Effects of alliances, time, and network cohesion on the initiation of foreign sales by new ventures

Strategic Management Journal

Volumn 32, Issue 4, 2011, Pages 424-446

  Yu, Jifeng ^a   Gilbert, Brett Anitra ^b   Oviatt, Benjamin M ^c,d  

^a UNIVERSITY OF NEVADA   (United States)

^b TEXAS A AND M UNIVERSITY   (United States)

^c UNIVERSITY OF NEW SOUTH WALES   (Australia)

^d GEORGIA STATE UNIVERSITY   (United States)

Author keywords

alliances; foreign marketing knowledge; initiation of foreign sales; network cohesion; new ventures; technological knowledge

Indexed keywords

ALLIANCES; FOREIGN MARKETING KNOWLEDGE; INITIATION OF FOREIGN SALES; NETWORK COHESION; NEW VENTURES; TECHNOLOGICAL KNOWLEDGE;

ADHESION; INTERNATIONAL TRADE; SALES;

TECHNOLOGY TRANSFER;

EID: 79951533936     PISSN: 01432095     EISSN: 10970266     Source Type: Journal    
DOI: 10.1002/smj.884     Document Type: Article

References (119)

1. Ahuja G,. 2000. Collaboration networks, structural holes, and innovation: a longitudinal study. Administrative Science Quarterly 45 (3): 425-455.
2. Ahuja G, Katila R,. 2001. Technological acquisitions and the innovation performance of acquiring firms: a longitudinal study. Strategic Management Journal 22 (3): 197-220. (Pubitemid 33612451)
3. Aiken LS, West SG,. 1991. Multiple Regression: Testing and Interpreting Interactions. Sage: Thousand Oaks, CA.
4. Alvarez SA, Barney JB,. 2001. How entrepreneurial firms can benefit from alliances with large partners. Academy of Management Executive 15 (1): 139-148.
5. Anand BN, Khanna T,. 2000. Do firms learn to create value? The case of alliances. Strategic Management Journal, March Special Issue 21: 295-315.
6. Autio E, Sapienza HJ, Almeida JG,. 2000. Effects of age at entry, knowledge intensity, and imitability on international growth. Academy of Management Journal 43 (5): 909-924.
7. Baum JAC, Calabrese T, Silverman BS,. 2000. Don't go it alone: alliance network composition and startups' performance in Canadian biotechnology. Strategic Management Journal, March Special Issue 21: 267-294.
8. Bell J,. 1995. The internationalization of small computer software firms. European Journal of Marketing 29 (8): 60-75.
9. Bloodgood JM, Sapienza JH, Almeida JG,. 1996. The internationalization of new high-potential U.S. ventures: antecedents and outcomes. Entrepreneurship Theory & Practice 20 (4): 61-76.
10. Boone C, Olffen WV, Witteloostuijn AV, Brabander BD,. 2004. The genesis of top management team diversity: selective turnover among top management teams in Dutch newspaper publishing, 1970-94. Academy of Management Journal 47 (5): 633-656. (Pubitemid 39499247)
11. Bowen HP, Wiersema MF,. 2004. Modeling limited dependent variables: methods and guidelines for researchers in strategic management. In Research Methodology in Strategy and Management (Volume 1), Bergh D, Ketchen DJ, (eds). Elsevier: Oxford, UK; 87-134. (Pubitemid 39753824)
12. Bresman H, Birkinshaw J, Nobel R,. 1999. Knowledge transfer in international acquisitions. Journal of International Business Studies 30 (3): 439-462.
13. Brush CG,. 1992. Factors motivating small companies to internationalize: the effect of firm age. PhD. diss. Boston University, Boston, MA.
14. Burt RS,. 1992. Structural Holes: The Social Structure of Competition. Harvard University Press: Cambridge, MA.
15. Burt RS,. 2000. The network structure of social capital. In Research in Organizational Behavior, (Volume 22), Sutton RI, Staw BM, (eds). JAI Press: Greenwich CT; 345-423. (Pubitemid 33211290)
16. Burt RS,. 2002. Bridge Decay. Social Networks 24: 333-363.
17. Carpenter MA, Fredrickson JW,. 2001. Top management teams, global strategic posture, and the moderating role of uncertainty. Academy of Management Journal 44 (3): 533-545. (Pubitemid 33388141)
18. Caves RE,. 1971. International corporations: the industrial economics of foreign investment. Economica 38 (149): 1-27.
19. Chen H, Huang Y,. 2004. The establishment of global marketing strategic alliances by small and medium enterprises. Small Business Economics 22 (5): 367-377.
20. Cohen WM, Levinthal DA,. 1990. Absorptive capacity: a new perspective on learning and innovation. Administrative Science Quarterly 35: 128-152.
