3), 37–57.

    Google Scholar 

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

    Google Scholar 

  • Barney, J (1991). Firm resources and sustained competitive advantage, Journal of Management, 17, 99–120.

    Google Scholar 

  • Birley, S., & Norburn, D. (1987). Owners and Managers: The Venture 100 Vs The Fortune 500. Journal of Business Venturing, 2, 351–363.

    Google Scholar 

  • Bloodgood, J.M, Sapienza, H.J., & Almeida, J.G. (1996). The Internationalization of New High-Potenial U.S. Ventures: Antecedents and Outcomes. Entrepreneurship Theory and Practice, 20(4), 61–76.

    Google Scholar 

  • Boxall, P. F. (1996). The strategic HRM debate and the resource based view of the firm. Human Resource Management Journal, 6(3), 59–75.

    Google Scholar 

  • Broadman, H.G., Anderson, J., Claessens, C.A., Ryterman, R., Slavova, S., Vagliasindi, M., & Vincelette, G. (2004). Building Market Institutions in South Eastern Europe: Comparative Prospects for Investment and Private Sector Development. Washington, DC: World Bank.

    Google Scholar 

  • Brush, C.G., & Vanderwerf, P.A. (1992). A Comparison of Methods and Sources for Obtaining Estimates of New Venture Performance. Journal of Business Venturing, 7, 157–170.

    Google Scholar 

  • Brush, C.G. (1995). International entrepreneurship: The effect of firm age on motives for internationalization. New York: Garland Pub.

    Google Scholar 

  • Busenitz, L., & Barney, J. (1997). Differences between entrepreneurs and managers in large organizations: Biases and heuristics in strategic decision-making. Journal of Business Venturing, 12, 9–30.

    Google Scholar 

  • Cabrol, M., Favre-Bonté, V., & Fayolle, A. 2009. The influence of the entrepreneur’s network on the internationalization of young french firms. International Journal of Entrepreneurship and Innovation, 10: 213–221.

    Google Scholar 

  • Contractor, F., Hsu, C., & Kundu, S. (2005). Explaining Export Performance: A Comparative Study of International New Ventures in Indian and Taiwanese Software Industry. Management International Review, 45(3), 83–110.

    Google Scholar 

  • Cooper, H. M. (1989). Integrating research: A guide for literature reviews. Newbury, CA: Sage Publications.

    Google Scholar 

  • Crick, D. (2009). The internationalisation of born global and international new venture SMEs. International Marketing Review, 26, 453–476.

    Google Scholar 

  • Crick, D., Chaudhry, S., & Bradshaw, R. (2003). The overseas marketing performance of successful small UK high-technology firms: an exploratory study comparing indigenous and subsidiary firms’ competitiveness. Strategic Change, 12, 421–433.

    Google Scholar 

  • David, R. J., & Han, S.-K. (2004). A systematic assessment of the empirical support for transaction cost economics. Strategic Management Journal, 25, 39–58.

    Google Scholar 

  • Deming, W. E. (1982). Quality, productivity, and competitive position. Cambridge, MA: Massachusetts Institute of Technology.

    Google Scholar 

  • Deng, S., & Dart, J. (1994). Measuring market orientation: A multifactor, multi-item approach. Journal of Marketing Management, 10(8): 725–742.

    Google Scholar 

  • Deshpande’, R., Farley, J. U., & Webster, F. E. (1993). Corporate culture, customer orientation, and innovativeness in Japanese firms: A quadrad analysis. Journal of Marketing, 57(1): 23–37.

    Google Scholar 

  • Duncan, R. B. (1972). Characteristics of organizational environments and perceived environmental uncertainty. Administrative Science Quarterly, 17 (3), 313–327.

    Google Scholar 

  • Fink, M., Harms, R., & Kraus, S. (2008). Cooperative internationalization of SMEs: Self-commitment as a success factor for International Entrepreneurship. European Management Journal, 26, 429–440.

    Google Scholar 

  • Ebben, J. J. & Johnson, A. C. (2005). Efficiency, flexibility, or both? Evidence linking strategy to performance in small firms. Strategic Management Journal, 26, 1249–1259.

    Google Scholar 

  • Eden, L., & Miller, S. R. (2004). Distance matters: liability of foreignness, institutional distance and ownership strategy. In M. A. Hitt & J.L. Cheng (Eds.), The Evolving Theory of the Multinational Firm. Advances in International Management (pp. 187-221). Amsterdam: Elsevier.

