Abstract
Internationalization is a complex process, in which firms face various challenges that may lead to opportunities or threads. One of these challenges is export compliance. The objective of this paper is to disentangle the nature of export compliance and its function in international entrepreneurship. This study outlines a perspective on the export control system, discusses the most relative legislation, reveals the consequences of non-compliance and provides a case study and finally explains the function of export compliance in the international activities of firms.
Highlights
In recent years, the transnational market has been involved with a rising trend in internationalization among firms (OECD 2008)
We propose the following research questions: (1) what is the scope of export compliance? (2) Which regulations mostly address the export compliance issues? (3) What are the consequences of non-compliance with international regulations? (4) Does export compliance thread the existence of organizations in the international market or does it provide an opportunity for ventures to be successful beyond the borders?
Other kinds of organizations prefer to decentralize these authorities to a number of employees throughout the organization and supervise these responsibilities to ensure if essential compliance standards are maintained
Summary
The transnational market has been involved with a rising trend in internationalization among firms (OECD 2008). At all levels of the internationalization process, firms may face the potential compliance barriers, which jeopardize their activities and existence in the global markets. In this regard, according to Jafari Sadeghi et al (2017), export compliance emerges as a hot topic in the world of international business. The literature has scantily considered the export compliance issues in the international entrepreneurship (IE) studies in last few years, academia turned the attention to the essence of this multidisciplinary driver for internationalization of firms
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