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Reducing Uncertainty in the Emerging Market Entry Process: On the Relationship Among International Experiential Knowledge, Institutional Distance, and Uncertainty
Linnaeus University, Faculty of Business, Economics and Design, Linnaeus School of Business and Economics.ORCID iD: 0000-0003-4925-8937
Linnaeus University, Faculty of Business, Economics and Design, Linnaeus School of Business and Economics.
2012 (English)In: Journal of International Marketing, ISSN 1069-031X, E-ISSN 1547-7215, Vol. 20, no 4, 96-110 p.Article in journal (Refereed) Published
Abstract [en]

In three institutional environments, this study examines the uncertainty-reducing effects of experiential knowledge of varying specificity in the market entry process. The goal of the study is to answer the research question: What is the uncertainty-reducing effect of experiential knowledge of varying specificity in markets with different institutional distances from a firm's home base? The authors develop a theoretical model using the most recent developments in internationalization process theory. They test the model with a data set collected on-site at 203 small and medium-sized enterprises with entry experience into the new Eastern European Union member-states, Russia and China. The analysis shows no support for the claim that internationalization knowledge reduces uncertainty in the market entry process. Rather, the analysis reveals that societal knowledge of the entering firm has an uncertainty-reducing effect in markets that are relatively less distant from its home market. The analysis also shows that international experiential knowledge of high specificity, an important type of marketing knowledge, provides the greatest uncertainty-reducing effect.

Place, publisher, year, edition, pages
2012. Vol. 20, no 4, 96-110 p.
Keyword [en]
experiential knowledge, uncertainty, entry process, emerging market
National Category
Business Administration
Research subject
Economy, Marketing; Economy, Business administration
Identifiers
URN: urn:nbn:se:lnu:diva-23365ISI: 000311877800005OAI: oai:DiVA.org:lnu-23365DiVA: diva2:584663
Available from: 2013-01-09 Created: 2013-01-09 Last updated: 2017-02-17Bibliographically approved

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CiteExportLink to record
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Citation style
  • apa
  • harvard1
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  • vancouver
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  • de-DE
  • en-GB
  • en-US
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  • nn-NB
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  • Other locale
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