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The Speed Of Internationalization Of Entrepreneurial Start-Ups In A Transition Environment

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  • JERZY CIESLIK

    (Kozminski University, 03-301 Warsaw, 57/59 Jagiellonska Str., Poland)

  • EUGENE KACIAK

    (Faculty of Business, Brock University, St. Catharines, Canada L2S 3A1, Canada)

Abstract

This article examines the speed of internationalization by newly established firms operating in the rapidly changing environment of a country undergoing radical systemic transition, as exemplified by Poland. A longitudinal analysis of the speed of internationalization, measured by the time between the year of establishment and the year of the first export sale, identified three interesting patterns. First, both incumbent state-owned firms and private companies operating under communism played marginal roles in the internationalization process after transition to the market economy system. Second, the entrepreneurial start-ups typically embarked on exports shortly after their establishment. Third, the entrepreneurial start-ups that focused initially on the domestic market were rarely engaging in export operations later on. This aspect of the internationalization process has not been adequately explained by the extant mainstream management theories (new institutional economics, transaction cost and resource-based view). This paper offers an alternative theoretical framework for the internationalization of entrepreneurial start-ups in transition economies by extending Shapero's social psychological model of entrepreneurial events.

Suggested Citation

  • Jerzy Cieslik & Eugene Kaciak, 2009. "The Speed Of Internationalization Of Entrepreneurial Start-Ups In A Transition Environment," Journal of Developmental Entrepreneurship (JDE), World Scientific Publishing Co. Pte. Ltd., vol. 14(04), pages 375-392.
    • Handle: RePEc:wsi:jdexxx:v:14:y:2009:i:04:n:s1084946709001375
    DOI: 10.1142/S1084946709001375
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    Cited by:

    1. Ruta Kazlauskaite & Sarunas Abramavicius & Tadas Sarapovas & Modestas Gelbuda & Dominyka Venciūtė, 2015. "Network Research On Internatinalization Of Firms From The Emerging Economies: Literature Review And Propositions," European Journal of Business and Economics, Central Bohemia University, vol. 10(1), pages 5481:10-548, June.
    2. Maldea, Radu-Andrei, 2023. "Winning when Going Global – On the Role of Heritage and Strategic Moves for Internationalization Endeavors of Start-ups," Junior Management Science (JUMS), Junior Management Science e. V., vol. 8(2), pages 532-568.
    3. Renata Korsakienė & Danuta Diskienė & Rasa Smaliukienė, 2015. "Institutional theory perspective and internationalization of firms. How institutional context influences internationalization of SMES?," Entrepreneurship and Sustainability Issues, VsI Entrepreneurship and Sustainability Center, vol. 2(3), pages 0, March.
    4. Galina Shirokova & Patricia McDougall-Covin, 2012. "The role of social networks and institutions in the internationalization of Russian entrepreneurial firms: Do they matter?," Journal of International Entrepreneurship, Springer, vol. 10(3), pages 177-199, September.
    5. Izabela Kowalik & Lidia Danik & Petr Král & Hana Řezanková, 2017. "Antecedents of Accelerated Internationalisation of Polish and Czech Small and Medium-Sized Enterprises," Entrepreneurial Business and Economics Review, Centre for Strategic and International Entrepreneurship at the Cracow University of Economics., vol. 5(3), pages 31-48.
    6. Haddoud, Mohamed Yacine & Onjewu, Adah-Kole Emmanuel & Nowiński, Witold, 2021. "Environmental commitment and innovation as catalysts for export performance in family firms," Technological Forecasting and Social Change, Elsevier, vol. 173(C).
    7. Christopher Williams & Ana Colovic & Jiqing Zhu, 2016. "Foreign Market Knowledge, Country Sales Breadth And Innovative Performance Of Emerging Economy Firms," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 20(06), pages 1-25, August.
    8. Shirokova, Galina & Berezinets, Irina & Shatalov, Alexander, 2014. "Organizational change and firm growth in emerging economies," Journal of East European Management Studies, Rainer Hampp Verlag, vol. 19(2), pages 185-212.
    9. Elżbieta Duliniec, 2013. "Ujęcia teoretyczne wczesnej i szybkiej internacjonalizacji przedsiębiorstw," Gospodarka Narodowa. The Polish Journal of Economics, Warsaw School of Economics, issue 1-2, pages 31-51.
    10. Nowinski, Witold & Rialp, Alex, 2013. "Drivers and strategies of international new ventures from a Central European transition economy," Journal of East European Management Studies, Nomos Verlagsgesellschaft mbH & Co. KG, vol. 18(2), pages 191-231.
    11. Mariola Ciszewska-Mlinarič, 2016. "Foreign Market Knowledge and SME’s International Performance: Moderating Effects of Strategic Intent and Time-to-Internationalization," Entrepreneurial Business and Economics Review, Centre for Strategic and International Entrepreneurship at the Cracow University of Economics., vol. 4(4), pages 51-66.
    12. Adomako, Samuel & Amankwah-Amoah, Joseph & Tarba, Shlomo Y. & Khan, Zaheer, 2021. "Perceived corruption, business process digitization, and SMEs’ degree of internationalization in sub-Saharan Africa," Journal of Business Research, Elsevier, vol. 123(C), pages 196-207.
    13. Sushma Kumari & Vikrant Shirodkar & Steven McGuire, 2023. "Pre-Liberalization Foundations and the FDI-Based Internationalization of SMEs from Emerging Markets," Management International Review, Springer, vol. 63(4), pages 641-671, August.
    14. Rachel Xenia Chang & Mário Henrique Ogasavara, 2021. "The impact of institutional distance and experiential knowledge on the internationalization speed of Japanese MNEs," Asian Business & Management, Palgrave Macmillan, vol. 20(5), pages 549-582, November.
    15. Sanja Mitić & Branko Rakita, 2020. "The Role of Social and Business Networks in the Internationalization of Born Global Firms: Evidence from Serbia," Tržište/Market, Faculty of Economics and Business, University of Zagreb, vol. 32(1), pages 47-64.
    16. Irina Ervits & Malgorzata Zmuda, 2018. "A cross-country comparison of the effects of institutions on internationally oriented innovation," Journal of International Entrepreneurship, Springer, vol. 16(4), pages 486-503, December.
    17. Kiss, Andreea N. & Danis, Wade M. & Cavusgil, S. Tamer, 2012. "International entrepreneurship research in emerging economies: A critical review and research agenda," Journal of Business Venturing, Elsevier, vol. 27(2), pages 266-290.
    18. Shirokova, Galina V. & Sokolova, Liubov S., 2013. "Exploring the Antecedents of Entrepreneurial Orientation in Russian SMEs: The Role of Institutional Environment," Working Papers 819, Graduate School of Management, St. Petersburg State University.

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