Hostname: page-component-76fb5796d-9pm4c Total loading time: 0 Render date: 2024-04-25T11:37:59.127Z Has data issue: false hasContentIssue false
  • English
  • Français

Pre and post-entry resource needs for international entrepreneurs: The role of government and industry networks

Published online by Cambridge University Press:  14 December 2016

Frances Y M Chang ,
Robert Jack  and
Cynthia M Webster
Frances Y M Chang*
Affiliation:
Department of Marketing and Management, Faculty of Business and Economics, Macquarie University, Balaclava Road, North Ryde, NSW 2109, Australia
Robert Jack
Affiliation:
Department of Marketing and Management, Faculty of Business and Economics, Macquarie University, Balaclava Road, North Ryde, NSW 2109, Australia
Cynthia M Webster
Affiliation:
Department of Marketing and Management, Faculty of Business and Economics, Macquarie University, Balaclava Road, North Ryde, NSW 2109, Australia
*
Corresponding author: frances.chang@mq.edu.au
Get access Rights & Permissions [Opens in a new window]

Abstract

This paper identifies the resource needs of international entrepreneurs and examines the role of government and industry networks as providers of resource opportunities deemed essential by international entrepreneurs for international growth. Unique resource challenges confront international entrepreneurs in their pursuit of international markets. Our qualitative study of Australian entrepreneurs in the health industry reveals that international entrepreneurs emphasise information, knowledge and relational resources as crucial for international market entry. Although government networks provide essential resources at the planning and pre-entry stage of internationalisation, at the postentry stage industry networks offer more relevant resource opportunities. Both networks, however, fall short of expectations in affording knowledge and relational resources that are instrumental in entering international markets.

Keywords

international entrepreneurinternationalisationresourcesgovernment and industry networks
Type
Research Article
Information
Journal of Management & Organization , Volume 23 , Issue 2 , March 2017 , pp. 186 - 205
Copyright
Copyright © Cambridge University Press and Australian and New Zealand Academy of Management 2016 