    Google Scholar 

  • Eisenhardt, K. M. & Schoonhoven, C. B. (1990). Organizational growth: Linking founding team, strategy, environment, and growth among US Semiconductor Ventures, 1978-1988. Administrative Science Quarterly, 35: 504–529.

    Google Scholar 

  • Eisenhardt, K. M. & Martin, J. A. (2000). Dynamic capabilities: What are they? Strategic Management Journal, 21, 1105–1121.

    Google Scholar 

  • Etemad, H. & Wright, R.W. (2003). Internationalization of SMEs: Toward a New Paradigm. Small Business Economics, 20, 1–4.

    Google Scholar 

  • Fan, T. & Phan, P. (2007). International new ventures: revisiting the influences behind the ‘born-global’ firm. Journal of International Business Studies, 38, 1113–1131.

    Google Scholar 

  • Frishammar, J., & Andersson, S. (2009). The Overestimated Role of Strategic Orientations for International Performance in Smaller Firms. Journal of International Entrepreneurship, 7(1), 57–77.

    Google Scholar 

  • Geringer, J. M. &Hebert, L. (1991). Measuring performance of international joint ventures. Journal of International Business Studies, 22, 249–263.

    Google Scholar 

  • Geysekens, I., Steenkamp, J.-B., & Kumar, N. (2006). Make, buy, or ally: A transaction cost theory meta-analysis. Academy of Management Journal, 49, 519–543.

    Google Scholar 

  • Gleason, K. C., Madura, J., & Wiggenhorn, J. (2006). Operating characteristics, risk, and performance of born-global firms. International Journal of Managerial Finance, 2(2), 96–120.

    Google Scholar 

  • Gleason, K. C., & Wiggenhorn, J. (2007). Born globals, the choice of globalization strategy, and the market’s perception of performance. Journal of World Business, 42, 322–335.

    Google Scholar 

  • Grant, R. M. (1991). The resource-based theory of competitive advantage: Implications for strategy formulation. California Management Review, (Spring), 114–135.

    Google Scholar 

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

    Google Scholar 

  • Hambrick, D. C., & Mason, P. A. (1984). Upper Echelons: The Organization as a Reflection of Its Top Managers. Academy of Management Review, 9 (2), 193–206.

    Google Scholar 

  • Han, M. Mar (2007). Achieving superior internationalization through strategic ambidexterity. Journal of Enterprising Culture, 15(1), 43–77.

    Google Scholar 

  • Han, M., & Celly, N. (2008). Strategic Ambidexterity and Performance in International New Ventures. Revue Canadienne des Sciences de l’Administration/Canadian Journal of Administrative Sciences, 25, 335–349.

    Google Scholar 

  • Harpaz, I. (1996). International management survey research. In B. J. Punnett & O. Shenkar (Eds.), Handbook of international management research (pp. 37-61). Cambridge, MA: Balckwell Publishers Inc.

    Google Scholar 

  • Harveston, P.D., Kedia, B.L., & Davis, P.S. (2000). Internationalization of born global and gradual globalizing firms: The impact of the manager. Advances in Competitive Research, 8(1), 92–99.

    Google Scholar 

  • Helfat, C. E., Finkelstein, S., Mitchell, W., Peteraf, M., Singh, H., Teece, D., & Winter, S. G. (2007). Dynamic capabilities: Understanding strategic change in organizations. Carlton: Victoria: Wiley-Blackwell.

    Google Scholar 

  • Homburg, C., Krohmer, H., & Workman, J. P., Jr. (2004). A strategy implementation perspective of market orientation. Journal of Business Research, 57(12): 1331–1340.

    Google Scholar 

  • Hooley, G., Cox, T. Fahy, J., Shipley, D., Beracs, J. Fonfara, K., & Snoj, B. (2000). Market Orientation in the Transition Economies of Central Europe: Tests of the Narver and Slater Market Orientation Scales. Journal of Business Research, 50, 273–285.

    Google Scholar 

  • Hult, G.T.M., Ketchen, D. J. Jr., Griffith, D. A., Chabowski, B. R., Hamman, M. K.; Johnson Dykes, B., Pollitte, W.A., & Cavusgil, T.S. (2008). An assessment of the measurement of performance in international business research. Journal of International Business Studies, 39, 1064–1080.

    Google Scholar 

  • Hymer, S. (1976). The international operations of national firms. Cambridge, MA: MIT Press.

