International business opportunity recognition and development. Issue 3 (19th November 2021)

• Record Type: Journal Article
• Authors: Di Gregorio, Dante; Musteen, Martina Claasen; Thomas, Douglas
• Is Part Of: International journal of entrepreneurial behaviour & research. Volume 28:Issue 3(2022)
• Page Start: 628
• Page End: 653
• Publication Date: 2021-11-19
• Subjects: International entrepreneurship -- International business opportunities -- Opportunity recognition -- Opportunity development -- Entrepreneurial judgment -- Social networks; Entrepreneurship -- Periodicals; Small business -- Periodicals; 338.04
• DOI: 10.1108/IJEBR-03-2021-0227
• Languages: English
• ISSNs: 1355-2554

Abstract

Abstract : Purpose: Understanding how international business opportunities (IBOs) are recognized and developed is critical to the study of international entrepreneurship. Design/methodology/approach: We draw on entrepreneurial cognition research broadly and the entrepreneurial judgment perspective specifically to develop a model of the recognition and development of IBOs by considering three theoretically important sets of drivers – social networks, international experience and a proactive mindset. We use a sample of 92 small- and medium-sized enterprises (SMEs) to test the model empirically. Findings: We find robust support. Entrepreneurial judgment surrounding IBOs and uncertain international business environments entails tapping social networks, international experience and a proactive mindset to both recognize third-person opportunities for someone as well as to act upon and develop IBOs as first-person opportunities from which a focal firm can profit. Originality/value: Conceptually and empirically, we peer inside the black box of IBO entrepreneurial judgment processes by jointly evaluating the abstract recognition of third-person opportunities as well as the concrete actions and interactions that develop the IBOs into first-person opportunities.