• Title/Summary/Keyword: internationalization strategy

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The Effect of Early Listing and Slack Resources of Newly Public Firm on Internationalization: Based on Entrepreneurship (신규상장기업의 신속한 주식상장과 여유자원이 국제화에 미치는 영향)

  • Kim, Kihyun
    • Journal of Information Technology Applications and Management
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    • v.29 no.3
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    • pp.25-41
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    • 2022
  • While there exists voluminous literature on the internationalization of the firms, it has focused on mature firms or born-global firms. There is still a lack of research on firm that is in the growth stage between venture and mature firm. To fill this gap, this paper focuses on the newly public firm which is enter the stock market through initial public offerings (IPO). Specifically, I examine the relationship between the early listing and internationalization. In the venture firm aspect, the decision of the IPO necessary to allow to change organization structure, ownership and take a risk from environmental movements. This paper suggests early listing is a behavior of entrepreneur orientation. According to empirical results, there is a positive relationship between early listing and internationalization. It implies that early listing may help international expansion by sourcing finance, reputations from market. Furthermore, this study emphasizes the importance of financial slack resources to international expansion. I conclude that ventures need not only early entering in stock market but also securing sufficient financial slack resources to achieve sustainable growth in the international market.

A Study on the Born Global Venture Corporation's Characteristics and Performance ('본글로벌(born global)전략'을 추구하는 벤처기업의 특성과 성과에 관한 연구)

  • Kim, Hyung-Jun;Jung, Duk-Hwa
    • Journal of Global Scholars of Marketing Science
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    • v.17 no.3
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    • pp.39-59
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    • 2007
  • The international involvement of a firm has been described as a gradual development process "a process in which the enterprise gradually increases its international involvement in many studies. This process evolves in the interplay between the development of knowledge about foreign markets and operations on one hand and increasing commitment of resources to foreign markets on the other." On the basis of Uppsala internationalization model, many studies strengthen strong theoretical and empirical support. According to the predictions of the classic stages theory, the internationalization process of firms have been recognized and characterized gradual evolution to foreign markets, so called stage theory: indirect & direct export, strategic alliance and foreign direct investment. However, termed "international new ventures" (McDougall, Shane, and Oviatt 1994), "born globals" (Knight 1997; Knight and Cavusgil 1996; Madsen and Servais 1997), "instant internationals" (Preece, Miles, and Baetz 1999), or "global startups" (Oviatt and McDougall 1994) have been used and come into spotlight in internationalization study of technology intensity venture companies. Recent researches focused on venture company have suggested the phenomenons of 'born global' firms as a contradiction to the stages theory. Especially the article by Oviatt and McDougall threw the spotlight on international entrepreneurs, on international new ventures, and on their importance in the globalising world economy. Since venture companies have, by definition. lack of economies of scale, lack of resources (financial and knowledge), and aversion to risk taking, they have a difficulty in expanding their market to abroad and pursue internalization gradually and step by step. However many venture companies have pursued 'Born Global Strategy', which is different from process strategy, because corporate's environment has been rapidly changing to globalization. The existing studies investigate that (1) why the ventures enter into overseas market in those early stage, even in infancy, (2) what make the different international strategy among ventures and the born global strategy is better to the infant ventures. However, as for venture's performance(growth and profitability), the existing results do not correspond each other. They also, don't include marketing strategy (differentiation, low price, market breadth and market pioneer) that is important factors in studying of BGV's performance. In this paper I aim to delineate the appearance of international new ventures and the phenomenons of venture companies' internationalization strategy. In order to verify research problems, I develop a resource-based model and marketing strategies for analyzing the effects of the born global venture firms. In this paper, I suggested 3 research problems. First, do the korean venture companies take some advantages in the aspects of corporate's performances (growth, profitability and overall market performances) when they pursue internationalization from inception? Second, do the korean BGV have firm specific assets (foreign experiences, foreign orientation, organizational absorptive capacity)? Third, What are the marketing strategies of korean BGV and is it different from others? Under these problems, I test then (1) whether the BGV that a firm started its internationalization activity almost from inception, has more intangible resources(foreign experience of corporate members, foreign orientation, technological competences and absorptive capacity) than any other venture firms(Non_BGV) and (2) also whether the BGV's marketing strategies-differentiation, low price, market diversification and preemption strategy are different from Non_BGV. Above all, the main purpose of this research is that results achieved by BGV are indeed better than those obtained by Non_BGV firms with respect to firm's growth rate and efficiency. To do this research, I surveyed venture companies located in Seoul and Deajeon in Korea during November to December, 2005. I gather the data from 200 venture companies and then selected 84 samples, which have been founded during 1999${\sim}$2000. To compare BGV's characteristics with those of Non_BGV, I also had to classify BGV by export intensity over 50% among five or six aged venture firms. Many other researches tried to classify BGV and Non_BGV, but there were various criterion as many as researchers studied on this topic. Some of them use time gap, which is time difference of establishment and it's first internationalization experience and others use export intensity, ration of export sales amount divided by total sales amount. Although using a mixed criterion of prior research in my case, I do think this kinds of criterion is subjective and arbitrary rather than objective, so I do mention my research has some critical limitation in the classification of BGV and Non_BGV. The first purpose of research is the test of difference of performance between BGV and Non_BGV. As a result of t-test, the research show that there are statistically efficient difference not only in the growth rate (sales growth rate compared to competitors and 3 years averaged sales growth rate) but also in general market performance of BGV. But in case of profitability performance, the hypothesis that is BGV is more profit (return on investment(ROI) compared to competitors and 3 years averaged ROI) than Non-BGV was not supported. From these results, this paper concludes that BGV grows rapidly and gets a high market performance (in aspect of market share and customer loyalty) but there is no profitability difference between BGV and Non_BGV. The second result is that BGV have more absorptive capacity especially, knowledge competence, and entrepreneur's international experience than Non_BGV. And this paper also found BGV search for product differentiation, exemption strategy and market diversification strategy while Non_BGV search for low price strategy. These results have never been dealt with other existing studies. This research has some limitations. First limitation is concerned about the definition of BGV, as I mentioned above. Conceptually speaking, BGV is defined as company pursue internationalization from inception, but in empirical study, it's very difficult to classify between BGV and Non_BGV. I tried to classify on the basis of time difference and export intensity, this criterions are so subjective and arbitrary that the results are not robust if the criterion were changed. Second limitation is concerned about sample used in this research. I surveyed venture companies just located in Seoul and Daejeon and also use only 84 samples which more or less provoke sample bias problem and generalization of results. I think the more following studies that focus on ventures located in other region, the better to verify the results of this paper.

