IDEAS home Printed from https://ideas.repec.org/a/ssi/jouesi/v1y2013i2p99-107.html
   My bibliography  Save this article

Internationalization of construction firms: what strategy do they follow?

Author

Listed:
  • Renata Korsakienė

    (Vilnius Gediminas Technical University (VILNIUS TECH), Lithuania)

Abstract

Globalization of markets and economic changes force companies to respond adequately and expand their activities abroad. The paper aims to adopt different approaches, developed internationalization theory, and to present a conceptual framework focused on business internationalization strategy. The interrelations of strategic goals, organizational competencies and competitive advantage are investigated. The qualitative research method was applied and in depth interviews with the managers of construction companies were performed. The obtained results of research revealed that cooperation strategies involving customers, suppliers and competitors are seen as the main precondition for internationalization of companies. The success of cooperation strategies is based on obtained human resources, technical and management skills of companies. The author of research has elaborated proposals, which are useful for further internationalization of business. The presented paper provides new insights into the scientific theory development.

Suggested Citation

  • Renata Korsakienė, 2013. "Internationalization of construction firms: what strategy do they follow?," Entrepreneurship and Sustainability Issues, VsI Entrepreneurship and Sustainability Center, vol. 1(2), pages 99-107, December.
  • Handle: RePEc:ssi:jouesi:v:1:y:2013:i:2:p:99-107
    DOI: 10.9770/jesi.2013.1.2(4)
    as

    Download full text from publisher

    File URL: https://jssidoi.org/jesi/uploads/articles/2/Korsakiene_Internationalization_of_construction_firms_what_strategy_do_they_follow.pdf
    Download Restriction: no

