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Impact of Digitalization on the Speed of Internationalization

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  • Yan-Yin Lee
  • Mohammad Falahat
  • Bik-Kai Sia

Abstract

Digitalization combined with globalization is the current megatrend that impacting the international business landscape and creates opportunities for new business models. Embracing digitalization enables firms for speedy internationalization. Although the phenomenon of early internationalization has received increasing attention in the field of International Entrepreneurship over the past decades, however, there is a lack of focus on the role of digitalization that allows a higher speed of internationalization. This paper proposes a model that highlights the moderating role of digitalization on international business competencies and speed of internationalization. We argue that small and medium enterprises able to enter international markets more rapidly due to the impact of digitalization. This study addresses a gap in the literature and practical development needs for better understanding the impact of digitalization on the speed of internationalization. The limitations and implications of this study will be discussed for theoretical development and future research direction.

Suggested Citation

  • Yan-Yin Lee & Mohammad Falahat & Bik-Kai Sia, 2019. "Impact of Digitalization on the Speed of Internationalization," International Business Research, Canadian Center of Science and Education, vol. 12(4), pages 1-11, April.
    • Handle: RePEc:ibn:ibrjnl:v:12:y:2019:i:4:p:1-11
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    References listed on IDEAS

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    Cited by:

    1. Giovanni Battista Dagnino & Riccardo Resciniti, 2021. "Introduction to the Special Issue: “The age of digital internationalization—Strategic capabilities, cultural distance and customer value”," Journal of Management & Governance, Springer;Accademia Italiana di Economia Aziendale (AIDEA), vol. 25(4), pages 967-981, December.
    2. Mohammad Falahat & Yan-Yin Lee & Pedro Soto-Acosta & T. Ramayah, 2021. "Entrepreneurial, market, learning and networking orientations as determinants of business capability and international performance: the contingent role of government support," International Entrepreneurship and Management Journal, Springer, vol. 17(4), pages 1759-1780, December.
    3. Oliva, Fábio Lotti & Teberga, Pedro Marins Freire & Testi, Lucas Israel Oliveira & Kotabe, Masaaki & Giudice, Manlio Del & Kelle, Peter & Cunha, Miguel Pina, 2022. "Risks and critical success factors in the internationalization of born global startups of industry 4.0: A social, environmental, economic, and institutional analysis," Technological Forecasting and Social Change, Elsevier, vol. 175(C).
    4. Andreu Blesa-Pérez & María Ripollés-Meliá & Alex Rialp-Criado & Josep Rialp-Criado, 2023. "Introduction to the special issue: Digitalisation and servitisation in international entrepreneurship," Journal of International Entrepreneurship, Springer, vol. 21(2), pages 150-156, June.
    5. Blesa, Andreu & Ripollés, María, 2021. "Critical capabilities for widening international new ventures’ geographical scope," European Management Journal, Elsevier, vol. 39(2), pages 201-213.
    6. Crespo, Nuno Fernandes & Crespo, Cátia Fernandes & Silva, Graça Miranda, 2024. "Every cloud has a silver lining: The role of business digitalization and early internationalization strategies to overcome cloudy times," Technological Forecasting and Social Change, Elsevier, vol. 200(C).
    7. Azlina Mohamad & Adriana Mohd Rizal & Suzilawati Kamarudin & Musli Sahimi, 2022. "Exploring the Co-Creation of Small and Medium Enterprises, and Service Providers Enabled by Digital Interactive Platforms for Internationalization: A Case Study in Malaysia," Sustainability, MDPI, vol. 14(23), pages 1-24, December.
    8. Mnahel Babgi & Benyamin Aghhavani-Shajari & Marion Vieu, 2023. "Evolution of Digitalization and Internationalization Literature: A Bibliometric and Content Analysis for Future Research Agenda," Post-Print hal-04398156, HAL.
    9. Huiwen Su & Feiying Cai & Yunting Huang, 2022. "Institutional constraints and exporting of emerging‐market firms: The moderating role of innovation capabilities and digital transformation," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 43(7), pages 2641-2656, October.
    10. Crespo, Nuno Fernandes & Crespo, Cátia Fernandes & Silva, Graça Miranda & Nicola, Maura Bedin, 2023. "Innovation in times of crisis: The relevance of digitalization and early internationalization strategies," Technological Forecasting and Social Change, Elsevier, vol. 188(C).
    11. Mário Nuno Mata & Mohammad Falahat & Anabela Batista Correia & João Xavier Rita, 2021. "Impact of Institutional Support on Export Performance," Economies, MDPI, vol. 9(3), pages 1-13, July.

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    More about this item

    Keywords

    speed of internationalization; digitalization; international business competencies; small and medium enterprise; born global;
    All these keywords.

    JEL classification:

    • C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data; Spatio-temporal Models
    • F31 - International Economics - - International Finance - - - Foreign Exchange
    • F41 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Open Economy Macroeconomics

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