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A Global Korean Networking Strategy for Tourism-related Firms' Internationalization (관광관련기업의 국제화를 위한 글로벌 코리안 네트워킹 전략)

  • Kim, Min-Sook;Bang, Ho-Yeol
    • International Commerce and Information Review
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    • v.14 no.2
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    • pp.55-79
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    • 2012
  • The previous studies based on a resource-based view of firm highlighted the role of resources within a firm in creating and sustaining competitive advantage. Recent research, however, the relational view points to the importance of inter-firm sources(or relational capital) in creating firm competitiveness. In international business field, the studies on born-global firms also states that when firms are lack of ownership-specific advantages in their internationalization process, they resort to the external partners and social networks to complement their resource scarcity. By adopting the relational view and born-global firms concept, a network-based approach needs to be applied to explain the international strategy of Korean service firms. This is because most of Korean service firms own less ownership-specific advantages than global competitors. This study proposes Korean firms' global network building and exploiting strategy to enhance their international stages of development. The network, for example, Global Korean Tourism Network, enables network members access to the valuable resources and capabilities they are lack of when undergoing internationalization process. This study's contribution is along two dimension. First, even global Korean network is emerging as a major issue in recent years, we could not figure out how to build global Korean network for service firms. This studies gives an answer. Second, we derived what benefits can be gained from the network if Global Korean Tourism Network is developed for hotel, tourism, convention firms' internationalization.

