The McGill International Entrepreneurship series
Edited by Hamid Etemad, Stefano Denicolai, Birgit Hagen and Antonella Zuchella
Chapter 2: International entrepreneurship and performance: what are the important factors in markets with high cultural distance?
The aim of this chapter is to identify and empirically analyze the factors that make international entrepreneurial business ventures (IEBVs) successful and lead to high performance. In particular, we focus on firms that operate in markets with high cultural distance. Literature on enterprise internationalization is abundant, albeit fragmented in various strands: international business, entrepreneurship, strategic management, network and marketing. Taking as reference the study of Kropp et al. (2006) wherein entrepreneurship, market and learning orientation are considered resources that potentially enhance the success of IEBVs, we develop an interpretative model that expounds all the elements that characterize a successful internationalization process. This model includes cultural orientation that operates transversely and virtuously across all elements of the business model. The study’s objectives are achieved by means of a dyadic approach, using quantitative and qualitative research involving entrepreneurs, enabling us to verify whether an entrepreneurial orientation toward relationships, cooperation and local market culture has a positive effect on business performance.
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