A Capabilities Perspective on the Effects of Early Internationalization on Firm Survival and Growth

By H. Sapienza, Erkko Autio, Gerard George, Shaker A. Zahra. 2006

1,511 citations recorded by the source corpus.

Recent critiques of internationalization process models question the wisdom of delaying internationalization. Internationalizing late allows firms to assemble resources and gain experience but also allows inertia to develop. We resolve this tension by positing that internationalization has differing effects on firm survival and growth. These effects are moderated by organizational age, managerial experience, and resource fungibility. Our framework provides insights into the evolution of capabilities across borders and may be tested and built upon by organization researchers.

Subfields: Accounting, Economics and Econometrics, Strategy and Management

View Paper: https://www.semanticscholar.org/paper/86c79932c1cc86592a4a7f1203c222a205d77d50

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Citations in the corpus

The Uppsala internationalization process model revisited: From liability of foreignness to liability of outsidership (2009, background): “We believe now that the general inter-nationalization knowledge that encompasses several kinds of experience, including foreign market entry (Sapienza, Autio, George, & Zahra, 2006), mode-specific (Padmanabhan & Cho, 1999), core business (Chang, 1995), alliance (Hoang & Rothaermel, 2005), and…”
Globalization of social entrepreneurship opportunities (2008, background): “…VENTURES The timing of social ventures’ internationalization can infl uence their ability to learn new skills (Coviello, 2006; Mathews and Zander, 2007; Sapienza et al., 2006; Zahra, Ireland, and Hitt, 2000), develop a reputation as industry pioneers, achieve legitimacy, survive, and even grow.”
The Impact of Interorganizational Imitation on New Venture International Entry and Performance (2010, background): “Last, as the age at international entry has been argued to impact new venture performance (Sapienza et al., 2006), it would be useful to consider the temporal implication of internationalization and age at entry on new venture performance.”
Collaboration and Internationalization of SMEs: Insights and Recommendations from a Systematic Review (2020, background): “…discrepancies, it is agreed that SMEs are subject to common constraining attributes, such as limited human, financial, and informational resources (Rogers 1990; Welsh and White 1981), a lack of legitimacy abroad (Sapienza et al. 2006), and limits in short-term resilience (Bradley et al. 2006).”
R&D, internationalization and growth of newly listed firms: European evidence (2009, background): “financial constraints in particular – that may limit the extent of innovation and learning (Sapienza et al., 2006).”
Foreign market entry mode choice of small and medium-sized enterprises: A systematic review and future research agenda (2014, background): “Thus, a wrong entry mode decision may negatively influence the growth and/or even the survival of the small firm (Sapienza et al., 2006).”
Resources and digital export: An RBV perspective on the role of digital technologies and capabilities in cross-border e-commerce (2021, background): “International business studies have recognized and examined the role of human capital on internationalization activities and related performance (Daily et al., 2000; Hennart, 2007; Sapienza et al., 2006; Vermeulen and Barkema, 2002).”
Intellectual Property Protection and the Formation of Entrepreneurial Growth Aspirations (2010, background): “This is an important consideration, given the tendency of early strategic orientations to become i printed in organisations over time (Hannan et al., 1984; Sapienza et al., 2006).”