21. Coleman JS,. 1988. Social capital in the creation of human capital. American Journal of Sociology 94: 95-120.
22. Coviello NE, Munro HJ,. 1995. Growing the entrepreneurial firm: networking for international market development. European Journal of Marketing 29 (7): 49-61.
23. Coviello NE, Munro HJ,. 1997. Network relationships and the internationalisation process of small software firms. International Business Review 6 (4): 361-386.
24. DeCarolis DM, Deeds DL,. 1999. The impact of stocks and flows of organizational knowledge on firm performance: an empirical investigation of the biotechnology industry. Strategic Management Journal 20 (10): 953-968. (Pubitemid 129545631)
25. De Clercq D, Sapienza HJ, Crijns H,. 2005. The internationalization of small and medium-sized firms. Small Business Economics 24: 409-419. (Pubitemid 41168491)
26. Deeds DL, Hill CWL,. 1999. An examination of opportunistic action within research alliances: evidence from the biotechnology industry. Journal of Business Venturing 14 (2): 141-163.
27. Delios A, Beamish PW,. 2001. Survival and profitability: the roles of experience and intangible assets in foreign subsidiary performance. Academy of Management Journal 44 (5): 1028-1038.
28. Dunning JH,. 1988. The eclectic paradigm of international production: a restatement and some possible extensions. Journal of International Business Studies 19: 1-31.
29. Echols A, Tsai W,. 2005. Niche and performance: the moderating role of network embeddedness. Strategic Management Journal 26 (3): 219-238. (Pubitemid 40184499)
30. Eriksson K, Johanson J, Majgard A, Sharma D,. 1997. Experiential knowledge and cost in the internationalization process. Journal of International Business Studies 28: 337-360.
31. Erramilli MK, Rao CP,. 1990. Choice of foreign market entry modes by service firms: role of market knowledge. Management International Review 30 (2): 135-150.
32. Fleming L, Mingo S, Chen D,. 2007. Collaborative brokerage, generative creativity, and creative success. Administrative Science Quarterly 52: 443-475.
33. Gargiulo M, Benassi M,. 2000. Trapped in your own net? Network cohesion, structural holes, and the adaptations of social capital. Organization Science 11 (2): 183-196.
34. Geletkanycz MA, Hambrick DC,. 1997. The external ties of top executives: implications for strategic choice and performance. Administrative Science Quarterly 42 (4): 654-681.
35. Gimeno J,. 2004. Competition within and between networks: the contingent effect of competitive embeddedness on alliance formation. Academy of Management Journal 47 (6): 820-842. (Pubitemid 40097395)
36. Giovannetti GT, Morrison SW,. 2000. Convergence: The Biotechnology Industry Report. Ernst & Young: Palo Alto, CA.
37. Gomes L, Ramaswamy K,. 1999. An empirical examination of the form of the relationship between multinationality and performance. Journal of International Business Studies 30 (1): 173-188.
38. Granovetter M,. 1985. Economic action and social structure: the problem of embeddedness. American Journal of Sociology 91: 481-510.
39. Granovetter M,. 1992. Problems of explanation in economic sociology. In Networks and Organizations: Structure, Form and Action, Nohria NN, Eccles RG, (eds). Harvard Business School Press: Boston, MA; 25-56.
40. Greene WH,. 1997. Econometric Analysis. Prentice-Hall: Upper Saddle River, NJ.
41. Griliches Z,. 1990. Patent statistics as economic indicator: a survey. Journal of Economic Literature 27: 1661-1707.
42. Hagedoorn J,. 1993. Understanding the rationale of strategic technology partnering: interorganizational modes of cooperation and sectoral differences. Strategic Management Journal 14 (5): 371-385.
43. Hagedoorn J, Duysters G,. 2002. External sources of innovative capabilities: the preference for strategic alliances or mergers and acquisitions. Journal of Management Studies 39 (2): 167-188.
44. Hargadon A, Sutton RI,. 1997. Technology brokering in a product development firm. Administrative Science Quarterly 42: 716-749.
45. Hitt MA, Bierman L, Uhlenbruck K, Shimizu K,. 2006. The importance of resources in the internationalization of professional service firms: the good, the bad, and the ugly. Academy of Management Journal 49 (6): 1137-1157.
46. Hitt MA, Hoskisson RE, Kim H,. 1997. International diversification: effects on innovation and firm performance in product-diversified firms. Academy of Management Journal 40 (4): 767-798.
