PROJECT DESCRIPTION
The duration of the research project is planned to be three years starting from September 2005. The research project is carried out jointly with Technology Business Research Center (TBRC) at Lappeenranta University of Technology (LUT), and Turku School of Economics (TSE).
As a general trend or increasingly as a simple fact of life, a number of knowledge-intensive firms aim to reach global markets rapidly and within a short time from their establishment. Existing research quite extensively covers the first phases of rapid internationalization as well as the drivers, drawbacks and challenges concerning a rather fast process of internationalization. Most researchers have reached the conclusion that a number of knowledge-intensive firms base their internationalization on networks and on different types of partnership. Also a number of extensive studies concerning the benefits and disadvantages of networking and inter-firm relationships have been carried out. However, from a research perspective, the period(s) following the first phases of an internationalization process have been given less attention. Furthermore, experiences of rapid internationalization, and of constructing and managing efficient networks, have thus far been very limited, and the number of Finnish companies that have established themselves in global markets remains small. Thus, it is still very unclear how the companies that have reached global markets have managed to stay and succeed there. From research, as well as from an entrepreneurial perspective, an essential question arises:
How do small knowledge-intensive companies that have undergone a rapid process of internationalization become stable, multinational companies that operate on a global scale?
Taking into account the needs of companies , the research project is built around the following primary objectives:
-
To clarify how a company can create, develop and maintain a successful business that is based on technology, know-how and partnerships in a global environment
-
To transfer the best practices of networking and international growth to knowledge-intensive companies in order to enhance their competitiveness and furthermore their ability to succeed
Due to the fact that the research project is conducted in close cooperation with a number of knowledge-intensive companies, the objectives set should also consider the businesses involved. The first and most important objective of the research project should be that it creates concurrent, high-quality information to assist in the strategic decision-making of a company operating globally in the ICT industry. Furthermore, the aim of this research project is to create concrete tools (e.g. tools to evaluate partnerships and product development procedures) in order for the company to operate and follow through along with the chosen strategy and to enhance its global activities.
The purpose of the research project is to conduct an extensive cross-scientific analysis of the entire operations of an internationally active company. As a result, the following benefits will be produced for the focus companies:
-
Increased awaraness of the topics in context with data collection
-
A company-specific case analysis including clear suggestions from each research perspective for enhancing the operations of the company
-
Comparing the companies in the research sample, which contains information about the productive operating methods/models of similar companies
-
Best practices – workbook in which the most efficient practices are well-defined
-
Process model derived from the research findings
-
Yearly seminars on the research findings
-
Follow-up of operations and reporting of changes
The results of this research project are applicable to the companies selected as development targets but also more generally to knowledge-intensive SMEs that can exploit best practices and learn from others’ mistakes. In addition, larger companies that constantly seek new potential partners can use the results of this project in their own networking efforts, especially in the field of managing relationships.
From the scientific perspective this project offers the possibility to fill an existing gap in the theory, that is, although the internationalization of knowledge-intensive companies has been under scrutiny in past years, growth after the first phases has remained unidentified. In terms of previous studies, we have gained understanding for instance on the following:
-
What are the factors behind rapid internationalization and international growth (market situation, technological development, communications, etc.)
-
What characteristics of a company work in favor of rapid internationalization (specialized products, management with international experience, etc.)
-
What kind of market entry strategies rapid internationalizers follow (several markets simultaneously, use of partnerships and networks, etc.)
|
