An Integrative Model of Internationalization Strategies: The Corporate Entrepreneurship – Institutional Environment – Regulatory Focus (EIR) Framework

Research output: Contribution to journalJournal articleResearchpeer-review

Abstract

Purpose
– This paper aims to critically review the ownership, location and internalization (OLI) model and the Uppsala internationalization process (UIP) framework. We suggest that the inclusion of concepts such as corporate entrepreneurship, host country institutions and regulatory focus in an integrated framework helps to explain firm internationalization.

Design/methodology/approach
– This paper is based on a review of the literature on the OLI and UIP models. In addition, it presents a conceptual model that encompasses corporate entrepreneurship, regulatory focus and institutions.

Findings
– The OLI and the UIP models fail to include corporate entrepreneurship and managerial psychology in their analyses. We suggest that regulatory focus theory unifies the managerial strategic choice between position logic and opportunity logic. In addition, host country institutions affect this managerial choice with regard to internationalization.

Practical implications
– Regulatory focus theory originates from managerial psychology. The model is, therefore, relevant for managers, and it shows how the outcomes and processes of corporate entrepreneurial activity should manifest themselves in managerial decision-making related to further internationalization. The strength of host country institutions also affects such decision-making.

Originality/value
– This paper is the first to present the concept of regulatory focus in relation to firm internationalization. In addition, it shows that most entrepreneurship-related models of internationalization focus on international entrepreneurship and start-up firms. In contrast, this paper focuses on corporate entrepreneurship and the internationalization of established firms.
Purpose
– This paper aims to critically review the ownership, location and internalization (OLI) model and the Uppsala internationalization process (UIP) framework. We suggest that the inclusion of concepts such as corporate entrepreneurship, host country institutions and regulatory focus in an integrated framework helps to explain firm internationalization.

Design/methodology/approach
– This paper is based on a review of the literature on the OLI and UIP models. In addition, it presents a conceptual model that encompasses corporate entrepreneurship, regulatory focus and institutions.

Findings
– The OLI and the UIP models fail to include corporate entrepreneurship and managerial psychology in their analyses. We suggest that regulatory focus theory unifies the managerial strategic choice between position logic and opportunity logic. In addition, host country institutions affect this managerial choice with regard to internationalization.

Practical implications
– Regulatory focus theory originates from managerial psychology. The model is, therefore, relevant for managers, and it shows how the outcomes and processes of corporate entrepreneurial activity should manifest themselves in managerial decision-making related to further internationalization. The strength of host country institutions also affects such decision-making.

Originality/value
– This paper is the first to present the concept of regulatory focus in relation to firm internationalization. In addition, it shows that most entrepreneurship-related models of internationalization focus on international entrepreneurship and start-up firms. In contrast, this paper focuses on corporate entrepreneurship and the internationalization of established firms.
LanguageEnglish
JournalCritical Perspectives on International Business
Volume10
Issue number3
Pages153-171
ISSN1742-2043
DOIs
StatePublished - 2014

Keywords

    Cite this

    @article{1373b8970b2841afbfff9be3e79acbeb,
    title = "An Integrative Model of Internationalization Strategies: The Corporate Entrepreneurship – Institutional Environment – Regulatory Focus (EIR) Framework",
    abstract = "Purpose– This paper aims to critically review the ownership, location and internalization (OLI) model and the Uppsala internationalization process (UIP) framework. We suggest that the inclusion of concepts such as corporate entrepreneurship, host country institutions and regulatory focus in an integrated framework helps to explain firm internationalization.Design/methodology/approach– This paper is based on a review of the literature on the OLI and UIP models. In addition, it presents a conceptual model that encompasses corporate entrepreneurship, regulatory focus and institutions.Findings– The OLI and the UIP models fail to include corporate entrepreneurship and managerial psychology in their analyses. We suggest that regulatory focus theory unifies the managerial strategic choice between position logic and opportunity logic. In addition, host country institutions affect this managerial choice with regard to internationalization.Practical implications– Regulatory focus theory originates from managerial psychology. The model is, therefore, relevant for managers, and it shows how the outcomes and processes of corporate entrepreneurial activity should manifest themselves in managerial decision-making related to further internationalization. The strength of host country institutions also affects such decision-making.Originality/value– This paper is the first to present the concept of regulatory focus in relation to firm internationalization. In addition, it shows that most entrepreneurship-related models of internationalization focus on international entrepreneurship and start-up firms. In contrast, this paper focuses on corporate entrepreneurship and the internationalization of established firms.",
    keywords = "Institutions, Regulatory focus, Corporate entrepreneurship, Internationalization strategy, Ownership – location – internalization (OLI), Uppsala internationalization processes (UIP)",
    author = "Xin Li and Jens Gammelgaard",
    year = "2014",
    doi = "10.1108/cpoib-01-2012-0004",
    language = "English",
    volume = "10",
    pages = "153--171",
    journal = "Critical Perspectives on International Business",
    issn = "1742-2043",
    publisher = "Emerald Group Publishing Limited",
    number = "3",

