Market entry of multinational companies in markets at the bottom of the pyramid: A learning perspective
2011; Elsevier BV; Volume: 21; Issue: 5 Linguagem: Inglês
10.1016/j.ibusrev.2011.09.007
ISSN1873-6149
AutoresTassilo Schuster, Dirk Holtbrügge,
Tópico(s)Entrepreneurship Studies and Influences
ResumoMultinational companies (MNCs) can play an important role in poverty alleviation. The international business literature, however, lacks theoretical insight and systematic empirical evidence of MNCs entering low-income markets. Therefore, this study sheds light on the questions: How MNCs enter low-income markets? How MNCs operate? And how they gain knowledge in these markets? Using a multiple case study approach, we analyze MNCs with business activities in low-income markets by taking recourse to the internationalization process model of Johanson and Vahlne. The results reveal that companies develop knowledge by enlarging their mode of market commitment to a new level that exceeds local manufacturing and production facilities.
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