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Theories Of Internationalization In International Business

1140 Words5 Pages

The theories and study of multinational corporations (MNCs) evolution and expansion (the internationalisation process) have been a prominent aspect in the international business (IB) studies. The empirical studies that have led to the development of MNCs internationalisation theories were based on the perspectives and firms’ from advanced economy in Europe, USA and Japan. Therefore, it is not surprising to see how this reflects on the behaviour of firms’ from these economies. While MNCs from advanced economy had dominated the IB study internationalisation process firms’ from emerging markets (EMs) had received less attention in the IB research especially in terms of their evolution when compared to firms from advanced economies. To some scholars, the internationalisation process is how a business spreads locally and between countries both regionally and globally (Jansson, 2009:48). While internationalisation is the methodological approach or steps which an organisation takes to engage in business activities abroad in order to build required resources and become major players on the global stage (Jansson, 2009; Johanson & Vahlne, 1977; Meyer & Thaijongrak, 2013). Despite the understanding of firms’ internationalisation process, a critical observation of extant literature reflects that advanced economy firms’ and few of the large emerging markets multinationals (EMNCs) from Brazil, Russia, India and China (BRICs) had dominated the study of MNCs internationalisation in the

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