Improving SME Performance Globally
- Research Handbooks in Business and Management series
Edited by Pervez N. Ghauri and V. H. Manek Kirpalani
Chapter 6: Where and when? A longitudinal study of export behaviour of new ventures
AbstractBased on a rich database of all 2390 Norwegian new ventures established in 2003 that export in the period 2003–11, we explore two research questions: (1) Do new ventures follow the incremental internationalization process by starting to export to countries close to the domestic market and gradually expanding to more geographically distant markets? (2) Does the speed of export start-up matter for the firms’ future export success and expansion? Both these research questions are answered with a yes. In particular, the speed of export start-up reveals interesting patterns. Firms starting to export already in the first year of operation are more successful in exporting than firms starting a year later. The latter firms, in turn, are more successful than those starting in year three, and those starting in year three are more successful than firms starting to export in year four. We conjecture that success of first-year exporters is mainly explained by better resources (management, products and networks). We also propose that the later the firm starts exporting the more it is engrained in idiosyncrasies of the domestic market, constraining its perception of opportunities abroad.
You are not authenticated to view the full text of this chapter or article.
Elgaronline requires a subscription or purchase to access the full text of books or journals. Please login through your library system or with your personal username and password on the homepage.
Non-subscribers can freely search the site, view abstracts/ extracts and download selected front matter and introductory chapters for personal use.
Your library may not have purchased all subject areas. If you are authenticated and think you should have access to this title, please contact your librarian.