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East Asian Journal of Business Economics and Development Strategy

  • KIM, Byoung-Goo;YOUN, Myoung-Kil
    • Journal of Research and Publication Ethics
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    • v.2 no.2
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    • pp.17-20
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    • 2021
  • Purpose: This paper is to review and analyze development strategy of the East Asian Journal of Business Economics and to look at the previous and current changed publication system and process in order to step up the article quality of EAJBE. Research design, data and methodology: This study grasped the current status and strategy of this journal through literature review. In addition, through the case of EAJBE, the internationalization strategy and research ethics policy of this journal were analyzed. Results: EAJBE clarifies the copyright delegation procedure of the final publication paper. Regarding compliance with research ethics, Editor-in-Chief and Management Editor are completing research ethics training. From 2017 to the present, Editor-in-Chief and Management Editor have completed online ethics training and hold certificates of completion. Conclusions: EAJBE specifies the rules for exclusion of examination by the contributor and the examiner belonging to the same institution and actually operates in this way. Currently, by using the Jams system, the plagiarism verification procedure is operated using the thesis plagiarism prevention system. Finally, in order to strengthen research ethics standards, EAJBE is trying to establish and strengthen a verification system for each paper using the system of the Korea Research Foundation, not the previous foreign paid plagiarism system.

The International Development Strategy of Les Enphants Roots in China Market

  • Huang, Shu-Tzu;Cho, Hsin-Ying;Hsu, Yin-Chieh
    • International Journal of Costume and Fashion
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    • v.14 no.1
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    • pp.75-93
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    • 2014
  • Facing a mature domestic market and the challenges of the global consumer market, retailers in Taiwan are in pursuit of international development strategies for increasing its market opportunities as one of its key growth strategies. In the global market, the Chinese market becomes Taiwan retailers' main international development milestone due to its similarity of language, culture and historical background with China. Therefore, this research uses case study method based on Eclectic paradigm (Dunning 1981) to explore the various advantages of a Taiwanese children's clothing retailer Les Enphants, which include ownership advantage, internalization advantage, and location advantage. These advantages in turn demonstrate rationales behind Les Enphants' internationalization necessity (Why to Go), selecting China as an expansion target (Where to Go), and management and operation strategies implemented in China (How to Go). Our study highlights a successful entry and expansion model of the Taiwanese children clothing retailer, and may have solid contribution to the practical application of internationalization strategy theory.

KCI Candidate Review Assessment and internationalization strategy by JEMM(The Journal of Economics, Marketing, and Management) of The International Convergence Management Association

  • Kim, Taejoong
    • The Journal of Economics, Marketing and Management
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    • v.5 no.2
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    • pp.40-42
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    • 2017
  • The purpose of this study was to review and analyze JEMM(The Journal of Economics, Marketing, and Management) of ICMA(The International Convergence Management Association) and all of published articles of 2013 to 2016 and to revise and update the existing publication strategies in order to improve the internationalization and reputation of JEMM. JEMM of ICMA is a new academic journal of Korea Distribution Science Association(KODISA). It is still in its early stage as it is founded in 2013 as an academic journal to increase an recognition through KCI Candidate application under National Research Foundation of Korea(NRF). It endeavors its efforts to be recognized as a reputable international journal. This study was conducted to confirm the current status of JEMM in the current standards and to establish a strategic process to complement the deficiencies and achieve the goals. JEMM of ICMA has three distinguished features of online submission and review system, only English-based papering, reviewing by anonymous refrees. JEMM of ICMA continuously revised and updated its publication standards and practices and adopted technological support systems to enable its journals to remain independent and open access in order to ultimately become one of the most international journals.