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

References

Ahuja, G., & Lampert, C. M. (2001). Entrepreneurship in the large corporations: A longitudinal study of how established firms create breakthrough inventions. Strategic Management Journal, 22(6–7), 521–543.Google Scholar
Almeida, P., Hohberger, J., & Parada, P. (2011). Individual scientific collaborations and firm-level innovation. Industrial and Corporate Change, 20(6), 1571–1599.Google Scholar
Alvarez, R. (2004). Sources of export success in small- and medium-sized enterprises: the impact of public programs. International Business Review, 13(3), 383–400.Google Scholar
Alvarez, S., & Busenitz, L. (2001). The entrepreneurship of resource-based theory. Journal of Management, 27(6), 755–775.Google Scholar
Anand, B., Gardner, H., & Tim Morris, T. (2007). Knowledge-based innovation: emergence and embedding of new practice areas in management consulting firms. Academy of Management Journal, 50(2), 406–428.Google Scholar
ATGA (2011). TGA basics. Retrieved June 8, 2011, from http://www.tga.gov.au/about/tga.htm.Google Scholar
Austrade (2011a). Australian Health and Medical. Retrieved June 8, 2011, from http://www.australianhealthandmedical.com/.Google Scholar
Austrade (2011b). Australian Natural Health and Wellness. Retrieved June 8, 2011, from http://www.australiannaturalhealthcare.com/recent.php.Google Scholar
Austrade (2013). About Austrade. Retrieved December 4, 2013, from http://www.austrade.gov.au/About-Austrade.Google Scholar
Bach, T., Niklasson, B., & Painter, M. (2012). The role of agencies in policy-making. Policy and Society, 31(3), 183–193.Google Scholar
Bangara, A., Freeman, S., & Schroder, W. (2012). Legitimacy and accelerated internationalisation: An Indian perspective. Journal of World Business, 47(4), 623–634.Google Scholar
Barney, J. (1991). Firm resources and sustained competitive advantage. Journal of Management, 17(1), 99–120.Google Scholar
Barney, J., Wright, M., & Ketchen, J. D. (2001). The resource-based view of the firm: Ten years after 1991. Journal of Management, 27(6), 625–641.Google Scholar
Battisti, M., & Perry, M. (2015). Small enterprise affiliations to business associations and the collective action problem revisited. Small Business Economics, 44(3), 559–576.Google Scholar
Belso-Martínez, J. (2006). Why are some Spanish manufacturing firms internationalizing rapidly? The role of business and institutional international networks. Entrepreneurship and Regional Development, 18(3), 207–226.Google Scholar
Bennett, R., & Ramsden, M. (2007). The contribution of business associations to SMEs strategy, bundling or reassurance? International Small Business Journal, 25(1), 49–76.CrossRefGoogle Scholar
Birley, S. (1985). The role of networks in the entrepreneurial process. Journal of Business Venturing, 1(1), 107–117.Google Scholar
Blomstermo, A., Erikssona, K., Lindstrand, A., & Sharma, D. (2004). The perceived usefulness of network experiential knowledge in the internationalizing firm. Journal of International Management, 10(3), 355–373.Google Scholar
Bryman, A., & Burgess, B. (2002). Analyzing qualitative data. London: Routledge.Google Scholar
Cavazosa, D., & Szyliowicz, D. (2011). How industry associations suppress threatening innovation: The case of the US recording industry. Technology Analysis & Strategic Management, 23(5), 473–487.Google Scholar
Chang, F., & Webster, C. (2012). (‘Entrepreneurs’ role in creating purposeful business networks’. Paper presented at the Conference Proceedings, Australian and New Zealand Academy of Management Conference, Perth, Australia.Google Scholar
CHC (2011). List of members. Retrieved June 8, 2011, from http://www.chc.org.au/AboutUs/ListofMembers/.Google Scholar
Chetty, S., & Holm, D. (2000). Internationalisation of small to medium-sized manufacturing firms: A network approach. International Business Review, 9(1), 77–93.Google Scholar
Chetty, S., & Wilson, H. (2003). Collaborating with competitors to acquire resources. International Business Review, 12(1), 61–81.Google Scholar
Child, J., & Hsieh, L. (2014). Decision mode, information and network attachment in the internationalization of SMEs: A configurational and contingency analysis. Journal of World Business, 49(4), 598–610.Google Scholar
Christopher, M., Mena, C., Khan, O., & Yurt, O. (2011). Approaches to managing global sourcing risk. Supply Chain Management: An International Journal, 16(2), 67–81.Google Scholar
Chung, H. F. L. (2012). Export market orientation, managerial ties, and performance. International Marketing Review, 29(4), 403–423.Google Scholar
Coviello, N. (2005). Integrating qualitative and quantitative techniques in network analysis. Qualitative Market Research: An International Journal, 8(1), 39–60.Google Scholar
Coviello, N., & Munro, H. (1997). Network relationships and the internationalisation process of small software firms. International Business Review, 6(4), 361–386.Google Scholar
Crabtree, B., & Miller, W. (1992). Doing qualitative research. Newbury Park, CA: Sage Publications.Google Scholar
Dean, J., Holmes, S., & Smith, S. (1997). Understanding business networks: evidence from the manufacturing and service sectors in Australia. Journal of Small Business Management, 35(1), 75–84.Google Scholar