    }

    TY - JOUR

    T1 - An Integrative Model of Internationalization Strategies

    T2 - Critical Perspectives on International Business

    AU - Li,Xin

    AU - Gammelgaard,Jens

    PY - 2014

    Y1 - 2014

    N2 - Purpose– This paper aims to critically review the ownership, location and internalization (OLI) model and the Uppsala internationalization process (UIP) framework. We suggest that the inclusion of concepts such as corporate entrepreneurship, host country institutions and regulatory focus in an integrated framework helps to explain firm internationalization.Design/methodology/approach– This paper is based on a review of the literature on the OLI and UIP models. In addition, it presents a conceptual model that encompasses corporate entrepreneurship, regulatory focus and institutions.Findings– The OLI and the UIP models fail to include corporate entrepreneurship and managerial psychology in their analyses. We suggest that regulatory focus theory unifies the managerial strategic choice between position logic and opportunity logic. In addition, host country institutions affect this managerial choice with regard to internationalization.Practical implications– Regulatory focus theory originates from managerial psychology. The model is, therefore, relevant for managers, and it shows how the outcomes and processes of corporate entrepreneurial activity should manifest themselves in managerial decision-making related to further internationalization. The strength of host country institutions also affects such decision-making.Originality/value– This paper is the first to present the concept of regulatory focus in relation to firm internationalization. In addition, it shows that most entrepreneurship-related models of internationalization focus on international entrepreneurship and start-up firms. In contrast, this paper focuses on corporate entrepreneurship and the internationalization of established firms.

    AB - Purpose– This paper aims to critically review the ownership, location and internalization (OLI) model and the Uppsala internationalization process (UIP) framework. We suggest that the inclusion of concepts such as corporate entrepreneurship, host country institutions and regulatory focus in an integrated framework helps to explain firm internationalization.Design/methodology/approach– This paper is based on a review of the literature on the OLI and UIP models. In addition, it presents a conceptual model that encompasses corporate entrepreneurship, regulatory focus and institutions.Findings– The OLI and the UIP models fail to include corporate entrepreneurship and managerial psychology in their analyses. We suggest that regulatory focus theory unifies the managerial strategic choice between position logic and opportunity logic. In addition, host country institutions affect this managerial choice with regard to internationalization.Practical implications– Regulatory focus theory originates from managerial psychology. The model is, therefore, relevant for managers, and it shows how the outcomes and processes of corporate entrepreneurial activity should manifest themselves in managerial decision-making related to further internationalization. The strength of host country institutions also affects such decision-making.Originality/value– This paper is the first to present the concept of regulatory focus in relation to firm internationalization. In addition, it shows that most entrepreneurship-related models of internationalization focus on international entrepreneurship and start-up firms. In contrast, this paper focuses on corporate entrepreneurship and the internationalization of established firms.

    KW - Institutions

    KW - Regulatory focus

    KW - Corporate entrepreneurship

    KW - Internationalization strategy

    KW - Ownership – location – internalization (OLI)

    KW - Uppsala internationalization processes (UIP)

    U2 - 10.1108/cpoib-01-2012-0004

    DO - 10.1108/cpoib-01-2012-0004

    M3 - Journal article

    VL - 10

    SP - 153

    EP - 171

    JO - Critical Perspectives on International Business

    JF - Critical Perspectives on International Business

    SN - 1742-2043

    IS - 3

    ER -