    Google Scholar 

  • Ibeh, K. (2005). Toward a Greater Level of International Entrepreneurship among Smaller Agribusiness Firms: Resource Levers and Strategic Options. Management International Review, 45(3), 59–81.

    Google Scholar 

  • Jantunen, A., Nummela, N., Puumalainen, K., & Saarenketo, S. (2008). Strategic orientations of born globals - Do they really matter? Journal of World Business, 43, 158–170.

    Google Scholar 

  • Johanson, J., & Vahlne, J.-E. (1977). The internationalization process of the firm: A model of knowledge development and increasing foreign market commitments. Journal of International Business Studies, 8: 23–32.

    Google Scholar 

  • Johanson, J., & Vahlne, J.-E. (1990). The Mechanism of Internationalisation. International Marketing Review, 7 (4), 11–24.

    Google Scholar 

  • Jones, M. V., & Crick, D. (2001). High-technology firms’ perceptions of their international competitiveness. Strategic Change, 10, 129–138.

    Google Scholar 

  • Keeble, D., Lawson, C., Smith, H., Moore, B., & Wilkinson, F. (1998). Internationalisation Process, Networking and Local Embeddedness in Technology-Intensive Small Firms. Small Business Economics, 11, 327–342.

    Google Scholar 

  • Khavul, S., Pérez-Nordtvedt, L., & Wood, E. (2010). Organizational entrainment and international new ventures from emerging markets. Journal of Business Venturing, 25, 104–119.

    Google Scholar 

  • Kohli, A. K., & Jaworski, B. J. (1990). Market orientation: The construct, research propositions, and managerial implications. Journal of Marketing, 54(2): 1–18.

    Google Scholar 

  • Knight, G., & Cavusgil, S. (2005). A Taxonomy of Born-global Firms. Management International Review, 45(3), 15–35.

    Google Scholar 

  • Knight, G., Madsen, T. K., & Servais, P. (2004). An inquiry into born-global firms in Europe and the USA. International Marketing Review, 21, 645–665.

    Google Scholar 

  • Knight, G. A., & Cavusgil, S. T. (2004). Innovation, Organizational Capabilities, and the Born-Global Firm. Journal of International Business Studies, 35, 124–141.

    Google Scholar 

  • Kropp, F., Lindsay, N. J., & Shoham, A. (2006). Entrepreneurial, market, and learning orientations and international entrepreneurial business venture performance in South African firms. International Marketing Review, 23, 504–523.

    Google Scholar 

  • Kuivalainen, O., Sundqvist, S., & Servais, P. (2007). Firms’ Degree of Born-Globalness: International Entrepreneurial Orientation and Export Performance. Journal of World Business, 42, 253–267.

    Google Scholar 

  • Lado, A. A. & Wilson, M. C. (1994). Human resource systems and sustained competitive advantage: A competency-based perspective. Academy of Management Review, 19, 669–727.

    Google Scholar 

  • Lages, L.F., & Lages, C.R. (2004), The STEP scale: a measure of short-term export performance improvement, Journal of International Marketing, 12, 36–56.

    Google Scholar 

  • Lewin, A. Y., & Minton, J. W. (1986). Determining organizational effectiveness: Another look, and an agenda for research. Management Science, 32 (5), 514–538.

    Google Scholar 

  • Light, R. J., & Pillemer, D. B. (1984). Summing up: The science of reviewing research. Cambridge, MA: Harvard University Press.

    Google Scholar 

  • Lubatkin, M. H., Simsek, Z., Ling, Y., & Veiga, J. F. (2006). Ambidexterity and performance in small- to mediumsized firms: The pivotal role of top management team behavioral integration. Journal of Management, 32, 646–672.

    Google Scholar 

  • Lukas, B. A., Tan, J. J., & Hult, G. T. M. (2001). Strategic fit in transitional economies: The case of china’s electronics industry. Journal of Management 27 (4), 409–429.

    Google Scholar 

  • Madsen, T. K., & Servais, P. (1997). The internationalization of born globals: An evolutionary process. International Business Review, 6, 561–583.

    Google Scholar 

  • Madsen, T.K. (1998). Mangerial judgement of export performance, Journal of International Marketing, 6, 82–93.

    Google Scholar 

  • Makino, S., Isobe, T., & Chan, C. M. (2004). Does country matter? Strategic Management Journal, 25 (10), 1027–1043.