Denzin, N., & Lincoln, Y. (2008). The landscape of qualitative research (3rd ed.), Los Angeles, CA: Sage Publications.Google Scholar
Dickson, C., & Arcodia, C. (2010). Promoting sustainable event practice: The role of professional associations. International Journal of Hospitality Management, 29(2), 236–244.Google Scholar
Díez-Vial, I., & Fernández-Olmos, M. (2013). Internal resources, local externalities and export performance: An application in the Iberian Ham Cluster. Journal of Management and Organization, 19(4), 478–497.Google Scholar
Doz, Y. (2011). Qualitative research for international business. Journal of International Business Studies, 42, 582–590.Google Scholar
Ellis, P. (2011). Social ties and international entrepreneurship: Opportunities and constraints affecting firm internationalization. Journal of International Business Studies, 42, 99–127.Google Scholar
Ferlie, E., Fitzgerald, L., Wood, M., & Hawkins, C. (2005). The nonspread of innovations: The mediating role of professionals. Academy of Management Journal, 48(1), 117–134.Google Scholar
Fernhaber, S., McDougall-Covin, P., & Shepard, D. (2009). International entrepreneurship: Leveraging internal and external knowledge sources. Strategic Enterepreneurship Journal , 3(4), 297–320.Google Scholar
Fletcher, M., Harris, S., & Richey, R. (2013). Internationalization knowledge: What, why, where, and when? Journal of International Marketing, 21(3), 47–71.Google Scholar
Flick, U. (2008). Managing quality in qualitative research. Thousand Oaks, CA: Sage Publications.Google Scholar
Freeman, S., & Cavusgil, S. (2007). Toward a typology of commitment states among managers of born-global firms: A study of accelerated internationalization. Journal of International Marketing, 15(4), 1–40.Google Scholar
Gains, F. (2003). Executive agencies in government: The impact of bureaucratic networks on policy outcomes. Journal of Public Policy, 23(1), 55–79.Google Scholar
Gençtürk, E., & Kotabe, M. (2001). The effect of export assistance program usage on export performance: A contingency explanation. Journal of International Marketing, 9(2), 51–72.Google Scholar
Golovko, E., & Valentini, G. (2011). Exploring the complementarity between innovation and export for SMEs’ growth. Journal of International Business Studies, 42(3), 362–380.CrossRefGoogle Scholar
Grandori, A., & Soda, G. (1995). Inter-firm networks: Antecedents, mechanisms and forms. Organization Studies, 16(2), 183–214.Google Scholar
Granovetter, M. (1973). The strength of weak ties. American Journal of Sociology, 78(5), 1360–1380.Google Scholar
Granovetter, M. (2005). The impact of social structure on economic outcomes. Journal of Economic Perspectives, 19(1), 33–50.CrossRefGoogle Scholar
Grant, R. M. (1991). The resource-based theory of competitive advantage: Implications for strategy formulation. California Management Review, 33(3), 114–135.Google Scholar
Greenwood, R., Hinings, C. R., & Suddaby, R. (2002). Theorizing change: The role of professional associations in the transformation of institutionalized fields. Academy of Management Journal, 45(1), 58–80.Google Scholar
Gruen, T., Summers, J., & Acito, F. (2000). Relationship marketing activities, commitment, and membership behaviors in professional associations. Journal of Marketing, 64(3), 34–39.Google Scholar
Hara, G., & Kanai, T. (1994). Entrepreneurial networks across oceans to promote international strategic alliances for small businesses. Journal of Business Venturing, 9(6), 489–507.Google Scholar
Hitt, M., Bierman, L., Uhlenbruck, K., & Shimizu, K. (2006). The importance of resources in the internationalization of professional service firms: The good, the bad and the ugly. Academy of Management Journal, 49(6), 1137–1157.Google Scholar
Hoang, H., & Antoncic, B. (2003). Network-based research in entrepreneurship: A critical review. Journal of Business Venturing, 18(2), 165–187.Google Scholar
Hutchinson, J., & Xavier, A. (2006). Comparing the impact of credit constraints on the growth of SMEs in a transition country with an established market economy. Small Business Economics, 27(2/3), 169–179.Google Scholar
Jacobides, M., & Winter, S. (2007). Entrepreneurship and firm boundaries: The theory of a firm. Journal of Management Studies, 44(7), 1213–1241.Google Scholar
Jansen, R., Curseu, P., Vermeulen, P., Geurts, J., & Gibcus, P. (2013). Information processing and strategic decision-making in small and medium-sized enterprises: The role of human and social capital in attaining decision effectiveness. International Small Business Journal, 31(2), 192–216.Google Scholar
Jarillo, C. J. (1989). Entrepreneurship and growth: The strategic use of external resources. Journal of Business Venturing, 4(2), 133–147.Google Scholar
Johanson, J., & Vahlne, J.-E. (1992). Management of foreign market entry. Scandinavian International Busines Review, 1(3), 9–27.Google Scholar
Kontinen, T., & Ojala, A. (2011). International opportunity recognition among small and medium-sized family firms. Journal of Small Business Management, 49(3), 490–514.Google Scholar