47. Hymer SH,. 1976. The International Operations of National Firms: A Study of Direct Investment. MIT Press: Cambridge, MA.
48. Isenberg DJ,. 2008. The global entrepreneur. Harvard Business Review 86 (12): 107-110.
49. Johanson J, Vahlne J,. 1977. The internationalization process of the firm-a model of knowledge development and increasing foreign market commitments. Journal of International Business Studies 8 (1): 23-32.
50. Johanson J, Vahlne J,. 1990. The mechanism of internationalisation. International Marketing Review 7 (4): 11-24.
51. Johanson J, Vahlne J,. 2003. Business relationship learning and commitment in the internationalization process. Journal of International Entrepreneurship 1: 83-101.
52. Jones MV, Coviello NE,. 2005. Internationalisation: conceptualising an entrepreneurial process of behaviour in time. Journal of International Business Studies 36: 284-303. (Pubitemid 40792801)
53. Jonsson A, Elg U,. 2006. Knowledge and knowledge sharing in retail internationalization: Ikea's entry into Russia. International Review of Retail 16 (2): 239-256.
54. Knight GA, Cavusgil ST,. 2004. Innovation, organizational capabilities, and the born-global firm. Journal of International Business Studies 35 (2): 124-141. (Pubitemid 38549136)
55. Koka BR, Prescott JE,. 2002. Strategic alliances as social capital: a multidimensional view. Strategic Management Journal 23 (9): 795-816. (Pubitemid 34964369)
56. Larson A,. 1992. Network dyads in entrepreneurial settings: a study of the governance of exchange relationships. Administrative Science Quarterly 37: 76-104.
57. Lazer D, Friedman A,. 2007. The network structure of exploration and exploitation. Administrative Science Quarterly 52: 667-694.
58. Lechner C, Dowling M,. 2003. Firm networks: external relationships as sources for the growth and competitiveness of entrepreneurial firms. Entrepreneurship & Regional Development 15: 1-26. (Pubitemid 36405823)
59. Lee C, Lee K, Pennings JM,. 2001. Internal capabilities, external networks, and performance: a study on technology-based ventures. Strategic Management Journal, June-July Special Issue 22: 615-640. (Pubitemid 33612461)
60. Leung K, Bhagat RS, Buchan NR, Erez M, Gibson CB,. 2005. Culture and international business: recent advances and their implications for future research. Journal of International Business Studies 36: 357-378. (Pubitemid 41020595)
61. Levin DZ, Cross R,. 2004. The strength of weak ties you can trust: the mediating role of trust in effective knowledge transfer. Management Science 50 (11): 1477-1490.
62. Li T, Calantone RJ,. 1998. The impact of market knowledge competence on new product advantage: conceptualization and empirical examination. Journal of Marketing 62 (4): 13-29.
63. Liebeskind JP, Oliver AL, Zucker L, Brewer M,. 1996. Social networks, learning and flexibility: sourcing scientific knowledge in new biotechnology firms. Organization Science 7 (4): 428-443.
64. Lord MD, Ranft AL,. 2000. Organizational learning about new international markets: exploring the internal transfer of local market knowledge. Journal of International Business Studies 31 (4): 573-589.
65. Lu JW, Beamish PW,. 2001. The internationalization and performance of SMEs. Strategic Management Journal, June-July Special Issue 22: 565-586. (Pubitemid 33612459)
66. Makino S, Delios A,. 1996. Local knowledge transfer and performance: implications for alliance formation in Asia. Journal of International Business Studies 27 (5): 905-927. (Pubitemid 126333650)
67. McDougall PP,. 1989. International versus domestic entrepreneurship: new venture strategic behavior and industry structure. Journal of Business Venturing 4 (6): 387-400.
68. McDougall PP, Shane S, Oviatt BM,. 1994. Explaining the formation of international new ventures: the limits of theories from international business research. Journal of Business Venturing 9 (6): 469-487.
69. Moen O, Servais P,. 2002. Born global or gradual global? Examining the export behavior of small and medium-sized enterprises. Journal of International Marketing 10 (3): 49-72.
70. Morck R, Yeung B,. 1992. Internalization: an event study test. Journal of International Economics 33 (1-2): 41-56. (Pubitemid 23365699)
