Purpose This study aims to explore critical success factors contributing to the selection of beneficial foreign markets by Arabian international firms. Design/methodology/approach Multiple case study method was adopted in the study, and thus, two rich-information comparative case studies were purposefully selected from Arabian large firms. Additionally, seven international market selection (IMS) decisions were examined through relying on personal interviews and archival data, and field notes as secondary data resources. Two main stages of analysis were undertaken, i.e. within and cross-case analyses. Findings The results showed four critical factors contributing to the selection of beneficial international markets by Arabian firms, i.e. international business experience of the selected management team, the market knowledge about the potential international markets, in-house and external consultations with international business experts and identification of a trustworthy and internationally experienced manager for the international operation. Practical implications The results have important implications to business managers by improving their foreign market selection behavior. Further, the research’s findings can assist less-experienced firms, willing to internationalize their businesses, in enhancing their decision-making process to arrive at beneficial country for their international operations. Originally/value The research findings provide significant theoretical contribution to literature review on the internationalization process of firms through addressing critical success factors in IMS decision process. Further, it provides significant methodological contributions in relation to the effectiveness of the case study approach in capturing elements of the IMS process.

Abstract:This exploratory investigation aims to develop a managerial decision model that assist international firms and investors in selecting the right valuable foreign country for their international operations. Two comparative and rich-information case studies were purposefully selected from among Arabian large firms. Additionally, six international investment decisions were investigated within these two cases and data were collected by in-depth interviews, follow-up interviews and questionnaire instrument. Within and cross-case analyses were undertaken in the current investigation. The findings demonstrated that a methodical and international experience-based strategic decision-making process was adopted to attain a profitable foreign country choice. The decision process comprised five critical managerial phases; that is, (1) analysis of internationalization drivers, (2) searching and development of location determinants and country alternatives, (3) obtaining adequate and related-information about potential countries, and, ultimately, assessment for these alternatives, (4) selection of a final beneficial foreign country choice, and, finally, (5) effective implementation of the selected country choice. The research findings provide theoretical and practical implications to the internationalization of firms as well as international investment. Further, it provides significant methodological contributions to international business research in relation to an effective multiple case study approach to capture elements of the international market selection process.