Critically evaluate the issues raised in the following quotation. In doing so, critically appraise the contemporary relevance of the Uppsala Model, and identify the key micro and macro-environmental factors that might affect an internationalization strategy. Use organizational examples to illustrate your argument.
“In today’s digitalized world it is difficult to accept that cost or access to information would be as great a challenge or constraint on internationalization as in the 1970s. In fact, access to knowledge may be one factor explaining the shortened time lag between firm inception and first international operations (e.g., Christensen1991). However, there is empirical evidence that easy access to market information does not guarantee smooth and successful entry to international markets. On the contrary, it may create the illusion of understanding the customer and/or the market and lead to failure in internationalization (Nummela et al.2016)”
Welch, C., Nummela, N. & Liesch, P. The Internationalization Process Model Revisited: An Agenda for Future Research.Manag Int Rev56,783–804 (2016).
Source:https://link.springer.com/article/10.1007/s11575-016-0302-y
Learning Outcomes
On successful completion of this assessment you should be able to:
1. Critically evaluate the interaction of political, economic, social, technological, legal and environmental factors and how they impact on international business.
4. Demonstrate an awareness of the complexities involved in carrying out operations across different cultures.
5. Critically evaluate the role and impact of international economic institutions, and their influence on business activity.