71. Mowery DC, Oxley JE, Silverman BS,. 1996. Strategic alliances and interfirm knowledge transfer. Strategic Management Journal, Winter Special Issue 17: 77-91.
72. Nordberg M, Campbell AJ, Verbeke A,. 1996. Can market-based contracts substitute for alliances in high technology markets. Journal of International Business Studies 27 (5): 963-979. (Pubitemid 126333653)
73. Oviatt BM, McDougall PP,. 1995. Global start-ups: entrepreneurs on a worldwide stage. Academy of Management Executive 9 (2): 30-44.
74. Oviatt BM, McDougall PP,. 2005. Defining international entrepreneurship and modeling the speed of internationalization. Entrepreneurship Theory & Practice 29 (5): 537-553. (Pubitemid 41653581)
75. Pisano GP,. 1989. Using equity participation to support exchange: evidence from the biotechnology industry. Journal of Law, Economics and Organization 35: 109-126.
76. Plunkett JW,. 2001. Plunkett's Biotech & Genetics Industry Almanac: The Only Comprehensive Guide to Biotech Companies and Trends. Plunkett Research: Houston, TX.
77. Portes A, Sensenbrenner J,. 1993. Embeddedness and immigration: notes on the social determinants of economic action. American Journal of Sociology 98: 1320-1350. (Pubitemid 24385642)
78. Powell WW, Koput KW, Smith-Doerr L,. 1996. Interorganizational collaboration and the locus of innovation: networks of learning in biotechnology. Administrative Science Quarterly 41: 116-145.
79. Qian G, Li L,. 2003. Profitability of small- and medium-sized enterprises in high-tech industries: the case of the biotechnology industry. Strategic Management Journal 24 (9): 881-887.
80. Reagans R, McEvily B,. 2003. Network structure and knowledge transfer: the effects of cohesion and range. Administrative Science Quarterly 48 (2): 240-267.
81. Reagans R, Zuckerman EW,. 2001. Networks, diversity, and productivity: the social capital of corporate R&D teams. Organization Science 12 (4): 502-517.
82. Reuber AR, Fischer E,. 1997. The influence of the management team's international experience on the internationalization behaviors of SMEs. Journal of International Business Studies 28 (4): 807-825. (Pubitemid 127360718)
83. Rodan S, Galunic C,. 2004. More than network structure: how knowledge heterogeneity influences managerial performance and innovativeness. Strategic Management Journal 25 (6): 541-562.
84. Roth MS, Jayachandran S, Dakhli M, Colton DA,. 2009. Subsidiary use of foreign marketing knowledge. Journal of International Marketing 17 (1): 1-29.
85. Rothaermel FT, Deeds DL,. 2004. Exploration and exploitation alliances in biotechnology: a system of new product development. Strategic Management Journal 25 (3): 201-221.
86. Rowley T, Behrens D, Krackhardt D,. 2000. Redundant governance structures: an analysis of structural and relational embeddedness in the steel and semiconductor industries. Strategic Management Journal, March Special Issue 21: 369-386.
87. Rubin DB,. 1987. Multiple Imputation for Nonresponse in Surveys. Chapman and Hall: New York.
88. Santoro MD, McGill JP,. 2005. The effect of uncertainty and asset co-specialization on governance in biotechnology alliances. Strategic Management Journal 26 (13): 1261-1269. (Pubitemid 41655081)
89. Sapienza HJ, Autio E, George G, Zahra S,. 2006. A capabilities perspective on the effects of early internationalization on firm survival and growth. Academy of Management Review 31 (4): 914-933. (Pubitemid 44639650)
90. Sapienza HJ, De Clercq D, Sandberg WR,. 2005. Antecedents of international and domestic learning effort. Journal of Business Venturing 20 (4): 437-457. (Pubitemid 40354895)
91. Schilling MA, Phelps CC,. 2007. Interfirm collaboration networks: the impact of large-scale network structure on firm innovation. Management Science 53: 1113-1126. (Pubitemid 351159615)
92. Shan W,. 1990. An empirical analysis of organizational strategies by entrepreneurial high-technology firms. Strategic Management Journal 11 (2): 129-139.
93. Shan W, Walker G, Kogut B,. 1994. Interfirm cooperation and startup innovation in the biotechnology industry. Strategic Management Journal 15 (5): 387-394.
94. Shane S,. 2000. Prior knowledge and the discovery of entrepreneurial opportunities. Organization Science 11 (4): 448-469.
95. st century. Academy of Management Journal 43 (5): 1227-1247. (Pubitemid 33216845)