Kor, Y., Mahoney, J., & Michael, S. (2007). Resources, capabilities and entrepreneurial perceptions. Journal of Management Studies, 44(7), 1187–1212.Google Scholar
Lamb, P., Sandber, J., & Liesch, P. (2011). Small firm internationalisation unveiled through phenomenography. Journal of International Business Studies, 42(5), 672–693.Google Scholar
Lederman, D., Olarreaga, M., & Payton, L. (2010). Export promotion agencies: Do they work? Journal of Developmental Economics, 91(2), 257–265.Google Scholar
Leitch, C., Hill, F., & Harrison, R. (2010). The philosophy and practice of interpretivist research in entrepreneurship quality, validation, and trust. Organizational Research Methods, 13(1), 67–84.Google Scholar
Leonidou, L. (2004). An analysis of the barriers hindering small business export development. Journal of Small Business Management, 42(3), 279–302.Google Scholar
Leonidou, L., Palihawadana, D., & Theodosiou, M. (2011). National export-promotion programs as drivers of organizational resources and capabilities: Effects on strategy, competitive advantage, and performance. Journal of International Marketing, 19(2), 1–29.Google Scholar
Liu, C.-L. E., Ghauri, P., & Sinkovics, R. (2010). Understanding the impact of relational capital and organizational learning on alliance outcomes. Journal of World Business, 45(3), 237–249.Google Scholar
Loane, S., & Bell, J. (2006). Rapid internationalisation among entrepreneurial firms in Australia, Canada, Ireland and New Zealand. An extension to the network approach. International Marketing Review, 23(5), 467–485.Google Scholar
Lockett, N., Jack, S., & Larty, J. (2012). Motivations and challenges of network formation: Entrepreneur and intermediary perspectives. International Small Business Journal, 0(0), 1–24.Google Scholar
Maennig, W., & Ölschläger, M. (2011). Innovative milieux and regional competitiveness: the role of associations and chambers of commerce and industry in Germany. Regional Studies, 45(4), 441–452.Google Scholar
Malo, S., & Norus, J. (2009). Growth dynamics of dedicated biotechnology firms in transition economies. Evidence from the Baltic countries and Poland. Entrepreneurship and Regional Development, 21(5/6), 481–502.Google Scholar
Martincus, C., Carballo, J., & Garcia, P. (2012). Public programmes to promote firms’ exports in developing countries: Are there heterogeneous effects by size categories? Applied Economics, 44(4), 471–491.Google Scholar
McDougall, P. P., & Oviatt, B. M. (2000). International entrepreneurship: The intersection of two research paths. Academy of Management Journal, 43(5), 902–906.Google Scholar
Miles, M. B., & Huberman, A. M. (1994). Qualitative data analysis: An expanded sourcebook (2nd ed.), Newbury Park, CA: Sage.Google Scholar
Mort, G. S., & Weerawardena, J. (2006). Network capability and international entrepreneurship. How networks function in Australian born global firms. International Marketing Review, 23(5), 549–572.Google Scholar
Murray, S., & Peyrefitte, J. (2007). Knowledge type and communication media choice in the knowledge transfer process. Journal of Managerial Issues, 19(1), 111–133.Google Scholar
Neergaard, H., & Ulhoi, J. P. (2006). Government agency and trust in the formation and transformation of interorganizational entrepreneurial networks. Entrepreneurship Theory and Practice, 30(4), 519–539.Google Scholar
Newbert, S. L., Tornikoski, E. T., & Quigley, N. R. (2013). Exploring the evolution of supporter networks in the creation of new organizations. Journal of Business Venturing, 28(2), 281–298.Google Scholar
Newbery, R., Gorton, M., Phillipson, J., & Atterton, J. (2015). Sustaining business networks: understanding the benefit bundles sought by members of local business associations. Environment and Planning C: Government and Policy, 0(0), 1–17.Google Scholar
Nyaga, G., Whippleb, J., & Lynch, D. (2010). Examining supply chain relationships: Do buyer and supplier perspectives on collaborative relationships differ? Journal of Operations Management, 28(2), 101–114.Google Scholar
Oliver, C. (1997). The influence of institutional and task environment relationships on organizational performance: The Canadian construction industry. Journal of Management Studies, 34(1), 99–124.Google Scholar
Oviatt, B., & McDougall, P. (2005). Defining international entrepreneurship and modeling the speed of internationalization. Entrepreneurship: Theory and Practice, 29(5), 537–553.Google Scholar
Ozgen, E., & Baron, R. (2007). Social sources of information in opportunity recognition: Effects of mentors, industry networks, and professional forums. Journal of Business Venturing, 22(2), 174–192.Google Scholar
Penrose, E. (1960). The growth of the firm. A case study: The Hercules Powder Company. Business HIstory Review, 34, 1–23. https://doi.org/ 10.2307/3111776.Google Scholar
Penrose, E. (2009). The theory of the growth of the firm (4th ed.), New York, NY: Oxford University Press.Google Scholar
Pfeffer, J., & Salancik, G. (2003). The external control of organizations, a resource dependency perspective. California, USA: Stanford University Press.Google Scholar
