Network Dynamics and the Internationalisation Process of Small Advertising Agencies

Abstract

Process-based international strategy studies are few in the service sector, and even fewer in the case of professional services. This paper presents a qualitative study which examines international network dynamics, practices and processes of small advertising agencies (SMAs). Using case studies of four SMAs, a conceptual framework pertaining to their international evolution is examined, exploring how they moved from their initial triggers to internationalise, their early internationalisation phase and further internationalisation. In the main, the paper contributes towards unravelling how SMAs exploit their network relationships for international advantage. The findings show that while network structure and ties represent a valuable intangible resource for SMAs, they are also unique for each firm and change continuously with their evolving strategic priorities. In so doing, such ties have varying influence on the pace, pattern and direction of internationalisation. Relevant literatures on the manufacturing and service experiences of small firm internationalisation are drawn from and extended where appropriate.