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Compressed internationalisation: New internationalisation behaviour of small New Zealand firms

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Abstract

Two important phenomena have increasingly been noted in relation to small firms: they are internationalising more often and early in their life cycle. However, less is known about the other process dimensions of small firm internationalisation, particularly about the number of international markets small firms venture into, their choice and geographic scope of international markets, and levels of commitment in these markets. If we follow the internationalisation process models, we can assume that small firms will gradually internationalise and increase their commitments to psychically close international markets. However, as this empirical study using multiple case study methodology shows, recent internationalisers are internationalising to multiple and distant markets across a broader and global geographic scope with a low and fluctuating international market commitment. This internationalisation behaviour reflects “compressed internationalisation” involving the compression of internationalisation processes across distances and geographic markets. Although compressed internationalisation has largely been enabled by the new international environment, internationalisation strategy and international entrepreneurial orientation influence whether a firm engages in compressed internationalisation.

Résumé

Dos importantes fenómenos se han observado cada vez más en relación con las pequeñas empresas: ellas se están internacionalizando más a menudo y temprano en su ciclo de vida. Sin embargo, poco se sabe sobre las otras dimensiones del proceso de internacionalización de las pequeñas empresas, particularmente sobre el número de los mercados internacionales en que las pequeñas empresas se aventuran, su elección y ámbito geográfico de los mercados internacionales y los niveles de compromiso en estos mercados. Si seguimos los modelos del proceso de internacionalización, podemos suponer que las pequeñas empresas gradualmente se internacionalizan, y aumentan sus compromisos, para acercarse psíquicamente a mercados internacionales. Sin embargo, como este estudio empírico utilizando la metodología de caso múltiple muestra, recientes internacionalizadoras se están internacionalizando a múltiples y lejanos mercados a través de un alcance geográfico más amplio y global con un compromiso de mercado internacional bajo y fluctuante. Este comportamiento de internacionalización refleja la “internacionalización comprimida” que implica la compresión de los procesos de internacionalización a través de distancias y mercados geográficos. Aunque la internacionalización comprimida ha sido habilitada en gran medida por el nuevo entorno internacional, la estrategia de internacionalización y la orientación empresarial internacional influyen en si una empresa se involucra en la internacionalización comprimida.

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  1. School of Business and Law, Brisbane Campus, CQUniversity Australia, 160 Ann Street, Brisbane, QLD, 4000, Australia

    Oyson Manuel Jose III

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Oyson, M.J. Compressed internationalisation: New internationalisation behaviour of small New Zealand firms. J Int Entrep 18, 444–472 (2020). https://doi.org/10.1007/s10843-020-00273-5

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