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Social networks in the initiation of a high-tech firm's internationalisation

Entering foreign markets is often challenging for small firms due to the limited resources available for internationalisation. Through social networks, firms can gain access to and mobilise external resources in order to aid the initiation of internationalisation. The present study is concerned with the initiation of the internationalisation in small high-technology firms. The paper develops an empirically grounded framework for understanding the roles a social network can play in the initiation of internationalisation. The framework acknowledges personal relationships as sources of critical information about foreign business opportunities and potential international business partners. Moreover, social relationships can open doors in international business. This study brings forward the very active role that the social network can play as a mediator in the small firms internationalisation. The mediation can provide the small firm publicity, contacts and legitimacy resulting in first international contacts and development of international business relationships.

Business model scenarios in mobile advertising

In connection with advances in wireless technology, mobile advertising (m-advertising) has been identified one of the most promising potential business areas. Even though it offers revenue-generating opportunities for a number of different actors, the possibilities have not been utilised or studied. The purpose of this paper is to explore what kind of business network could evolve around a novel m-advertising service. Using a scenario planning method, this study suggests four network models, each describing three elements, for example, the mobile service, the roles of the actors and the value-creating exchanges between them. This study also evaluates the scenarios by discussing their value creation potential.

Dynamic effects of business cycles on business relationships

Purpose – The aim of this paper is to identify the effects of business cycles on industrial business‐to‐business relationships within extremely volatile industries.Design/methodology/approach – The paper is an in‐depth case study on Outotec plc, a leading provider of technologies for the mining and metal industries.Findings – The study identifies the changes in a business relationship during a business cycle as the dominance between the parties and the cooperative and the competitive nature of the relationship alternate.Practical implications – The study identifies ways to smooth the effects of business cycles in extremely volatile industries from the viewpoint of a project‐based technology provider.Originality/value – While a significant amount of macroeconomic research on cycles and a few studies on industry‐specific business cycles can be found, this study is a rare example of company‐specific research on surviving business cycles.

The Development of a High-Tech International New Venture as a Process of Acting: A Study of the Lifespan of a Venture in Software Business

Purpose – The purpose of this research is to analyze the development of high-tech international new ventures as an acting process by individuals in relationship networks. Design/methodology/approach – The study cross-fertilizes research on internationalization of international new ventures, opportunity development of entrepreneurs and innovation development in technology-based firms. A longitudinal case study on the development process of an international new venture operating in the software business is used as a base for analytical generalization and theory development. Findings – The study illustrates events at three intertwined levels of acting on the development of an international new venture. It defines internal problem solving, external solution creation, opportunity selling and opportunity organizing as the behaviors driving the emergent, multi-level process and embedding the venture in various networks. Research limitations/implications – Statistical generalization based on common patterns experienced by several firms was not sought in this study. Using the process research approach with event-based analysis, the study, however, provides an in-depth analysis of international new venture development through the actions of individuals at the level of key events. The methods for examining a complex development process over time can be utilized by other process researchers. Practical implications – The complexity of building high-tech international new ventures is, to a great extent, due to the necessity of handling the process at three levels simultaneously and in connection with one another. Since international new ventures are often based on business opportunities that have a short window of opportunity, the timeline creates further challenges. Embedding the business into various resourcing, legitimizing and otherwise assisting networks is crucial. Originality/value – The study provides an insight into the ways of acting in networks that intertwines the internationalization, opportunity and technology development with development of a high-tech international new venture. The study follows the development process in real time, something that is quite rare in previous international entrepreneurship research.

Role of networks in emergence of international new ventures

The present paper combines network approach-based internationalisation research and entrepreneurial opportunity discovery research to examine the entrepreneurial networking for emergence of international new ventures. Specifically, we aim to find out how entrepreneurs use relationships to create a basis for emergence of an international new venture. In the empirical part, we conduct a single case study on the process of emergence of a venture that operates in software business serving the so-called continental system developers. The primary empirical data consists of interviews of the entrepreneur and interviews of the persons in the networks on which the emergence of the international new venture was to a great extent based. As a result, we present a process model of international new venture emergence. It illustrates the acts of opportunity creation that are embedded in entrepreneurial networks. The networking acts are taken to a great extent before firm establishment and centre on overcoming the dual hurdle created by the lack of capability and lack of legitimacy.

