How CEO Narcissism Predicts Initial-Entry and Post-Entry Speed of Internationalization

Abstract

Building upon the perspective that narcissism is an important personality trait of CEOs, the present study examines its effect in the international business context. International operations are potentially associated with great advantages but also certain threats. Distinct from traditional incremental approach, an increasing number of firms internationalize with a higher speed than they used to do, not only the time between inception and start of internationalization but also the subsequent period one internationalization starts becomes shorter. Therefore, from a multiple perspective of internationalization speed, this research examines how IEO explains why narcissistic CEO-led firms implement their first international operations rapidly and experience a faster expansion to a great many foreign markets after the initial-stage. Using survey data collected from 248 exporting firms, and an archival measure to calculate the firms’ internationalization speed, we find support for our model. These findings offer an improved understanding of CEO narcissism in an international business context, help to better understand the drivers of firms’ rapid internationalization in both inception stage and post stage, and the mediation effects of international entrepreneurial orientation of the firm.