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Article
Publication date: 17 February 2012

Tanja Kontinen and Arto Ojala

The aim of this study is to discuss how social capital is developed in the internationalization process of small and medium‐sized family enterprises (family SMEs).

1566

Abstract

Purpose

The aim of this study is to discuss how social capital is developed in the internationalization process of small and medium‐sized family enterprises (family SMEs).

Design/methodology/approach

This paper reports findings from an in‐depth multiple case study with four Finnish manufacturing family SMEs. The data were analyzed through the perspectives of structural holes, network closure, and the interplay between these two mechanisms.

Findings

The material in the paper demonstrated that family entrepreneurs had a large number of structural holes when launching international operations, but also after several years of running international operations. Instead of trying to span structural holes, they concentrated merely on developing the network closure with agents and subsidiary staff. The case firms spent a lot of resources on finding suitable network ties and on developing good network closure with the selected social capital ties.

Research limitations/implications

There are some aspects that might differ depending on the home and target country of firms. For instance, firms in some Asian countries are able to utilize emigrant relationships that help them with networking, which was not the case here with Finnish family SMEs.

Practical implications

Family entrepreneurs seem to have a tendency to concentrate on a limited number of foreign partners, and to neglect the building of new relationships that could help them in future challenges.

Originality/value

This study: responds to calls for more research on network development in the entrepreneurial process, especially in the context of internationalization; introduces the notions of network closure and structural holes to the internationalization context; and reveals how social capital restricts and facilitates family SMEs' international operations.

Details

Journal of Small Business and Enterprise Development, vol. 19 no. 1
Type: Research Article
ISSN: 1462-6004

Keywords

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Article
Publication date: 7 September 2012

Tanja Kontinen and Arto Ojala

The purpose of this paper is to increase understanding of the internationalization of family firms; to investigate how the framework by Bell et al. on the internationalization…

6048

Abstract

Purpose

The purpose of this paper is to increase understanding of the internationalization of family firms; to investigate how the framework by Bell et al. on the internationalization patterns of firms could explain the internationalization pathways taken by family‐owned small to medium‐sized enterprises (SMEs); and to identify typical patterns and features in the various pathways taken by family‐owned SMEs.

Design/methodology/approach

This paper reports findings from an in‐depth multiple case study with eight Finnish family‐owned SMEs.

Findings

The ownership structure had the most important role in defining the internationalization pathways followed by the family‐owned SMEs: a fragmented ownership structure led to traditional internationalization pathway whereas a concentrated ownership base led to born global or born‐again global pathways.

Practical implications

Family entrepreneurs should carefully consider the division of ownership and seek to build new relationships in foreign markets, in addition to their primary co‐operators.

Originality/value

The authors extend the integrative model of small firm internationalization by Bell et al. toward family‐owned SMEs and highlight the most important dimensions in the different internationalization pathways of family SMEs. The ownership dimension is integrated within discussion on differing internationalization pathways. The authors utilize a family business specific perspective (the stewardship perspective), in order to understand the specific features of internationalization among family SMEs, and also how these features differ between family SMEs and other firms.

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Article
Publication date: 4 January 2011

Tanja Kontinen

The purpose of this research is make managerial recommendations for firms operating or planning to operate in the French market.

2788

Abstract

Purpose

The purpose of this research is make managerial recommendations for firms operating or planning to operate in the French market.

Design/methodology/approach

This study reports findings from an in‐depth case study covering eight Finnish SMEs operating in the French market. To facilitate the understanding of the recommendations, the findings are discussed through typical features of the French culture.

Findings

The findings report the best practices of eight Finnish SMEs operating in France.

Research limitations/implications

Although the case study method made it possible to acquire detailed knowledge about the firms' internationalization, the findings can be generalized only to some extent.

Practical implications

Managers of family and other types of SMEs will find several practical tools to facilitate their business in the French market.

Originality/value

Prior research has focused on managerial practices in France to a limited extent as compared to other countries.

Details

Journal of Business Strategy, vol. 32 no. 1
Type: Research Article
ISSN: 0275-6668

Keywords

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Article
Publication date: 2 March 2012

Juha Kansikas, Anne Laakkonen, Ville Sarpo and Tanja Kontinen

This paper seeks to investigate how familiness and entrepreneurial leadership are related to each other in family firms. Familiness and entrepreneurial leadership are viewed as…

6179

Abstract

Purpose

This paper seeks to investigate how familiness and entrepreneurial leadership are related to each other in family firms. Familiness and entrepreneurial leadership are viewed as resources for strategic entrepreneurship. The aim of the paper is to shed light on familiness in three family firms and contribute to the field's growing body of work.

Design/methodology/approach

The paper employs a case study method. The interviewees were interviewed by theme questions and secondary information was gathered to strengthen the empirical section. Qualitative interpretation of empirical data was used.

