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The earliness of exporting and creeping sclerosis? The moderating effects of firm age, size and centralization

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  • D’Angelo, Alfredo
  • Buck, Trevor

Abstract

By using a sample of 644 manufacturing firms in four EU countries and five regions, we investigate the earliness/exporting relationship. Firstly, we examine the firm’s ability to retain LAN over time as it gets older and bigger. Secondly, we examine the role played by the firm’s decision-making structure. Our results reveal that exporting sclerosis does set in, as age and size of the firm significantly and negatively affect the earliness/exporting relationship. In addition, however, we find that centralization plays a role in the sclerotic effects of size (though only weakly for age), exacerbating their moderating effects on the earliness/exporting relationship. Our study claims to contribute to internationalization research by advancing the idea that LAN is not path-dependent but subject to liabilities. Beyond age and size, we add the more nuanced “liability of centralization” to boundary conditions for retaining LAN. Theoretical and managerial implications emerge.

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  • D’Angelo, Alfredo & Buck, Trevor, 2019. "The earliness of exporting and creeping sclerosis? The moderating effects of firm age, size and centralization," International Business Review, Elsevier, vol. 28(3), pages 428-437.
    • Handle: RePEc:eee:iburev:v:28:y:2019:i:3:p:428-437
    DOI: 10.1016/j.ibusrev.2018.11.002
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