Search results

1 – 2 of 2
Open Access
Article
Publication date: 5 December 2024

Aihie Osarenkhoe, Daniella Fjellström and Mabel Birungi Komunda

We examined the internationalization process of business promotion organizations. We focused on the key stages and strategies and how the networks formed during this process can…

Abstract

Purpose

We examined the internationalization process of business promotion organizations. We focused on the key stages and strategies and how the networks formed during this process can support their partners, particularly SMEs, in facilitating international expansion.

Design/methodology/approach

The theoretical lens: We combined the experiential learning-commitment interplay of the Uppsala model with a similar mechanism focused on business network relationships. A qualitative methodology: We used it to explore the question and the various forms of embeddedness within networks, offering an in-depth examination, particularly in the challenging natural settings of a cluster organization in geographic information systems (GIS).

Findings

We found that the cluster organization’s internationalization began regionally, forging connections with clusters in the Nordic and Baltic countries and Europe. Over time, the cluster recognized the importance of innovation leadership, leading to the integration of its core competencies with complementary technologies from other global geospatial technology hubs.

Research limitations/implications

The study fills research gaps by examining global linkages between regional clusters and international partners, focusing on external gaps. We explored how clusters can leverage global innovation systems and networks for matchmaking, capitalization and investment. Moreover, we addressed the need for more research on cross-cluster gaps and barriers to global market interaction. By providing insights into expanding beyond local interactions, the study enhances understanding of how clusters can increase the global reach and competitiveness of firms within them.

Originality/value

The platform established during the internationalization process was crucial, as SMEs within clusters often lack the resources, time and expertise to enter international markets alone. This platform helps SMEs overcome barriers such as size, resources and unfamiliarity with foreign markets.

Details

Central European Management Journal, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2658-0845

Keywords

Open Access
Article
Publication date: 28 June 2022

Aihie Osarenkhoe and Daniella Fjellström

The paper aims to illuminate the platform created by a cluster organization to facilitate its internationalization and thereby enhance its regional innovation system partners'…

2045

Abstract

Purpose

The paper aims to illuminate the platform created by a cluster organization to facilitate its internationalization and thereby enhance its regional innovation system partners' competitiveness by providing access to global value chains and boosting innovativeness.

Design/methodology/approach

The study draws upon the interaction approach, focusing on the interaction process, interaction partners, relationship atmosphere, and relationship environment. A qualitative study was conducted at Future Position X, a Swedish cluster organization. A total of 58 interviews were conducted, including 48 face-to-face in-depth interviews between 2017 and 2019 with six key informants at FPX, representatives from 28 SMEs, ten members of regional innovation systems to which FPX belongs, and four process leaders of regional and local networks, in addition to online interviews with ten members of the regional innovation systems conducted via Microsoft Teams in March 2021. The time span of the study provides a longitudinal perspective.

Findings

The FPX cluster collaborates with actors in the quadruple helix, maintaining a mindset that has led to a number of new partner agreements in the global arena to secure the resources and expertise necessary for cluster activities, and thereby ensuring firms in FPX networks access to platforms for international expansion. Internationalization thus expands the cluster's knowledge base beyond the traditional environment of its member firms.

Research limitations/implications

Very few innovations arise from the isolated work of a lone genius. Instead, most innovation is achieved through complex, interactive, iterative and cumulative learning processes in which a variety of actors are involved. The FPX cluster organization's internationalization platform is therefore vital to the internationalization of its partners since cluster actors lack the time, resources, knowledge, experience, and networks required to break into international markets singlehandedly.

Practical implications

This study suggests that, for practitioners and researchers alike, the growing importance and relevance of the regional innovation system cannot be overemphasized. It also holds policy and societal implications in that FPX's global network helps regional SMEs to internationalize, in addition to inspiring international firms to establish operations in the Gävleborg region, thereby helping to strengthen the overall GIS environment. Internationalization also expands the FPX cluster's knowledge base beyond the traditional environment of its firms, an example of this being the construction start of a Microsoft data centre in the region in 2020.

Social implications

FPX is financed through taxation and grant funding. By initiating projects, creating relationships and building collaborations, FPX thus contributes to collaboration between business, academia and the public sector. FPX also contributes to knowledge development of new technology by creating meeting places and networks around digital issues, such as GIS, AI, the IoT and blockchain technology.

Originality/value

While earlier research has concentrated on endogenous gaps critical to cluster dynamics, comparatively little attention has been paid to exogenous gaps, i.e. linkages between regional clusters and innovation partners elsewhere in the world. This study showcases the richness of interactions in the cluster against the background of wider, global innovation interactions. Future research should examine other vital questions that remain unanswered, e.g. by measuring and exploring the extent to which regional innovation systems can contribute to long-term economic growth for society.

1 – 2 of 2