International Entrepreneurship: Managerial and Policy Implications

Published on Dec 1, 2009in Strategic Entrepreneurship Journal
· DOI :10.1002/sej.75
Douglas J. Cumming45
Estimated H-index: 45
(York University),
Harry J. Sapienza42
Estimated H-index: 42
(UMN: University of Minnesota)
+ 1 AuthorsMike Wright101
Estimated H-index: 101
(University of Nottingham)
This paper provides an overview of the literature on international entrepreneurship (henceforth, IE). In doing so, we adopt a broad perspective on IE, consistent with the notion that entrepreneurship refers to how opportunities to create future goods and services are discovered, evaluated and exploited (Venkataraman, 1997). After providing focused summaries of the papers included in the special issue, we outline a research agenda to improve our understanding of the determinants and outcomes of IE. We also highlight several methodological issues of particular importance to IE research.
  • References (94)
  • Citations (61)
📖 Papers frequently viewed together
2,623 Citations
2,257 Citations
1,052 Citations
78% of Scinapse members use related papers. After signing in, all features are FREE.
#1Shaker A. Zahra (GSU: Georgia State University)H-Index: 84
#2Gerard H. Gaynor (UW: University of Wisconsin-Madison)H-Index: 46
442 CitationsSource
#1Daniel P. Forbes (UMN: University of Minnesota)H-Index: 12
#2M. Audrey Korsgaard (USC: University of South Carolina)H-Index: 24
Last. Harry J. Sapienza (UMN: University of Minnesota)H-Index: 42
view all 3 authors...
Governance scholarship has suggested that venture boards should be structured so as to stimulate internal conflict. However, structure is a weak predictor of board effectiveness. Moreover, conflict can be dysfunctional, especially when it is focused on relationships rather than tasks. We show that venture boards experience more relationship conflict when they make financing decisions that involve devaluation of the venture and that this effect is moderated by whether the CEO is a founder. Our fi...
36 CitationsSource
#1Karl Wennberg (Imperial College London)H-Index: 22
#2Johan Wilklund (SU: Syracuse University)H-Index: 50
Last. Melissa S. Cardon (Pace University)H-Index: 21
view all 4 authors...
We develop a conceptual model of entrepreneurial exit which includes exit through liquidation and firm sale for both firms in financial distress and firms performing well. This represents four distinct exit routes. In developing the model, we complement the prevailing theoretical framework of exit as a utility-maximizing problem among entrepreneurs with prospect theory and its recent applications in liquidation of investment decisions. We empirically test the model using two Swedish databases wh...
245 CitationsSource
#1Akie Iriyama (UB: University at Buffalo)H-Index: 5
#2Yong Li (UB: University at Buffalo)H-Index: 14
Last. Ravi Madhavan (University of Pittsburgh)H-Index: 9
view all 3 authors...
We demonstrate a spiky globalization pattern in the cross-border spread of venture capital: rather than being uniformly distributed, cross-border venture capital flows are unevenly distributed, in that certain regions of the U.S. display particularly intense linkages with certain foreign nations. We posit that such spiky globalization of venture capital is driven by the spiky globalization pattern of prior human networks between locations, and provide empirical results supportive of our hypothes...
29 CitationsSource
#1Dawn R. DeTienne (CSU: Colorado State University)H-Index: 16
By demonstrating the importance of entrepreneurial exit to the entrepreneur, the firm, the industry, and the economy I contend that our understanding of the entrepreneurial process is incomplete without the inclusion of entrepreneurial exit. I define entrepreneurial exit and demonstrate how this conceptualization provides concepts that are unique from those addressed by researchers in other domains; thus outlining a space for it within the literature. In each phase of the entrepreneurial process...
245 CitationsSource
As barriers to globalization have steadily diminished, the number of entrepreneurial and noncommercial expatriates have grown from a trickle to a torrent. Much of what we know about expatriatism may not apply to this new breed of expatriates. A four-quadrant typology of expatriates draws attention to important differences in expatriate types. I make use of the notions of comparative fit and normative fit from self-categorization theory to validate the typology. Examining the experiences of 160 e...
8 CitationsSource
#1Philippe Mustar (ENSMP: Mines ParisTech)H-Index: 20
#2Mike Wright (University of Nottingham)H-Index: 101
This paper examines attempts by French and UK governments to fill the gap between the US and Europe with respect to the creation of academic spin-offs. Analysis of the contrasting cases of the UK and France, shows that there is no convergence of national policies to foster the creation of firms by academics. Rather, the two countries demonstrate different rationales and approaches to policy in this area. In UK, the rationale for spin-off policy is mainly to develop a third stream of financing. S...
101 CitationsSource
The "antidirector rights index" has been used as a measure of shareholder protection in over a hundred articles since it was introduced by La Porta et al. ("Law and Finance." 1998, Journal of Political Economy 106:1113--55). A thorough reexamination of the legal data, however, leads to corrections for thirty-three of the forty-six countries analyzed. The correlation between corrected and original values is only 0.53. Consequently, many empirical results established using the original index may n...
390 CitationsSource
#1Douglas J. Cumming (York University)H-Index: 45
#2Uwe Walz (Center for Financial Studies)H-Index: 19
To obtain more funds from the institutional investors, private equity (PE) fund managers may report inflated valuations of private investee companies that are not yet sold. However, such overvaluations may result in a reputational cost when those investments are realized. Using evidence from 39 countries, we show that there are significant systematic biases in managers' reporting of fund performance. We find that these biases depend on the accounting and legal environment in a country, and on pr...
