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Article
Publication date: 16 November 2010

Sylvie K. Chetty and Loren M. Stangl

The aim of this paper is to study how network relationships are used in the internationalization and innovation of small and medium‐sized enterprises (SMEs) in the software…

6482

Abstract

Purpose

The aim of this paper is to study how network relationships are used in the internationalization and innovation of small and medium‐sized enterprises (SMEs) in the software industry. The paper seeks to use the extant literature to develop a matrix consisting of incremental internationalization and innovation and radical internationalization and innovation.

Design/methodology/approach

The paper is based on an in‐depth qualitative study of ten software firms in New Zealand. The unit of analysis is the firm. Multiple sources of data collection are used, but the main method of data collection is semi‐structured interviews.

Findings

The ten firms in the study fall into four distinct groups, depending on the type of internationalization and the type of innovation, and each group has particular types of network relationships. Firms with limited network relationships have incremental internationalization and innovation, but those with diverse network relationships have radical internationalization and innovation. The findings indicate that network relationships are influential in shaping the firm's future as well as sustaining the firm.

Practical implications

The matrix developed could assist managers to identify where they appear and what relationships they need to form in order to internationalize their innovation. Managers need to be aware of the changing dynamics of network relationships, and the impact this will have on the firm.

Originality/value

The paper identifies a gap in current SME research that combines the following three research streams: internationalization, innovation, and networks. The original contribution of the paper is to address this gap so that researchers and practitioners have some understanding of innovation and internationalization of SMEs in the context of networks.

Details

European Journal of Marketing, vol. 44 no. 11/12
Type: Research Article
ISSN: 0309-0566

Keywords

Article
Publication date: 1 February 1999

Sylvie K. Chetty

The economic deregulation, in 1984, in New Zealand was followed by an influx of cheap imports which most affected the apparel industry. Firms which wanted to survive decided to…

5403

Abstract

The economic deregulation, in 1984, in New Zealand was followed by an influx of cheap imports which most affected the apparel industry. Firms which wanted to survive decided to export. Studies the dimensions of internationalisation of those firms. A modified version of Welch and Luostarinen’s model is used as it provides a broad framework to study internationalisation. Five case studies of small to medium‐sized manufacturing firms provide an overview of the dimensions of internationalisation and propose that a firm can be more internationalised in some dimensions than in others. Psychological and geographical distance still plays an important role in a firm’s internationalisation. The study confirms that regional trading agreements and economic deregulation have expedited the internationalisation of firms.

Details

European Journal of Marketing, vol. 33 no. 1/2
Type: Research Article
ISSN: 0309-0566

Keywords

Article
Publication date: 14 September 2015

Sylvie Chetty, Arto Ojala and Tanja Leppäaho

– The purpose of this study is to examine the decision-making process for entrepreneurial firms when entering foreign markets and how and why they entered those markets.

5409

Abstract

Purpose

The purpose of this study is to examine the decision-making process for entrepreneurial firms when entering foreign markets and how and why they entered those markets.

Design/methodology/approach

A nascent theory in entrepreneurship called effectuation is combined with internationalization process theory as the conceptual framework to study decision-making under uncertainty. The central concept in both these theories is relationships and how they can be used to gain knowledge and thus reduce uncertainty and in the case of effectuation to co-create opportunities to enter foreign markets. The research design involves a multiple case study of software firms from Finland and New Zealand.

Findings

It was found that entrepreneurs differentiate between foreign market selection and foreign market entry during their internationalization process, potentially using different decision-making processes in them. They tend to interweave effectuation and causation logics as substitutes in their decision-making. Uncertainty during foreign market entry is not always a barrier because it can provide opportunities depending on the logic used. In addition, there is evidence that entrepreneurs who have existing relationships in foreign markets tend to use effectuation to select and enter foreign markets.

Originality/value

This paper transposes effectuation from its original field of entrepreneurship research to the context of internationalizing entrepreneurial firms. Consequently, it contributes toward understanding the decision-making process for selecting and entering foreign markets.

