Abstract
Re-internationalization is defined as firms’ re-entry into international operations after they have abandoned all their previous internationalization efforts. In this paper, we report findings from a survey administered among senior-level managers of re-internationalized Indian firms where we studied the differences in firms’ choices in modes of operations during re-internationalization phase as compared to initial internationalization phase. The results from the survey indicated that firms tended to go for high involvement modes of operations during re-internationalization as compared to the relatively low involvement modes of operations undertaken during initial internationalization. This trend of going for higher involvement modes of operations was more visible in firms that had a presence in a relatively higher number of countries during the re-internationalization stage. This incremental nature of internationalization, i.e. going from initial low involvement modes of operations toward high involvement modes of operations as firms gained experience in both time and space from their initial through re-internationalization attempts, found support for the Uppsala model of internationalization. Being among the first studies on the topic, we expect this study to serve as a foundation for researchers to explore deeper related queries. This study also has meaningful practical and policy implications.
Highlights
We report findings from a survey administered among senior-level managers of re-internationalized Indian firms where we studied the differences in firms’ choices in modes of operations during re-internationalization phase as compared to initial internationalization phase
We reckon that the substantial rise in No of firms having modes of operations such as branches, joint ventures, and green-field ventures during re-internationalization stage when compared to initial internationalization period can be attributed to firms’ learning and experiences from initial international operations
Case studies to understand the process of re-internationalization on how and why firms undertook various decisions at different stages of their initial through exit through re-entry stages, especially to understand the reasons why which they opted for higher involvement modes of operations during re-internationalization would be an interesting topic for future research
Summary
Re-internationalization, or firms’ re-entry into international markets after they. Despite being found that intentions for re-entry to international activities among firms that have exited their initial internationalization are high [3] [4], re-internationalization has received sparse attention in the published literature [1]. Though studies on re-internationalization have sprouted up in recent past [5]-[10], differences in firms’ choices in modes of operations during various stages of internationalization have not been explained yet.
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