288 CitationsSource
#1Douglas J. Cumming (York University)H-Index: 45
#2Daniel Schmidt (Goethe University Frankfurt)H-Index: 7
Last. Uwe Walz (Goethe University Frankfurt)H-Index: 19
view all 3 authors...
We analyze governance with a new dataset on investments of venture capitalists in 3848 portfolio firms in 39 countries from North and South America, Europe and Asia spanning 1971-2003. We provide evidence that cross-country differences in legality, including legal origin and accounting standards, have a significant impact on the governance structure of investments in the VC industry: better laws facilitate faster deal screening and deal origination, a higher probability of syndication and a lowe...
167 CitationsSource
Cited By61
International opportunity recognition (IOR) has been identified as being a critical process within international entrepreneurship (IE), as evidenced by the increase in the scholarly literature on the topic in the last 15 years. Despite the importance of a more rigorous approach to IOR studies, current knowledge concerning progress on this subject is scarce. The main objective of this study is to provide researchers with a better understanding of how research on IOR has evolved over the years. Th...
#1Marc Deloof (University of Antwerp)H-Index: 20
#2Yan Du (University of Antwerp)H-Index: 3
Last. Tom Vanacker (University of Exeter)H-Index: 14
view all 3 authors...
Research Question/Issue: This paper studies the relationship between country-level unemployment insurance and cash holdings of privately-held firms. When public unemployment insurance is weak, firms may provide alternative unemployment insurance by committing not to lay off workers in bad times. We hypothesize that one way firms can do so is by holding larger cash balances. Research Findings/Insights: Using a large sample covering 388,940 private firms from 32 countries around the world over the...
#1Naga Lakshmi Damaraju (SSU: Sonoma State University)
#2Jay B. Barney (UofU: University of Utah)H-Index: 58
Last. Gregory G. Dess (UTD: University of Texas at Dallas)H-Index: 39
view all 3 authors...
Stringent bankruptcy laws are generally understood to increase the costs of failure and thus not conducive for entrepreneurship. In this paper, theory is developed and tested exploring the moderati...
#1Elisabeth S.C. Berger (University of Hohenheim)H-Index: 7
#2Andreas Köhn (University of Hohenheim)H-Index: 2
Countries increasingly compete to host innovative start-ups to secure and promote economic growth. However, because start-ups seem to be valued differently across countries, both researchers and policymakers must understand the factors determining the variability of early-stage start-up valuations. This study therefore draws on institutional theory and conducts a fuzzy-set qualitative comparative analysis to analyze a sample of 1251 start-up valuations drawn from 13 countries between 2009 and 20...
#1Michael A. HittH-Index: 98
#2David G. SirmonH-Index: 24
Last. Kai XuH-Index: 8
view all 6 authors...
With primary and secondary data on 658 firms from 17 countries across three continents, we examine the combined influence of country-level institutions on industry attributes and in turn their effects on the choice of a defensive advantage-based strategy and an entrepreneurial strategy. We find that strong and efficient institutions constrain both dynamism and munificence in industries. In turn, industry dynamism has a negative effect on both entrepreneurial and advantage-based strategies. Howev...
1 CitationsSource
#1Annalisa Croce (Polytechnic University of Milan)H-Index: 13
#2José Martí Pellón (Complutense University of Madrid)H-Index: 10
Last. Carmelo Reverte (University of Cartagena)H-Index: 10
view all 3 authors...
We analyze whether young entrepreneurial ventures backed by different types of venture capital firms, i.e., private (PVCs) vs. government-owned (GOVCs), experience higher employment growth than a matched control group of non-venture-backed companies and whether this effect is particularly relevant in a period of crisis. We base our analyses on a sample of 384 Spanish early-stage VC-backed companies financed during the period 2005–2013 (173 GOVC-backed and 211 PVC-backed) and a control group of 8...
1 CitationsSource
#1Wesley Friske (MSU: Missouri State University)H-Index: 3
#2Miles A. Zachary (AU: Auburn University)H-Index: 9
Regulation is an important means by which policymakers address social costs. However, recent research suggests that managing social costs often comes at the expense of entrepreneurial activity. We explore this duality by extending resource-advantage theory to examine the effects of excise taxes, small business tax credits and exemptions, and sales restrictions on rates of new venture creation in the U.S. brewing industry. Our longitudinal analysis of state-level brewery regulations reveals that ...
1 CitationsSource
#1Farhad Uddin Ahmed (DCU: Dublin City University)H-Index: 1
#2Louis Brennan (Trinity College, Dublin)H-Index: 18
This study addresses the impact of the principal founder’s general and specific human capital factors on the extent of the internationalisation of early internationalising firms originating from a relatively low-tech and labour-intensive industry in a least-developed country. We engage in quantitative analysis using data drawn from the Bangladeshi apparel industry. Our results reveal direct and indirect effects of specific human capital factors on the extent of a firm’s early internationalisatio...
2 CitationsSource
#1Alice Civera (University of Bergamo)H-Index: 2
#2Michele Meoli (University of Bergamo)H-Index: 14
Last. Silvio Vismara (University of Bergamo)H-Index: 20
view all 3 authors...
Universities are key actors within the entrepreneurial ecosystems. A positive spillover of their knowledge creation and dissemination activity is the establishment of academic spinoffs. This study is one of the first to investigate the post-entry internationalization of academic spinoffs in terms of international sales. Adopting a conditional difference-in-differences approach, we matched a sample of 508 Italian academic spinoffs established between 1999 and 2014 with 404 comparable non-academic...
3 CitationsSource
2 CitationsSource