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The non-internationalization of East Asian start-ups: the role of resources, strategies and context


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    The non-internationalization of East Asian start-ups: the role of resources, strategies and context

    December 12, 2022

    Martin Hemmert, Korea University/DIJ Tokyo

    Western-based research on international new ventures suggests that start-ups are able to internationalize more easily than other types of firms, particularly in globally connected technology-intensive industries. This study of 40 IT start-ups in China, Korea and Japan revealed that most of these firms do not internationalize successfully. The talk identified a variety of factors that deter East Asian start-ups from internationalizing, including large domestic markets, general resource and capability shortages, insufficient international market knowledge, international adaptation costs, and non-supportive home and host country policies. Findings suggested that start-ups in East Asia may not necessarily face lower internationalization barriers than established firms.

    Martin Hemmert is Professor of International Business at Korea University in Seoul. His research focuses on international comparative studies of management systems, innovation systems and entrepreneurial ecosystems, organizational boundaries of firms and inter-organizational research collaborations, with a focus on East Asian countries. He has published seven books and more than 40 articles in international peer reviewed journals such as the Journal of Product Innovation Management, Research Policy, Technovation, Journal of World Business and International Business Review. He is currently Scholar in Residence at the DIJ.