    Google Scholar 

  • March, J. G. (1991). Exploration and exploitation in organizational learning. Organization Science, 2(1), 71–88.

    Google Scholar 

  • McDougall, P. P., Oviatt, B. M., & Shrader, R. C. (2003). A comparison of International and domestic new ventures, Journal of International Entrepreneurship, 1, 59–82.

    Google Scholar 

  • Meyer, C. B. & Stensaker, I. G. (2006). Developing capacity for change. Journal of Change Management, 6(2): 217–231.

    Google Scholar 

  • Miles, M. B., & Huberman, A. M. (1994). Qualitative data analysis: An expended sourcebook. Thousand Oaks, CA: Sage Publications.

    Google Scholar 

  • Moen, O. (2002). The born globals: A new generation of small European exporters. International Marketing Review, 19: 156–175.

    Google Scholar 

  • Mort, G. S., & Weerawardena, J. (2006). Networking capability and international entrepreneurship. International Marketing Review, 23, 549–572.

    Google Scholar 

  • Mostafa, R. H., Wheeler, C., & Jones, M. V. (2005). Entrepreneurial orientation, commitment to the Internet and export performance in small and medium sized exporting firms. Journal of International Entrepreneurship, 3, 291–302.

    Google Scholar 

  • Naudé, W. (2009). "Rushing to where angels fear to tread"? Journal of Chinese Economic and Foreign Trade Studies, 2, 163–177.

    Google Scholar 

  • Nelson, R. R., & Winter, S. G. (1982). An evolutionary theory of economic change. Cam-bridge, MA: Belknap.

    Google Scholar 

  • Noble, C. H., Sinha, R. K., & Kumar, A. (2002). Market orientation and alternative strategic orientations: A longitudinal assessment of performance implications. Journal of Marketing, 66(4), 25–39.

    Google Scholar 

  • O’Cass, A., & Weerawardena, J. (2009). Examining the role of international entrepreneurship, innovation and international market performance in SME internationalisation. European Journal of Marketing, 43, 1325–1348.

    Google Scholar 

  • Oviatt, B. M. & McDougall, P. P. (1994). Toward a theory of international new ventures. Journal of International Business Studies, 25, 45–64.

    Google Scholar 

  • Oviatt, B. M. & McDougall, P. P. (1995). Global start-ups: Entrepreneurs on a worldwide stage. Academy of Management Executive, 9(2), 30–43.

    Google Scholar 

  • Oviatt, B. M. & McDougall, P. P. (2005). Defining international entrepreneurship and modeling the speed of internationalization. Entrepreneurship Theory and Practice, 29, 537–553.

    Google Scholar 

  • Peng, M. W. (2001). The resource-based view and international business. Journal of Management, 27 (6), 803–829.

    Google Scholar 

  • Raisch, S. & Birkinshaw, J. (2008). Organizational ambidexterity: Antecedents, outcomes, and moderators. Journal of Management, 34(3), 375–407.

    Google Scholar 

  • Rasmussan, E. S., Madsen, T. K., & Evangelista, F. (2001). The founding of the Born Global company in Denmark and Australia: sensemaking and networking. Asia Pacific Journal of Marketing and Logistics, 13(3), 75–107.

    Google Scholar 

  • Rennie, M. W. (1993). Global competitiveness: Born global. The McKinsey Quarterly, 4, 45–52.

    Google Scholar 

  • Rialp, A., Rialp, J. & Knight, G. A. (2005). The phenomenon of early internationalizing firms: what do we know after a decade (1993–2003) of scientific inquiry? International Business Review, 14, 147–166.

    Google Scholar 

  • Richard, P. J., Devinney, T. M., Yip, G. S., & Johnson, G. (2009). Measuring Organizational Performance: Towards Methodological Best Practice. Journal of Management, 35, 718–804.

    Google Scholar 

  • Rhee, J. H. Spring (2002). An exploratory examination of propensity and performance in new venture internationalization. New England Journal of Entrepreneurship, 5(1), 51–66.

    Google Scholar 

  • Sharma, D. D., & Blomstermo, A. (2003). The internationalization process of born globals: A network view. International Business Review, 12 (6), 739–753.

    Google Scholar 

  • Shrader, R. C. (1996). Influences on and performance implications of internationalization by publicly owned U.S. New ventures: A risk taking perspective. Unpublished doctoral dissertation. Atlanta: Georgia State University.

