Influence of Diaspora and Civil Society Actors on the Internationalisation of MNEs in Emerging Market

Multinational enterprises (MNE) are viewed as proactive global economic actors that enter new and emerging markets with an intentional strategy, building on their inherent resources and firm-specific advantages. However, there are numerous actors involved at market entry-level who may constitute thresholds for the entry. Emerging markets tend to possess complex institutional contexts and thus may incorporate idiographic entry challenges. Our study presents two under-examined types of stakeholders as distinct actors related to emerging market entry process: diaspora and civil society. We illustrate how did these actors influence the creation of international new venture (INV) i.e. Grameenphone in Bangladesh and the respective internationalization process? The embedded case study analyses and describes the stages of development, how Norwegian Telenor, American Gonophone, Japanese Marubini and Bangladeshi Grameen Bank created an INV named Grameenphone in Bangladesh, and how diaspora and civil society actors formed the primus motor and organizational capability base for this establishment and internationalization process, – which would not have happened without their market driving and enabling influence. The findings illustrate the central role of diaspora related innovation, motivation, knowledge, network and funding that supported this emerging market INV development. The study contributes to internationalization research, transnational diaspora entrepreneurship and civil society research discovering their impact as necessary organizational capability for market entry.