Understanding networking dynamics in born global firms’ internationalization: balancing the mix of physical and virtual networking in B2B markets

Abstract

PurposeThis paper aims to explore how born global firms (BGs) in business to business (B2B) markets balance the mix of physical and virtual networking through social media to gain access to resources throughout their internationalization process. Further, the research seeks to understand these firms’ network dynamics in their continual adaptation to changing resource requirements throughout the internationalization process.Design/methodology/approachThis research adopts a multiple case study approach based on in-depth interviews with founders and key informants in BGs in the software industry, supplemented with extensive secondary data.FindingsResults reveal that networking through social media is efficient and can be used to access vital resources and to build trusting relationships in a B2B context, yet in combination with physical networking. This research found several boundary conditions related to the mix of physical and virtual networking, i.e. the relationship culture in the industry, strategic importance of partner/customer, type of product complexity and managers’ perceptions of the usefulness of social media in a B2B context. These conditions could evolve over time.Originality/valueThis research contributes to enhanced understanding of how resource-constrained BGs balance the mix of physical and virtual networking through social media in a B2B context, influenced by boundary conditions, achieving a network dynamic to advance internationalization.