Internationalization at Inception: Insights from the Indian Textile Industry's Born Globals

M Srividhya () and C.T. Vidya ()
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M Srividhya: Centre for Economic and Social Studies (CESS), Hyderabad, India, Postal: Centre for Economic and Social Studies (CESS); Hyderabad; India
C.T. Vidya: Centre for Economic and Social Studies (CESS), Hyderabad, India, Postal: Centre for Economic and Social Studies (CESS); Hyderabad; India

Journal of Economic Integration, 2024, vol. 39, issue 3, 688-713

Abstract: This study investigates the nature and shape of the relationship between internationalization and firm performance in textile Born Globals (BGs) in India. Utilizing a three-stage model and the M-curve hypothesis, the research examines this relationship comprehensively. The findings confirm a two-stage, inverted U-shaped relationship between internationalization and firm performance in the short run and an extended four-stage M-curve hypothesis in the long run. Additionally, the study identifies several variables that positively impact the performance of textile BGs in India during internationalization. The impact of these variables varies between the short and long term. In the short run, firm size and slack are significant factors in determining firm performance. However, research and development intensity and

Keywords: internationalization; firm performance; India; Born-Globals; firm size (search for similar items in EconPapers)
JEL-codes: D22 F00 F14 F23 L25 (search for similar items in EconPapers)
Date: 2024
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