    Google Scholar 

  • Shrader, R. C. (2001). Collaboration and performance in foreign markets: The case of young high-technology manufacturing firms. Academy of Management Journal, 44, 45–60.

    Google Scholar 

  • Stinchcombe, Arthur L. (1965). Social structure and organizations. In J. G. March (Ed.), Handbook of organizations. Chicago: Rand McNally.

    Google Scholar 

  • Subramaniam, M., & Venkatraman, N. (2001). Determinants of transnational new product development capability: testing the influence of transferring and deploying tacit overseas knowledge. Strategic Management Journal, 22 (4), 359–378.

    Google Scholar 

  • Suchman, M. C. (1995). Managing legitimacy: strategic and institutional approaches. Academy of Management Review, 20 (3), 571–610.

    Google Scholar 

  • Teece, D., & Pisano, G. (1994). The dynamic capabilities of firms: An introduction. Industrial and Corporate Change 3 (3), 537–556.

    Google Scholar 

  • Teece, David J., Pisano, Gary, &Shuen, Amy (1997), Dynamic capabilities and strategic management, Strategic Management Journal, 18 (7), 509–533.

    Google Scholar 

  • Tihanyi, L., Griffith, D. A., & Russel, C. J. (2005). The effect of cultural distance on entry mode choice, international diversification, and MNE performance: a meta-analysis. Journal of International Business Studies, 36, 270–283.

    Google Scholar 

  • Timmons, J.A. (1994). New Venture Creation: Entrepreneurship for the 21st Century. Burr Ridge: Irwin Creation.

    Google Scholar 

  • Tushman, M. L. & O’Reilly, C. A. (1996). The ambidextrous organization: Managing evolutionary and revolutionary change. California Management Review, 38, 8–30.

    Google Scholar 

  • Venkatraman, N., & Ramanujam, V. (1986). Measurement of Business Performance in Strategy Research: A Comparison of Approaches. Academy of Management Review, 11, 801–814.

    Google Scholar 

  • Weerawardena, J., Mort, G. S., Liesch, P. W. & Knight, G. A. (2007). Conceptualizing accelerated internationalization in the born global firm: A dynamic capabilities perspective. Journal of World Business, 42, 294–306.

    Google Scholar 

  • Yeoh, P.-L. (2000). Information acquisition activities: A study of global start-up exporting companies. Journal of International Marketing, 8(3), 36–60.

    Google Scholar 

  • Zaheer, S. (1995). Overcoming the liability of foreignness. Academy of Management Journal, 38 (2), 341–363.

    Google Scholar 

  • Zahra, S. A., Ireland, R. D., & Hitt, M. A. (2000). International expansion by new venture firms: international diversity, mode of market entry, technology learning, and performance. Academy of Management Journal, 43, 925–960.

    Google Scholar 

  • Zahra, S.A. (2005). A theory of international new ventures: A decade of research: Commentary. Journal of International Business Studies, 36, 20–28.

    Google Scholar 

  • Zhang, M., Tansuhaj, P., & Mccullough, J. (2009). International entrepreneurial capability: The measurement and a comparison between born global firms and traditional exporters in China. Journal of International Entrepreneurship, 7, 292–322.

    Google Scholar 

  • Zhou, L. (2007). The effects of entrepreneurial proclivity and foreign market knowledge on early internationalization. Journal of World Business, 42, 281–293.

    Google Scholar 

  • Zhou, L., Wu, W.-p., & Luo, X. (2007). Internationalization and the Performance of Born-Global SMEs: The Mediating Role of Social Networks. Journal of International Business Studies, 38, 673–690.

    Google Scholar 

Download references

Authors
  1. Gordian Rättich
    View author publications

    You can also search for this author in PubMed Google Scholar

  2. Kim Clark
    View author publications

    You can also search for this author in PubMed Google Scholar

  3. Evi Hartmann
    View author publications

    You can also search for this author in PubMed Google Scholar

Rights and permissions

Reprints and permissions

Copyright information

© 2011 Gabler Verlag | Springer Fachmedien Wiesbaden GmbH

About this chapter

Cite this chapter

Rättich, G., Clark, K., Hartmann, E. (2011). Performance Measurement and Antecedents of Early Internationalizing Firms: A Systematic Assessment. In: Four Essays on International Entrepreneurship. Gabler. https://doi.org/10.1007/978-3-8349-6900-2_3

Download citation

Publish with us

Policies and ethics

Search

Navigation