96. Simonin BL,. 1999. Transfer of marketing know-how in international strategic alliances: an empirical investigation of the role and antecedents of knowledge ambiguity. Journal of International Business Studies 30: 463-490.
97. Simons T, Ingram P,. 2000. The kibbutz for organizational behavior. Research in Organizational Behavior 22: 283-343.
98. Slotte-Kock S, Coviello N,. 2010. Entrepreneurship research on network processes: a review and ways forward. Entrepreneurship Theory and Practice 34 (1): 31-57.
99. Smith HL, Dickson K, Smith SL,. 1991. "There are two sides to every story": innovation and collaboration within networks of large and small firms. Research Policy 20: 457-468.
100. Soda G, Usai A, Zaheer A,. 2004. Network memory: the influence of past and current networks on performance. Academy of Management Journal 47 (6): 893-906. (Pubitemid 40097399)
101. Soh P,. 2003. The role of networking alliances in information acquisition and its implications for new product performance. Journal of Business Venturing 18 (6): 727-744. (Pubitemid 37007056)
102. Sorenson JB, Stuart TE,. 2000. Aging, obsolescence, and organizational innovation. Administrative Science Quarterly 45 (1): 81-112.
103. Spencer JW,. 2003. Firms' knowledge-sharing strategies in the global innovation system: empirical evidence from the flat panel display industry. Strategic Management Journal 24 (3): 217-233.
104. Stuart TE,. 2000. Interorganizational alliances and the performance of firms: a study of growth and innovation rates in a high-technology industry. Strategic Management Journal 21 (8): 791-811.
105. Sullivan D,. 1994. Measuring the degree of internationalization of a firm. Journal of International Business Studies 25: 493-513.
106. Tallman S, Li J,. 1996. Effects of international diversity and product diversity on the performance of multinational firms. Academy of Management Journal 39 (1): 179-196. (Pubitemid 126036379)
107. Todorova G, Durisin B,. 2007. Absorptive capacity: valuing a reconceptualization. Academy of Management Review 32 (3): 774-786.
108. Tsang EWK,. 2002. Acquiring knowledge by foreign partners from international joint ventures in a transition economy: learning-by-doing and learning myopia. Strategic Management Journal 23 (9): 835-854. (Pubitemid 34964371)
109. Walker G, Kogut B, Shan W,. 1997. Social capital, structural holes and the formation of an industry network. Organization Science 8 (2): 109-125.
110. Wooldridge JM,. 2002. Econometric Analysis of Cross Section and Panel Data. MIT Press: Cambridge, MA.
111. Yli-Renko H, Autio E, Sapienza HJ,. 2001. Social capital, knowledge acquisition, and knowledge exploitation in young technology-based firms. Strategic Management Journal, June-July Special Issue 22: 587-613. (Pubitemid 33612460)
112. Yu T, Cannella AA,. 2007. Rivalry between multinational enterprises: an event history approach. Academy of Management Journal 50 (3): 665-686.
113. Zaheer A, Bell GG,. 2005. Benefiting from network position: firm capabilities, structural holes, and performance. Strategic Management Journal 26 (8): 809-825. (Pubitemid 41146001)
114. Zaheer A, George VP,. 2004. Reach out or reach within? Performance implications of alliances and location in biotechnology. Managerial and Decision Economics 25: 437-452.
115. Zaheer S,. 1995. Overcoming the liability of foreignness. Academy of Management Journal 38 (2): 341-363.
116. Zahra SA,. 1996. Technology strategy and new venture performance: a study of corporate-sponsored and independent biotechnology ventures. Journal of Business Venturing 11 (4): 289-321. (Pubitemid 126164413)
117. Zahra SA, George G,. 2002a. Absorptive capacity: a review, reconceptualization, and extension. Academy of Management Review 27 (2): 185-203.
118. Zahra SA, George G,. 2002b. International entrepreneurship: the current status of the field and future research agenda. In Strategic Entrepreneurship: Creating an Integrated Mindset, Hitt M, Ireland D, Sexton D, Camp M, (eds). Blackwell: Oxford, UK; 255-288.
119. Zahra SA, Ireland RD, Hitt MA,. 2000. International expansion by new venture firms: international diversity, mode of market entry, technological learning, and performance. Academy of Management Journal 43 (5): 925-950.