Relationship Development: A Micro-Foundation for the Internationalization Process of the Multinational Business Enterprise

Jan-Erik Vahlne,Waheed Akbar Bhatti

doi:10.1007/s11575-018-0373-z

Abstract

The interplay between knowledge development and commitments is the driving force in the Uppsala internationalization process model. We perform a qualitative thematic analysis of longitudinal data, exploring how relationship knowledge development in supplier-customer relationships leads to commitments through opportunity identification. The results validate our claim that relationship knowledge development as a dynamic capability can influence the focal organization’s ability to over time, under changing needs and contexts, harness operational capabilities that lead to at least satisfactory performance. Judging from results, the relationship knowledge development process produces a change in commitments, thereby constituting a critical micro-foundation for the internationalization and evolution process as explained in the Uppsala model.

Highlights

The Uppsala model continues to evolve into a paradigmatic framework applicable to studies of the multinational business enterprise (MBE) (Håkansson and Kappen 2017; Vahlne and Johanson 2013, 2017)
This study is interested in developing our understanding of relationship knowledge development as a dynamic organizational capability that is a process that develops over time
We theoretically rely upon the Uppsala model and empirically employ longitudinal case studies, as the application of the Uppsala model in longitudinal cases was successful in the past and a recent study (Vahlne et al 2011)

Summary

Introduction

The Uppsala model continues to evolve into a paradigmatic framework applicable to studies of the multinational business enterprise (MBE) (Håkansson and Kappen 2017; Vahlne and Johanson 2013, 2017). There is still scope for improvements and scrutiny of critical assumptions and micro-foundations (Coviello et al 2017). This article serves the purpose, detailed below, of investigating the. A. Bhatti micro-foundation of relationship development, a critical element of the process of MBE internationalization and evolution

Objectives

Methods

Results

Conclusion