Emerging market entry node pattern and experiential knowledge of small and medium-sized enterprises

• Purpose – To conceptualize “entry node”, to describe the entry node pattern (i.e. the initial entry node and changes in it) of SMEs entering emerging market business networks, and to determine how network nodes are associated with experiential knowledge.Design/methodology – Using data from an on-site survey based on a standardized questionnaire, hypotheses were tested using ANOVA on 197 SMEs in southern Sweden that entered the emerging markets of the Baltic States, Poland, Russia, or China. Findings – The entry node is the establishment point into a foreign market network. Four entry situations are defined – triad via home market, triad via host market, dyad from home market, and dyad at host market – each using different entry nodes. After initial entry, one third of the firms changed their nodes, primarily into a more committed node. Various nodes display significant differences in the level of accumulated societal, business network and customer-specific experiential knowledge. A more committed node is associated with more experiential knowledge. Research limitations – Knowledge is complex to measure, since various factors influence the level of accumulated experiential knowledge. This study examines the association between types of nodes and experiential knowledge, but does not aim to explain knowledge accumulation. Perceptual measures are used and possible method biases involved are safeguarded through an on-site survey method.Originality – This paper conceptualizes the novel concept of entry node, provides insight into the SME node pattern in emerging markets, and examines the association between nodes and experiential knowledge. 

Ämnesord

SAMHÄLLSVETENSKAP  -- Ekonomi och näringsliv -- Företagsekonomi (hsv//swe)

SOCIAL SCIENCES  -- Economics and Business -- Business Administration (hsv//eng)

Nyckelord

Internationalization

Networks

Small-to-medium-sized enterprises

Sweden

Emerging markets

Market entry

Entry node

Experiential knowledge

Företagsekonomi

Business administration

Marketing

Marknadsföring

Publikations- och innehållstyp

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