From outsider to insider: Opportunity development in foreign market networks

Blankenburg Holm, Desirée,Docent,1962-Uppsala universitet,Företagsekonomiska institutionen (author)

By applying the network position concept, we untangle the firm's recognition and exploitation of opportunities during the internationalisation process. We view the transition of network position from outsidership to insidership, in terms of the strength and number of relationships in the foreign market network. Departing from the revised Uppsala model, we argue that opportunity development in the business network consists of recognition and exploitation. Path dependence impacts how a firm exploits opportunity in the network as well as the next opportunity to be recognised, as they are contingent on the network position. Four opportunities are identified from a historical case study of Elekta, a Swedish medical device manufacturer that entered China between 1980 and 2010. We analyse the initial network position of the firm, its opportunity recognition and exploitation, and the network position of the firm in return. Based on the cases we demonstrate that outsidership tends to lead to discovery, while insidership results in creation. The insidership enables direct and indirect relationships, which are involved in the exploitation of the opportunity.

Johanson, MartinUppsala universitet,Mittuniversitetet,Avdelningen för ekonomivetenskap och juridik,Department of Business Studies, Uppsala University, Sweden,Företagsekonomiska institutionen(Swepub:uu)mjo22631 (author)
Kao, Pao T.,1973-Uppsala universitet,Företagsekonomiska institutionen,International Business(Swepub:uu)paoka888 (author)
Uppsala universitetFöretagsekonomiska institutionen (creator_code:org_t)

In:Journal of International Entrepreneurship: Springer Science and Business Media LLC13:3, s. 337-3591570-73851573-7349

By the author/editor: Blankenburg Holm ...; Johanson, Martin; Kao, Pao T., 197 ...

About the subject

SOCIAL SCIENCES: SOCIAL SCIENCES; and Economics and Bu ...; and Business Adminis ...

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