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Rapid International Expansion Strategy of Emerging Market Enterprises: The Interplay between Speed and Competitive Risks on International performance

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  • Chang, Sea-Jin
  • Rhee, Jay Hyuk

Abstract

Firms that internationalize relatively late may pursue rapid internationalization by entering multiple markets simultaneously to reach global scale faster and to capture early mover advantages. These trends run counter to the theory of incremental internationalization. With data on Korean firms' early international expansion experiences, we found evidence that a rapid international expansion strategy enhances firm performance in industries where globalization pressures are high, by firms with less lead-time of their home-country rivals, and in countries where they could be early movers.

Suggested Citation

  • Chang, Sea-Jin & Rhee, Jay Hyuk, 2007. "Rapid International Expansion Strategy of Emerging Market Enterprises: The Interplay between Speed and Competitive Risks on International performance," CEI Working Paper Series 2007-11, Center for Economic Institutions, Institute of Economic Research, Hitotsubashi University.
    • Handle: RePEc:hit:hitcei:2007-11
    Note: Running head: Rapid international expansion strategy
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    File URL: https://hermes-ir.lib.hit-u.ac.jp/hermes/ir/re/15735/wp2007-11a.pdf
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    Keywords

    incremental internationalization; rapid international expansion strategy; emerging markets; foreign subsidiary survival; foreign direct investment;
    All these keywords.

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