Details

European Journal of Marketing, vol. 49 no. 9/10
Type: Research Article
ISSN: 0309-0566

Keywords

Article
Publication date: 14 October 2013

Anette Söderqvist and Sylvie Kamala Chetty

The paper aims to examine the strength of ties that entrepreneurs use during three critical phases of the international new venture's (INV) development; pre-founding, start-up and…

1051

Abstract

Purpose

The paper aims to examine the strength of ties that entrepreneurs use during three critical phases of the international new venture's (INV) development; pre-founding, start-up and early internationalization.

Design/methodology/approach

The paper uses in-depth interviews to track the development of five INVs to provide nuanced and detailed findings relating to tie strength during these three critical phases. By focusing on proces, the paper captures in detail the strength of these ties and the dynamics of how they evolve.

Findings

While the existing literature considers strength of ties to be two separate entities, the paper develops a continuum with three different levels of strength by using entrepreneurs' actual relationships. The paper found that stronger relationships predominate and that they play an important broker role to link with other unconnected networks.

Practical implications

Since relationships are crucial for recognizing and developing business opportunities, entrepreneurs need to invest time and resources to create and develop relationships. The study indicates that entrepreneurs have stronger relationships during the early phases of firm development mainly because they focus on essential relationships and cull unnecessary ones that form a distraction.

Originality/value

The paper refines theory by identifying a distinct category the “equally strong as weak relationship” that is not yet mentioned in the extant literature but could be useful for international entrepreneurs to position themselves inside a network in foreign markets. In such relationships entrepreneurs experience the co-existence of importance and uncertainty.

Details

European Business Review, vol. 25 no. 6
Type: Research Article
ISSN: 0955-534X

Keywords

Article
Publication date: 20 November 2007

Henrik Agndal and Sylvie Chetty

The purpose of this paper is to study how existing relationships influence changes in SMEs' internationalisation strategies in terms of markets and modes.

8222

Abstract

Purpose

The purpose of this paper is to study how existing relationships influence changes in SMEs' internationalisation strategies in terms of markets and modes.

Design/methodology/approach

This paper provides a detailed examination of the dynamics of 116 strategy changes, which are influenced by a firm's relationships in 20 New Zealand and Swedish internationalising SMEs. It uses the qualitative research method to develop theory. A conceptual model with eight categories relating to relationships and strategic change during the internationalisation process of the firm is developed.

Findings

Using the conceptual model as a framework to analyse the data, it was found that existing relationships play an important role in 59 market strategy changes and 57 mode strategy changes. The main findings are that business relationships are more influential in internationalisation strategy changes than social relationships, especially with regard to mode changes in foreign markets. Most mode changes are reactive. Market strategy changes, however, are evenly balanced between proactive and reactive changes. Overall, more changes can be attributed to direct relationship influences than indirect third party influences. The findings from this study are used to develop seven propositions.

Originality/value

The paper focuses on strategic change and highlights the importance of relationships, in particular their influence in market and mode changes.

Details

European Journal of Marketing, vol. 41 no. 11/12
Type: Research Article
ISSN: 0309-0566

Keywords

Article
Publication date: 1 March 1993

Sylvie K. Chetty and R.T. Hamilton

A review article on the determinants of export performance seekingto extend the pioneering work of Aaby and Slater (1989). Applies themeta‐analytic vote‐counting method to a set…

1615

Abstract

A review article on the determinants of export performance seeking to extend the pioneering work of Aaby and Slater (1989). Applies the meta‐analytic vote‐counting method to a set of 100 studies of export performance published during 1978 to 1991. Identifies those elements of Aaby and Slater′s “strategic export model” which are significant and provides confidence intervals for the effect size of the most frequently studied variables.