The Management Strategy Behind Achieving Internationalization Through Twinning Programs - Focused on the South Korean Maritime Universities - (트위닝을 활용한 국제화 경영전략 - 한국의 해양대학교를 중점으로 -)

  • Pyo, Hyun-Young
    • Journal of the Korean Society of Marine Environment & Safety
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    • v.24 no.1
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    • pp.68-77
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    • 2018
  • South Korean universities have the common prevalent problem of significantly declining student populations. This study aims to explore the management strategy behind how the two South Korean maritime universities (Korea Maritime and Ocean University (KMOU) and Mokpo National Maritime University (MMU)) in particular, can solve the above problem by achieving internationalization through Twinning programs, taking advantage of their specialties in shipping and shipbuilding to export South Korean maritime education overseas. Twinning programs will also allow the universities to achieve the internationalization of their management, the globalization of their students, and the strengthening of the international competitiveness of the South Korean maritime industry. To achieve the above aim, this study will conduct a literature review on the internationalization background of general domestic and foreign universities. This study will also try to grasp the reality of, the obstacles to, and the factors that will accelerate the internationalization of the South Korean maritime universities. Finally, this study will research and propose directions the South Korean maritime universities can take to achieve pragmatic internationalization that comply with the current law on the export of higher education. This will be done by exploring the current status and trend of other universities' attraction of foreign international students, the legal feasibility and activation measures of the co-operation of curricula, and the researcher's own experiences.

Study on Activation Strategy of Education System through the Case of Railroad e-Learning Inside And Outside of Korea (국내외 철도 e-learning 현황조사를 통한 교육시스템 개선방안 연구)

  • Lee, Tai-Sik;Park, Kyung-Soon;Park, Eun-Soo
    • Proceedings of the KSR Conference
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    • 2006.11b
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    • pp.1146-1151
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    • 2006
  • The railway industry came at specialization of railway, high speedization and internationalization age recently. For this national railway technology competitive power of improve and need human strength training through special and expansive railway education that can meet in change. Also, request about professional manpower of other wide field by internationalization beside existing railway major person, pointed end anger is judged to be increased. Will present education system improvement way that can grope activation of education for specialization and internationalization of railway human strength through research of railway e-learning education in this research.

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The Static and Dynamic Growth Patterns of High-Tech Ventures in Korea

  • Park, Sangmoon;Bae, Zong-Tae
    • Proceedings of the Korean Operations and Management Science Society Conference
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    • 2001.10a
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    • pp.233-236
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    • 2001
  • This study explores on the static and dynamic growth patterns of high-tech ventures in Korea. We developed an integrative framework with target market (local vs. global), product/market maturity (existing vs. emerging), and technological capability (follower vs. pioneer). We also identified seven new ventures strategies as follows: i) reactive imitation, ii) proactive localization, iii) import substitution, iv) creative imitation, v) early market-entry, vi) global niche, and vii) global innovation. With five successful Korean new ventures, we found different competitive behaviors and performance among new venture strategic types. This study also observed two different growth patterns: growth through strategic replication and growth through strategic change. It depends on whether they are pursuing similar strategy over time or different strategy within for growth. In addition, we found that creative imitation plays a stepping-stone role in two-step internationalization processes. Although this study is exploratory and needs more empirical studies, it can provide new ventures with meaningful guidelines for growth and internationalization with a dynamic perspective.

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The External Knowledge Utilization and Radical Innovation in Korea Electronic Industry

  • Lee, Youngwoo;Kim, Jae-Jin;Chang, Sul-Ki
    • East Asian Journal of Business Economics (EAJBE)
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    • v.6 no.4
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    • pp.13-24
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    • 2018
  • Purpose - This study investigates the moderation effect of internal factor, a firms size, on the external knowledge sourcing strategy and its effectiveness in generating radical innovation. We incorporate concepts of breadth and depth as two measures to gauge the degree of openness in firms external search Research design and methodology - The dependent variable in the regression model is the percentage of innovative sales and therefore, Tobit regression is employed for estimating significant factors affecting on the ratio of first-to-market by breadth and depth in external knowledge, internationalization, and size. Results - The results show that the external knowledge, in terms of both breadth and depth, has a positive relationship with radical innovation. However internationalization as external knowledge resources is not statistically accepted. Firm size has moderating effect on innovation negatively only in case of using external knowledge resources to a high degree. Conclusions - Firms obtain external information mostly from customers, competitors, and suppliers etc. empirical knowledge in terms of scope and intensity is an important contributor to innovation. And intensity use of external knowledge and information resources can work in favor of smaller firms rather than larger ones. Internationalization seems to have little effect on innovation but it requires further researches with clear criteria and more data.