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Reijo Luostarinen and Mika Gabrielsson

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Salman Kimiagari, Peter Gabrielsson, Mika Gabrielsson and Benoit Montreuil

The market strategies of international new ventures (INVs) have not been the topic of extensive study. This chapter investigates these strategies and examines the factors that affect them. It develops a model and propositions based on an in-depth case study of a firm from a small and open economy. The INV firm can select from a country diversification, customer diversification or a hybrid strategy. Our case firm showed that pursuit of a hybrid strategy, however, proved to be challenging. The results further indicate that market strategy is affected by the learning advantages of newness, an international management orientation and the extent to which effectuation logic was used. Psychic distance does not seem to be an important concern. The findings have important implications for international entrepreneurship scholars and practitioners.

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Saara Julkunen, Mika Gabrielsson and Markus Raatikainen

This research focuses on networking strategies, which have become an important theme in SME internationalization research. The empirical research follows an in-depth case study approach, and examines two cases – an international new venture (INV) and a traditional internationalizer, both originating from Finland, a small and open economy (SMOPEC). Based on the case evidence we suggest that firm internationalization and entrepreneurial processes are reflected in an international entrepreneurial strategy, which has a strong influence on the development of firms’ networking. The novelty of our research stems from that we find that INVs follow a global customer segment–driven strategy, whereas the traditionally internationalizing firm follows a geographical market–based strategy, resulting in different types of networking behaviour. While the INV seeks to partner with a multinational corporation (MNC) that has access to global segments, the traditional firm seeks to leverage an MNC with strong geographic organizations. For both firms it becomes important to decrease their interdependence on their MNC partners by developing their distinctiveness, but whereas the INV seeks to become an invaluable part of the MNC’s global offering, the traditional firm decreases dependence by offering strong local services. The practical implications are based on recommendations relating to how entrepreneurs with different approaches to internationalizing SMEs could network with larger partners and how to obtain benefits from this partnership to become an independent global player.

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Edited by Mika Gabrielsson and V. H. Manek Kirpalani

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Edited by Mika Gabrielsson and V. H. Manek Kirpalani

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Edited by Mika Gabrielsson and V. H. Manek Kirpalani

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V.H. Manek Kirpalani and Mika Gabrielsson

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Edited by Mika Gabrielsson and V. H. Manek Kirpalani