Details

International Marketing Review, vol. 10 no. 3
Type: Research Article
ISSN: 0265-1335

Keywords

Article
Publication date: 1 June 2003

Sylvie Chetty and Colin Campbell‐Hunt

The internationalisation of small‐ to medium‐sized enterprises (SMEs) is considered in the context of the overall configuration of strategy in these firms. This paper is based on…

13878

Abstract

The internationalisation of small‐ to medium‐sized enterprises (SMEs) is considered in the context of the overall configuration of strategy in these firms. This paper is based on in‐depth case studies of the internationalisation path of ten small‐ to medium‐sized manufacturing firms in New Zealand. Two distinct paths are identified, one of global, the other of regional scope. These are argued to be the product of two distinct configurations of strategy, requiring different choices in product and market scope, mode of market development, and location of manufacturing. The patterns of internationalisation produced by these configurations are in some respects at variance with the predictions of stages models of internationalisation derived from larger enterprises and economies. The influence of these configurations and the characteristics of SMEs in particular those of the decision maker on the pace of internationalisation are also considered. A conceptual model is developed from the findings of this study by integrating internationalisation theories and SME characteristics.

Details

European Journal of Marketing, vol. 37 no. 5/6
Type: Research Article
ISSN: 0309-0566

Keywords

Article
Publication date: 1 July 2006

Yee Kwan Tang

This study aims at providing exploratory insights into the initiative and capabilities of Chinese SMEs to develop and utilize diverse networks to support internationalization…

707

Abstract

This study aims at providing exploratory insights into the initiative and capabilities of Chinese SMEs to develop and utilize diverse networks to support internationalization. Such network development and utilization efforts are fundamental to the analysis and explanation of Chinese firms’ internationalization patterns and outcomes. Extending from the existing network studies in the Chinese context that generally put emphasis on strong‐tie and ethnic‐oriented networks, this paper investigates and explains explicitly the use and effects of both strong‐ and weak‐tie networks in the international development of Chinese SMEs. Indepth case studies on four rapidly internationalized Chinese SMEs are conducted. The case findings demonstrate that weak‐tie networks are essential to the firms’ business development in foreign markets; and were proactively developed and utilized in the course of the firms’ development. The cases also provide alternative perspectives to the beliefs and values underpinning strong‐tie networks presumed in existing literature. The findings draw attention to the changing business values and approaches of the Chinese firms aiming at developing internationally. Managerial implications concerning the significant influence of effective networking on internationalization are pinpointed.

Details

Journal of Asia Business Studies, vol. 1 no. 1
Type: Research Article
ISSN: 1558-7894

Keywords

Article
Publication date: 1 December 2000

Pascale G. Quester, Sam Dzever and Sylvie Chetty

In a study involving a mail survey of Australian and New Zealand purchasing agents, a number of hypotheses relating to the potential influence of country‐of‐origin information…

2293

Abstract

In a study involving a mail survey of Australian and New Zealand purchasing agents, a number of hypotheses relating to the potential influence of country‐of‐origin information were investigated. Country‐of‐assembly and country‐of‐design were both included in this study, which also examined the differences between higher risk purchases such as machine tools and more routine purchases such as component parts. A multi‐dimensional approach to product quality was adopted, based on earlier exploratory studies. Country‐of‐origin was found to influence product quality perceptions and similar patterns were observed in both national samples. Differences in absolute levels, however, were found, suggesting that caution is needed on the part of suppliers dealing in both markets in relation to the value of this type of information.

Details

Journal of Business & Industrial Marketing, vol. 15 no. 7
Type: Research Article
ISSN: 0885-8624

Keywords

Article
Publication date: 1 March 2002

Craig Julian and Aron O’Cass

Examines the determinants of International Joint Venture marketing performance in Thailand. Uses the results from a survey of 1047 Thai‐foreign IJVs in Thailand from firms that…

2455

Abstract

Examines the determinants of International Joint Venture marketing performance in Thailand. Uses the results from a survey of 1047 Thai‐foreign IJVs in Thailand from firms that were mainly engaged in agriculture, metal working, electrical and chemical industries. Applies exploratory factor analysis and discriminant analysis to identify these critical determinants as market characteristics, conflict, commitment, marketing orientation and organisational control.

Details

Asia Pacific Journal of Marketing and Logistics, vol. 14 no. 1
Type: Research Article
ISSN: 1355-5855

Keywords

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