Becoming a multinational enterprise: Using industry recipes to achieve rapid multinationalization
Sinéad Monaghan () and
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Sinéad Monaghan: Rutgers Business School
Esther Tippmann: University College Dublin
Journal of International Business Studies, 2018, vol. 49, issue 4, 473-495
Abstract We aim to build a greater understanding of how young entrepreneurial firms internationalize fast through foreign subsidiaries to become a multinational enterprise (MNE). Despite the prevalence of fast-paced international expansion, theory development on how it is achieved through high-commitment entry modes has been scarce. Our work substantially addresses this gap by conceptualizing how rapid multinationalization occurs. Using qualitative case studies, we explore eight young entrepreneurial firms operating in the software-as-a-service industry aspiring to achieve early market dominance internationally through rapid multinationalization. Drawing on the concept of industry recipes, we explain how recipe heuristics and recipe augmentation enable rapid multinationalization and showcase the economic and knowledge acquisition logics which underpin these endeavors. This study introduces internationalization via industry recipe, explains the micro-level regulation of internationalization speed, and contributes to aligning international entrepreneurship and MNE perspectives on internationalization.
Keywords: international entrepreneurship; multinational enterprises (MNEs)/multinational corporations (MNCs); case theoretic approaches; speed; rapid internationalization; industry recipes (search for similar items in EconPapers)
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