Findings

The findings demonstrate the variety of familiness and entrepreneurial leadership within family firms. The degree of familiness varies between firms and the nature of entrepreneurial leadership also differs. The findings suggest that familiness is related to entrepreneurial leadership. It is a resource for strategic entrepreneurship in family firms.

Research limitations/implications

The limitation of the study is the case study method. The paper is based on qualitative and interpretive approach. The paper endeavours to understand familiness related to entrepreneurial leadership rather than generalise the results statistically.

Practical implications

The paper offers a perspective for business schools in teaching leadership for family firms. Education needs to be tailored to meet the relevant needs. Benchmarking from this case study offers one pathway for this.

Originality/value

The study contributes to research on structural, cognitive, and relational familiness. The paper shows that informal relations and flexibility are typical for entrepreneurial leadership in family firms.

Details

International Journal of Entrepreneurial Behavior & Research, vol. 18 no. 2
Type: Research Article
ISSN: 1355-2554

Keywords

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Article
Publication date: 10 August 2010

Tanja Kontinen and Arto Ojala

The purpose of this paper is to investigate how psychic distance affects the internationalization process, foreign market entry (FME), and entry mode choice of Finnish small and…

3338

Abstract

Purpose

The purpose of this paper is to investigate how psychic distance affects the internationalization process, foreign market entry (FME), and entry mode choice of Finnish small and medium‐sized family enterprises (family SMEs) operating in France.

Design/methodology/approach

The paper reports findings from an in‐depth case study covering four Finnish manufacturing family SMEs operating in the French market. The data were analyzed using the Uppsala model and distance creating and distance‐bridging factors encountered in the FME to France.

Findings

The findings reveal that the family SMEs mainly followed a sequential process and favored indirect entry modes before entering the French market. The French market was psychically distant, but the case firms were able to overcome the distance by using different distance‐bridging factors. Based on the findings, it can be argued that psychic distance has an especially important role in the internationalization and the FME of family SMEs, mainly because of their general cautiousness caused by family presence.

Research limitations/implications

Although the case study method made it possible to acquire detailed knowledge about the firms' internationalization, the findings can be generalized only to some extent.

Practical implications

Managers of family SMEs and family members should be provided with the capacity to overcome distance‐creating factors, they might encounter in their FME. The decision to internationalize is a strategic change that will most probably change the historical harmony of the firm.

Originality/value

Prior research has mainly focused only on general internationalization pathways of family SMEs. In addition and contrast to the previous studies, this paper investigates the role of perceived psychic distance in family SMEs' FME and entry mode choice in a certain target market.

Details

Journal of Small Business and Enterprise Development, vol. 17 no. 3
Type: Research Article
ISSN: 1462-6004

Keywords

Available. Content available
Article
Publication date: 4 January 2011

453

Abstract

Details

Journal of Business Strategy, vol. 32 no. 1
Type: Research Article
ISSN: 0275-6668

Available. Content available
Article
Publication date: 10 August 2010

Harry Matlay

364

Abstract

Details

Journal of Small Business and Enterprise Development, vol. 17 no. 3
Type: Research Article
ISSN: 1462-6004

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Article
Publication date: 3 April 2017

Katerina Kampouri, Emmanuella Plakoyiannaki and Tanja Leppäaho

The aim of this study is twofold: to provide a meta-synthesis of the current state of knowledge in family business (FB) internationalisation research, adopting a network…

1585

Abstract

Purpose

The aim of this study is twofold: to provide a meta-synthesis of the current state of knowledge in family business (FB) internationalisation research, adopting a network perspective, and to highlight emerging themes that may set the stage for future work on FB internationalisation, for the benefit of researchers adopting a network perspective.

Design/methodology/approach

To address the twofold purpose of the study, the current paper provides a state-of-the-art review of 25 peer-reviewed journal articles published from 1993 to 2014. This study also presents a meta-synthesis of the theoretical approaches, key findings and concepts that were pinpointed in the review, and proposes emerging key themes that are likely to set the stage for future work within this specific field.

Findings

The results indicated that since the mid-1990s, research in the field from a network perspective has mainly focused on three aspects, namely, the role of networks and relationships in the internationalisation process, the factors that influence network formation and strategic/managerial issues in the formation and building of network ties. The current paper pinpoints emerging themes within these three aspects and proposes future pathways.

Research limitations/implications

The review and meta-synthesis are restricted to 25 studies identified in this specific field.

Originality/value

This study comprises an initial attempt to encompass the interface of FB internationalisation and networks.

Details

Journal of Business & Industrial Marketing, vol. 32 no. 3
Type: Research Article
ISSN: 0885-8624

Keywords

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