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Perspectives on strategic internationalization: Developing capabilities for renewal

Monica Riviere and Gabriele Suder

International Business Review, 2016, vol. 25, issue 4, 847-858

Abstract: While strategic renewal has increasingly received interest from strategy scholars (Agarwal & Helfat, 2009; Baden-Fuller & Volberda, 1997; Capron & Mitchell, 2009; Crossan & Berdrow, 2003; Gulati & Puranam, 2009; Huff, Huff, & Thomas, 1992), its gains from internationalization are less understood. We draw on both internationalization and strategy literature to investigate what is known about ‘if’ and ‘how’ firms renew their capabilities through internationalization. We anticipate that the scope of internationalization has an inverted U-shape effect on the firm's ability to create alternatives for renewal, thus allowing for the development of renewal capabilities. Yet we also draw attention to the factors that may represent limitations of the role of internationalization for strategic renewal. Internationalization strategies related to location, timing and venture mode decisions are antecedents to capability renewal strategies, uncovered as linear vs. non-linear renewal paths.

Keywords: Internationalization; Renewal capabilities; Capability development; Dynamic capabilities (search for similar items in EconPapers)
Date: 2016
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Handle: RePEc:eee:iburev:v:25:y:2016:i:4:p:847-858