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A multidimensional concept of uncertainty and its influence on the entry mode choice: An empirical analysis in the service sector

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  • Sanchez-Peinado, Esther
  • Pla-Barber, Jose
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    Abstract

    To date there is limited empirical evidence as to how the nature of uncertainty determines the mode of entry into international markets. The aim of this work is to further analyse this relationship by presenting a multidimensional concept of uncertainty within the context of the service sector. Given the complexity and heterogeneity of this sector, we propose that uncertainty influences the choice of entry mode, but that the choice patterns may be different according to the type of service. From a sample of 328 decisions of entry into international markets, this study identifies differences in entry mode choice patterns between capital intensive service firms and knowledge intensive service firms.

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    Bibliographic Info

    Article provided by Elsevier in its journal International Business Review.

    Volume (Year): 15 (2006)
    Issue (Month): 3 (June)
    Pages: 215-232

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    Handle: RePEc:eee:iburev:v:15:y:2006:i:3:p:215-232

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    Related research

    Keywords: Internationalisation Uncertainty Entry modes Knowledge intensive services and capital intensive services;

    References

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    Cited by:
    1. Love, James H. & Ganotakis, Panagiotis, 2013. "Learning by exporting: Lessons from high-technology SMEs," International Business Review, Elsevier, vol. 22(1), pages 1-17.
    2. Curwen, Peter & Whalley, Jason, 2006. "Measuring internationalisation in the mobile telecommunications industry," International Business Review, Elsevier, vol. 15(6), pages 660-681, December.
    3. Buckley, Peter J., 2011. "The theory of international business pre-Hymer," Journal of World Business, Elsevier, vol. 46(1), pages 61-73, January.
    4. Jell-Ojobor, Maria & Windsperger, Josef, 2014. "The Choice of Governance Modes of International Franchise Firms — Development of an Integrative Model," Journal of International Management, Elsevier, vol. 20(2), pages 153-187.
    5. Canabal, Anne & White III, George O., 2008. "Entry mode research: Past and future," International Business Review, Elsevier, vol. 17(3), pages 267-284, June.
    6. Li, Jing & Rugman, Alan M., 2007. "Real options and the theory of foreign direct investment," International Business Review, Elsevier, vol. 16(6), pages 687-712, December.
    7. Jack, Robert & As-Saber, Sharif & Edwards, Ron & Buckley, Peter, 2008. "The role of service embeddedness in the internationalisation process of manufacturing firms," International Business Review, Elsevier, vol. 17(4), pages 442-451, August.
    8. Love, James H. & Mansury, Mica Ariana, 2009. "Exporting and productivity in business services: Evidence from the United States," International Business Review, Elsevier, vol. 18(6), pages 630-642, December.
    9. Jópez Milla Julián & Driha Oana Madalina, 2009. "Spanish Hotel International Expansion: Evolution And Tendency. The Role Of Eastern Europe," Annals of Faculty of Economics, University of Oradea, Faculty of Economics, vol. 1(1), pages 181-187, May.

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