Regional expansion of emerging market SMEs: the roles of domestic market environmental uncertainty and international alliance partner diversity

Nadia Zahoor (), Francis Donbesuur (), Arinze Christian Nwoba () and Huda Khan ()
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Nadia Zahoor: University of Strathclyde
Francis Donbesuur: Loughborough University
Arinze Christian Nwoba: University of Greenwich
Huda Khan: University of Aberdeen, King’s College

Asia Pacific Journal of Management, 2023, vol. 40, issue 2, No 9, 613-643

Abstract: Abstract This study develops and tests a framework of the effect of domestic market environmental uncertainty on international alliance partner diversity (IAPD) and the effect of IAPD on small and medium-sized enterprises’ (SMEs’) regional expansion. Leveraging primary data from a sample of 232 Pakistani SMEs, the findings indicate that domestic market dynamism and technological dynamism drive SMEs to engage in IAPD. The analysis further reveals that IAPD improves SMEs’ regional expansion, and particularly so at higher levels of cross-cultural knowledge absorption. The research and practical implications of these findings are discussed.

Keywords: Domestic market uncertainty; International alliance partner diversity; Cross-cultural knowledge absorption; Regional expansion; Emerging markets; Pakistan (search for similar items in EconPapers)
Date: 2023
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DOI: 10.1007/s10490-021-09799-1

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