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Founder ethnic composition, early internationalization, and new venture performance

Guohua Jiang (), Masaaki Kotabe () and Feng Zhang ()
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Guohua Jiang: West Chester University
Masaaki Kotabe: Temple University
Feng Zhang: The Pennsylvania State University Abington

Journal of International Entrepreneurship, 2020, vol. 18, issue 4, No 2, 419-443

Abstract: Abstract This study empirically examines the role of founder ethnic composition in international new venture (INV) strategy choice and performance. We find that new ventures with more immigrant entrepreneurs on the founding team have an advantage of pursuing an INV strategy to generate higher revenues. Moreover, new ventures with an ethnically diversified founding team tend to achieve higher revenues and profits. Our findings suggest that immigrant entrepreneurs can align available immigrant resources with their new ventures’ international strategy to increase venture performance. This study contributes to both immigrant and international entrepreneurship literature. Managerial and policy implications are also discussed.

Keywords: Founding team composition; Immigrants; INV strategy; New venture performance (search for similar items in EconPapers)
Date: 2020
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DOI: 10.1007/s10843-020-00281-5

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