Innovation Processes as a Stimulant of Internationalisation Process of Firms

Abstract

Objective : The study focuses on the links between innovation and internationalisation of the firm. The aim of the research is to determine the impact of innovative processes on the process of internationalisation of the firm. Research Design & Methods : For the needs of the implementation of this study, the available literature of the subject and its constructive critics was used. Findings: The concept of innovation, innovation potential and innovativeness are discussed, taking into account the different approaches and changes (trends) as to their interpretations. Innovative activities in foreign markets seem to be a natural consequence of the innovation processes carried out by the firm, which is perfectly illustrated by I-models (innovation-related models). Implications & Recommendations: Undertaking innovative activity by firms results in the introduction of these businesses to international markets, and innovations become the main element of innovation-based internationalisation models as well as international entrepreneurship models. In contemporary economic conditions, innovation processes and business internationalisation processes become increasingly visible and co-dependent, creating a new dimension of entrepreneurship – international entrepreneurship. Contribution & Value Added: The article concentrates on one of three dimensions of international entrepreneurial orientation (IEO), which is innovativeness. It shows how the implementation of new ideas and new solutions stimulates the internationalisation process of the firm, which per se is treated as one of five forms of innovation – entering or opening new markets.