    File URL: https://jssidoi.org/jesi/article/11
    Download Restriction: no

    File URL: https://libkey.io/10.9770/jesi.2013.1.2(4)?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Ojala, Arto, 2009. "Internationalization of knowledge-intensive SMEs: The role of network relationships in the entry to a psychically distant market," International Business Review, Elsevier, vol. 18(1), pages 50-59, February.
    2. Nerija Banaitiene & Audrius Banaitis, 2012. "Risk Management in Construction Projects," Chapters, in: Nerija Banaitiene (ed.), Risk Management - Current Issues and Challenges, IntechOpen.
    3. Benjamin M. Oviatt & Patricia P. McDougall, 2005. "Defining International Entrepreneurship and Modeling the Speed of Internationalization," Entrepreneurship Theory and Practice, , vol. 29(5), pages 537-553, September.
    4. Jan Johanson & Jan-Erik Vahlne, 1977. "The Internationalization Process of the Firm—A Model of Knowledge Development and Increasing Foreign Market Commitments," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 8(1), pages 23-32, March.
    5. Petersen, Bent & Pedersen, Torben & Sharma, Deo, 2001. "The Role of Knowledge in Firms’ internationalization Process: Wherefrom and Whereto," Working Papers 17-2001, Copenhagen Business School, Department of International Economics and Management.
    6. Mike W Peng & Denis Y L Wang & Yi Jiang, 2008. "An institution-based view of international business strategy: a focus on emerging economies," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 39(5), pages 920-936, July.
    7. Kathleen M. Eisenhardt & Jeffrey A. Martin, 2000. "Dynamic capabilities: what are they?," Strategic Management Journal, Wiley Blackwell, vol. 21(10‐11), pages 1105-1121, October.
    8. Harry G Barkema & Rian Drogendijk, 2007. "Internationalising in small, incremental or larger steps?," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 38(7), pages 1132-1148, December.
    9. Kirsten Foss & Nicolai J. Foss, 2005. "Resources and transaction costs: how property rights economics furthers the resource‐based view," Strategic Management Journal, Wiley Blackwell, vol. 26(6), pages 541-553, June.
    10. Westhead, Paul & Wright, Mike & Ucbasaran, Deniz, 2002. "International market selection strategies selected by 'micro' and 'small' firms," Omega, Elsevier, vol. 30(1), pages 51-68, February.
    11. Piercy, Nigel F & Kaleka, Anna & Katsikeas, Constantine S, 1998. "Sources of competitive advantage in high performing exporting companies," Journal of World Business, Elsevier, vol. 33(4), pages 378-393, January.
    12. Benjamin M Oviatt & Patricia P McDougall, 2005. "The internationalization of entrepreneurship," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 36(1), pages 2-8, January.
    13. Chetty, Sylvie & Blankenburg Holm, Desiree, 2000. "Internationalisation of small to medium-sized manufacturing firms: a network approach," International Business Review, Elsevier, vol. 9(1), pages 77-93, February.
    14. B Elango & Chinmay Pattnaik, 2007. "Building capabilities for international operations through networks: a study of Indian firms," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 38(4), pages 541-555, July.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Sinkovics, Rudolf R. & Kurt, Yusuf & Sinkovics, Noemi, 2018. "The effect of matching on perceived export barriers and performance in an era of globalization discontents: Empirical evidence from UK SMEs," International Business Review, Elsevier, vol. 27(5), pages 1065-1079.
    2. Clegg, Jeremy & Lin, Hsin Mei & Voss, Hinrich & Yen, I-Fan & Shih, Yi Tien, 2016. "The OFDI patterns and firm performance of Chinese firms: The moderating effects of multinationality strategy and external factors," International Business Review, Elsevier, vol. 25(4), pages 971-985.
    3. Child, John & Hsieh, Linda H.Y., 2014. "Decision mode, information and network attachment in the internationalization of SMEs: A configurational and contingency analysis," Journal of World Business, Elsevier, vol. 49(4), pages 598-610.
    4. Ojala, Arto & Evers, Natasha & Rialp, Alex, 2018. "Extending the international new venture phenomenon to digital platform providers: A longitudinal case study," Journal of World Business, Elsevier, vol. 53(5), pages 725-739.
    5. Vissak, Tiia & Francioni, Barbara & Freeman, Susan, 2020. "Foreign market entries, exits and re-entries: The role of knowledge, network relationships and decision-making logic," International Business Review, Elsevier, vol. 29(1).
    6. Chen, Jie & Saarenketo, Sami & Puumalainen, Kaisu, 2018. "Home country institutions, social value orientation, and the internationalization of ventures," International Business Review, Elsevier, vol. 27(2), pages 443-454.
    7. Kontinen, Tanja & Ojala, Arto, 2011. "Network ties in the international opportunity recognition of family SMEs," International Business Review, Elsevier, vol. 20(4), pages 440-453, August.
    8. Djamila El Idrissi & Valérie Hauch, 2012. "Entrepreneuriat international et réseaux sociaux pour les PME innovantes : quelles perceptions pour quelles stratégies ?," Post-Print halshs-00861575, HAL.
    9. Ciravegna, Luciano & Majano, Sara B. & Zhan, Ge, 2014. "The inception of internationalization of small and medium enterprises: The role of activeness and networks," Journal of Business Research, Elsevier, vol. 67(6), pages 1081-1089.
    10. Symeonidou, Noni & Bruneel, Johan & Autio, Erkko, 2017. "Commercialization strategy and internationalization outcomes in technology-based new ventures," Journal of Business Venturing, Elsevier, vol. 32(3), pages 302-317.
    11. Tan, Danchi & Meyer, Klaus E., 2010. "Business groups' outward FDI: A managerial resources perspective," Journal of International Management, Elsevier, vol. 16(2), pages 154-164, June.
    12. Khan, Zaheer & Lew, Yong Kyu, 2018. "Post-entry survival of developing economy international new ventures: A dynamic capability perspective," International Business Review, Elsevier, vol. 27(1), pages 149-160.
    13. Jose Novais Santos & João Mota & Cristina Sales Baptista, 2021. "The role of a strategic net in international entrepreneurship: overcoming the liabilities of foreignness and outsidership in the context of the Pharma industry," International Entrepreneurship and Management Journal, Springer, vol. 17(1), pages 63-82, March.
    14. Ojala, Arto, 2009. "Internationalization of knowledge-intensive SMEs: The role of network relationships in the entry to a psychically distant market," International Business Review, Elsevier, vol. 18(1), pages 50-59, February.
    15. Bai, Wensong & Holmström-Lind, Christine & Johanson, Martin, 2018. "Leveraging networks, capabilities and opportunities for international success: A study on returnee entrepreneurial ventures," Scandinavian Journal of Management, Elsevier, vol. 34(1), pages 51-62.
    16. Milanov, Hana & Fernhaber, Stephanie A., 2014. "When do domestic alliances help ventures abroad? Direct and moderating effects from a learning perspective," Journal of Business Venturing, Elsevier, vol. 29(3), pages 377-391.
    17. Eberhard, Manuel & Craig, Justin, 2013. "The evolving role of organisational and personal networks in international market venturing," Journal of World Business, Elsevier, vol. 48(3), pages 385-397.
    18. Prange, Christiane & Verdier, Sylvie, 2011. "Dynamic capabilities, internationalization processes and performance," Journal of World Business, Elsevier, vol. 46(1), pages 126-133, January.
    19. Vikas Kumar & Deeksha Singh & Anish Purkayastha & Manish Popli & Ajai Gaur, 2020. "Springboard internationalization by emerging market firms: Speed of first cross-border acquisition," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 51(2), pages 172-193, March.
    20. Pushyarag Puthusserry & Zaheer Khan & Gary Knight & Kristel Miller, 2020. "How Do Rapidly Internationalizing SMEs Learn? Exploring the Link Between Network Relationships, Learning Approaches and Post-entry Growth of Rapidly Internationalizing SMEs from Emerging Markets," Management International Review, Springer, vol. 60(4), pages 515-542, August.

    More about this item

    Keywords

    strategy; competitive advantage; construction companies; strategic goals; competencies; cooperation;
    All these keywords.

    JEL classification:

    • M10 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - General
    • M16 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - International Business Administration
    • M19 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Other

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ssi:jouesi:v:1:y:2013:i:2:p:99-107. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Manuela Tvaronaviciene (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.