When is too little not too late? Evidence from de-internationalizations of small high-technology firms

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Abstract

This paper introduces the concept of point of no return to explain various change options entrepreneurs might pursue when the attainment of firm international objectives and international growth strategy becomes uncertain. We distinguish between two types of points of no return: real and false. When in the area of the real point of no return, the appropriate strategy for small firms would be to cocoon. To successfully cocoon, a firm would require having a minimum safety net, referred to as a withstanding gestalt. Agility and escalation of commitment have emerged as the two major behavioural factors that discriminate between success and failure.
Original languageEnglish
Title of host publicationSocial Innovation for Competitiveness, Organizational Performance and Human Excellence
PublisherUniversity of Rotterdam, Erasmus Unviersity
Publication date6 Jun 2012
Publication statusPublished - 6 Jun 2012
EventEURAM 12th Conference - Erasmus University, Rotterdam, Netherlands
Duration: 6 Jun 20129 Jun 2012

Conference

ConferenceEURAM 12th Conference
LocationErasmus University
CountryNetherlands
CityRotterdam
Period06/06/201209/06/2012

Keywords

  • De-internationalisation
  • small high-technology firms
  • Critical incidents technique
  • Theory building
  • Point of no return

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