Purpose -This paper addresses the strategic orientations (entrepreneurial orientation, learning orientation, and market orientation) of rapidly internationalizing small software companies. Design/methodology/approach -The empirical analysis is based on an intensive investigation of ten small Finnish software companies that have exhibited rapid and proactive internationalization behavior. Findings -It is argued that the manifestations of the orientations evolve as the small company develops, and these concepts are thus strongly related to the internationalization process. Further, an entrepreneurial orientation, especially a strong desire to seek growth in international markets, must be embedded in the mindset of the rapidly internationalizing small company. However, It is argued that it does not have an effect on the success of the international venture if it is not combined with strong learning and market orientations. Research limitations/implications -This paper brings an evolutionary viewpoint to the existing academic debate of strategic orientations of companies. It is suggested that the current conceptualization of entrepreneurial orientation should be developed to include also measures of market orientation. Practical implications -It is suggested that the members of the management team of a small and global software company should not only possess a highly entrepreneurial mindset and previous experience of international operations, they should also show strong commitment to considering the customers the most important stakeholders of the company, and a willingness and ability to learn rapidly from all available information about global markets. Originality/value -This is the first qualitative investigation of the strategic orientations during the internationalization process of small companies.
Purpose -This paper aims to analyse the role of market orientation in the internationalisation of small software firms. Design/methodology/approach -The study combines qualitative case studies with quantitative data from the firms in question. Findings -Market orientation in the internationalisation of knowledge-intensive small firms consists of three elements: customer orientation, competitor orientation and value-network coordination. Achieving a successful balance between these elements will considerably smoothen the internationalisation process. Practical implications -The results of this study suggest that small companies should consider their market-oriented behaviour in line with their value network. The role of market orientation may also vary according to market-pull or technology-push conditions. Originality/value -This study is among the first empirical contributions to combine the internationalisation and market-orientation approaches in studying SMEs. It also contributes to achieving a better understanding of the market-orientation concept from the perspective of small high-technology firms.
Purpose -Mainly due to their size, SMEs in the ICT industry are often at a disadvantage in supplier evaluation and therefore in the MNC supplier selection process. This paper aims to illustrate how they have realised their weakness and have created innovative strategies for alleviating the uncertainties associated with SMEs and thus for overcoming these natural disadvantages. Design/methodology/approach -The method of analysis could best be described as multiple-comparative-case analysis. The authors have based the paper on existing literature, which is then assimilated into the analysis in the process of theory fulfilment and refinement. Findings -This paper offers both theoretical and managerial insight by showing that SMEs do not have to accept their weak position in supplier markets, and that they can change the status quo by adjusting their strategies. The findings show that innovative strategies potentially offset the disadvantages of supplier smallness in the ICT industry.Research limitations/implications -The authors chose a qualitative research method as it facilitates theory building and development in areas in which the extant theory seems inadequate or the phenomenon being examined is complex. Qualitative research also potentially enhances managerial knowledge by providing best-practice information. Practical implications -The authors provide insights that hopefully encourage SMEs in the ICT industry not to see their small size as weakness, but as a potential advantage in the form of increased responsiveness, flexibility, and service level compared to their larger rivals. However, to capitalise this advantage, the authors illustrate that SMEs in the industry should aim at increased focus on their core competences and simultaneously seek creative ways to remain competitive in the supplier markets. Originality/value -Strategies aimed at fighting disadvantages as such have been addressed by marketing scholars only to a limited extent. The originality of this paper lies in its focus on identifying strategies that are aimed at diminishing the strategic weakness of the company rather than those aimed at building strategic strength.
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