Market Entry of Multinational Companies in Markets at the Bottom of the Pyramid: A Learning Perspective

Creators: Schuster, Tassilo and Holtbrügge, Dirk
Title: Market Entry of Multinational Companies in Markets at the Bottom of the Pyramid: A Learning Perspective
Item Type: Article or issue of a publication series
Journal or Series Title: International Business Review : IBR
Page Range: pp. 817-830
Additional Information: Open Access
Date: 2012
Divisions: Wirtschaftswissenschaften
Abstract (ENG): Multinational 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.
Forthcoming: No
Language: English
Uncontrolled Keywords: Base of the pyramid ; Bottom of the pyramid ; Internationalization process model ; Learning perspective
Link eMedia: Download
Citation:

Schuster, Tassilo and Holtbrügge, Dirk (2012) Market Entry of Multinational Companies in Markets at the Bottom of the Pyramid: A Learning Perspective. International Business Review : IBR, 21 (5). pp. 817-830. ISSN 1873-6149

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