A Start-Up Ecosystem as a Structure and Context for High Growth

Abstract Entrepreneurial activity is currently a primary concern of many developed economies that struggle with changes in their industrial structures. Many of the traditionally strong industries are encountering strong global competition and declining markets, and national competitiveness is often said to be built on new entrepreneurial firms that are able to grow in global markets. The facilitating national systems for these firms are covered in the emerging start-up ecosystem discussion. This chapter aims to contribute to this discussion by incorporating an analysis of the variety of actors and activities needed in start-up industries that rely on competence bloc theory. Furthermore, inspired by cultural-historical activity theory, the study specifies the contextual-, temporal- and renewal-related determinants of the activity of start-up ecosystems. As a result, a framework for examining start-up ecosystems as platforms for high-growth entrepreneurship is proposed in terms of its core constituencies that influence the emergence and non-emergence of high-growth firms.

Formation of strategic networks under high uncertainty of a megaproject

Purpose The purpose of this paper is to examine the formation of strategic networks between second-tier actors in the context of a construction megaproject. The research question addressed is: How do second-tier strategic networks form in high uncertainty projects? Design/methodology/approach This is a qualitative single-case study, which examines strategic network formation in the context of a nuclear power plant construction project. Focused interviews with parties involved or having an interest in the megaproject were used as the primary data collection method. Findings The conditions for network formation in a megaproject context are specified with a focus on the determinants of uncertainty. A total of six second-tier network types with different formation conditions and potential roles in the project are characterized. Research limitations/implications Analyzing the prerequisites of strategic network formation and examining the characteristics of various networks (that are either planned, taking shape or existing between the companies) in this specific context creates a basis for further study of network formation over network levels. Practical implications The formation of strategic networks is critical for many actors in the construction and related industries who are willing to participate in large projects. With the help of our findings, managers are able to define opportunities to orchestrate early phase network formation processes in uncertain circumstances, such as megaprojects. Originality/value The contribution of this paper lies in the close examination of strategic network formation from the second-tier actor perspective under circumstances of high uncertainty related to the early phases of megaprojects. Likewise, the illustration of different types of evolving nets in different phases of uncertain projects offers a contribution to the present discussion on strategic nets.

Organizing MNC Internal Networks to Manage Global Customers: Strategies of Political Compromising

The present study approaches multinational corporations as internal networks that are constantly newly organized on the basis of relationships, operations, activities and tasks at hand. It combines MNCs-as-networks view with the research on supplier-customer relationship development to conceptualize the relational dynamics in the MNCs. The dynamics are seen created as the interplay of organizing within internal networks and managing of the global customer relationships. Through an empirical study on a project business MNC and analysis of the events in its global customer relationship the study defines strategies of political compromising in MNC internal networks.

Hybrid ways of organizing opportunities in international entrepreneurship

Twenty years ago Oviatt and McDougall suggested an international new venture (INV) to be a specific type of organization that is international from or near inception. The international entrepreneurship (IE) field has been widened to cover studies of entrepreneurial behavior on opportunities in other types of organizations, such as multinational corporations, micro-multinationals and re-internationalizing SMEs. The widening scope of organizational structures under study in the IE field, together with emergence of a variety of new ways of governing economic activities in present day business, opens up a question of the possible ways of organizing the opportunities in IE. In this study we aim to advance IE research that examines international entrepreneurial behaviors focused on international opportunities within various organizational settings and to question the taken-for-granted assumptions of organizing IE. The research question of this study is, how does the research in IE field uncover the varying forms of organizing international opportunities? In the search for an answer to this question, we review the forms of organizing in a set of IE articles published between 1989 and 2012. We find that, although IE research has extended its scope to cover a wider variety of firms and their sub-units, it is still limited in its acknowledgement and understanding of the more flexible organizing forms, such as network organization and various types of virtual and latent ways of organizing economic activities. Building on these observations, we articulate future research directions for study of the hybrid ways of organizing international opportunities in current global markets.

Intradepartmental Faculty Mentoring in Teaching Marketing

This study focuses on the use of mentoring by a peer as a way to help teachers of marketing to develop their teaching skills. Using self-ethnography, we elaborate on the potential of intradepartmental faculty mentoring in teaching (FMIT) to enhance the quality of marketing education. The study describes FMIT, a novel type of mentoring, reviews its benefits, and reveals the threats to its rewarding implementation. Three major elements related to rewarding intradepartmental mentoring were identified—organizational support, knowledge sharing in mentoring discussions, and handling emotions in mentoring. Accordingly, FMIT requires the establishment of an official status and permanent support structure. An existing colleague relationship and a long-term experience of collaboration provide facilitative conditions both for knowledge sharing and other rewards for both actors. The courage and ability to give and receive constructive feedback makes the mentoring relationship mutually beneficial. Organizational support in the form of training and coaching reduces the emotional challenges, further highlighting the importance of organizational commitment to FMIT.