Phelps, C., Heidl, R., & Wadhwa, A. (2012). Knowledge, networks, and knowledge networks: A review and research agenda. Journal of Management, 38(4), 1115–1166.Google Scholar
Powell, W. W., White, D. R., Koput, K. W., & Owen-Smith, J. (2005). Network dynamics and field evolution: The growth of interorganizational collaboration in the life sciences. American Journal of Sociology, 110(4), 1132–1205.Google Scholar
Prashantham, S., & Young, S. (2011). Post-entry speed of international new ventures. Entrepreneurship Theory and Practice, 35(2), 275–292.Google Scholar
QSR International (2012). NVivo qualitative data analysis software Version 10. http://www.qsrinternational.com.Google Scholar
Ramirez-Pasillas, M. (2010). International trade fairs as amplifiers of permanent and temporary proximities in clusters. Entrepreneurship & Regional Development, 22(2), 155–187.Google Scholar
Schweizer, L. (2005). Organizational integration of acquired biotechnlogy companies into pharmaceutical companies: The need for a hybrid approach. Academy of Managment Journal, 48(6), 1051–1074.Google Scholar
Schweizer, R. (2012). The internationalization process of SMEs: A muddling-through process. Journal of Business Research, 65(6), 745–751.Google Scholar
Seringhaus, R., & Botschen, G. (1991). Cross-national comparison of export promotion services: The views of Canadian and Austrian companies. Journal of International Business Studies, 22(1), 115–133.Google Scholar
Slotte-Kock, S., & Coviello, N. (2010). Entrepreneurship research on network processes: A review and ways forward. Entrepreneurship Theory and Practice, 34(1), 31–57.Google Scholar
Spiggle, S. (1994). Analysis and interpretation of qualitative data in consumer research. The Journal of Consumer Research, 21(3), 491–503.Google Scholar
Strauss, A., & Corbin, J. (1998). Basics of qualitative research, techniques and procedures for developing grounded theory (2nd ed.), Thousand Oaks, London and Delhi: Sage Publication.Google Scholar
Stuart, T. E., & Ding, W. W. (2006). When do scientists become entrepreneurs? The social structural antecedents of commercial activity in the academic life sciences. American Journal of Sociology, 112(1), 97–144.Google Scholar
Sui, S., & Baum, M. (2014). Internationalization strategy, firm resources and the survival of SMEs in the export market. Journal of International Business Studies, 0, 1–21.Google Scholar
Swan, J., & Newell, S. (1995). The role of professional associations in technology diffusion. Organization Studies, 16(5), 847–874.Google Scholar
Tolstoy, D. (2010). Network development and knowledge creation within the foreign market: A study of international entrepreneurial firms. Entrepreneurship and Regional Development, 22(5), 379–402.Google Scholar
Tolstoy, D. (2014). Differentiation in foreign business relationships: A study on small and medium-sized enterprises after their initial foreign market entry. International Small Business Journal, 32(1), 17–35.Google Scholar
Uzzi, B. (1997). Social structure and competition in interfirm networks: The paradox of embeddedness. Administrative Science Quarterly, 42(1), 35–67.Google Scholar
Varis, J., Kuivalainen, O., & Saarenketa, S. (2005). Partner selection for international marketing and distribution in corporate new ventures. Journal of International Entrepreneurship, 3(1), 19–36.Google Scholar
Vasilchenko, E., & Morrish, S. (2011). The role of entrepreneurial networks in the exploration and exploitation of internationalization opportunities by information and communication technology firms. Journal of International Marketing, 19(4), 88–105.Google Scholar
Vázquez-Casielles, R., Iglesias, V., & Varela-Neira, C. (2013). Collaborative manufacturer-distributor relationships: The role of governance, information sharing and creativity. Journal of Business & Industrial Marketing, 28(8), 620–637.Google Scholar
Von Nordenflycht, A. (2010). What is a professional service firm? Toward a theory and taxonomy of knowledge-intensive firms. Academy of Management Review, 35(1), 155–174.Google Scholar
Wilkinson, T., & Brouthers, L. (2006). Trade promotion and SME export performance. International Business Review, 15(3), 233–252.Google Scholar
Williamson, O. E. (2008). Outsourcing: Transaction cost economics and supply chain management. Journal of Supply Chain Management, 44(2), 5–16.Google Scholar
Wincent, J. (2008). An exchange approach on firm cooperative orientation and outcomes of strategic multilateral network participants. Group & Organization Management, 33(3), 303–329.Google Scholar
Yin, R. (2010). Qualitative research from start to finish. New York, USA: Guilford Press.Google Scholar
Yoon, W., Lee, D., & Song, J. (2015). Alliance network size, partner diversity, and knowledge creation in small biotech firms. Journal of Management and Organization, 21(5), 614–626.Google Scholar
Zacharia, Z., Nix, N., & Lusch, R. (2011). Capabilities that enhance outcomes of an episodic supply chain collaboration. Journal of Operations Management, 29(6), 589–603.Google Scholar
Zhang, J., Soh, P., & Wong, P. (2010). Entrepreneurial resource acquisition through indirect ties: Compensatory effects of prior knowledge. Journal of Management, 36(2), 511–536.Google Scholar