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Strategic agility, internationalisation speed and international success — The role of coordination mechanisms and growth modes

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  • Demir, Robert
  • Campopiano, Giovanna
  • Kruckenhauser, Christian
  • Bauer, Florian

Abstract

This study advances the debate on the global integration–local responsiveness imperative and theorises the contingency effects of vertical and horizontal coordination mechanisms to unfold the benefits of strategic agility and internationalisation speed. We offer a comprehensive picture arguing that strategic agility and internationalisation speed affect firms' growth mode choices in pursuit of internationalisation, and highlight the advantages and disadvantages of network-based and acquisitive growth modes that ultimately influence international success. Using data from British, German, Austrian, Swiss and Malaysian small and medium-sized firms, we find some surprising results. In contrast to prior studies, we find that strategic agility and internationalisation speed are inseparable in pursuit of international success. However, our study shows that while both are necessary, they are insufficient both alone and combined — they require different coordination mechanisms, namely strategic intent and horizontal coordination, and trigger different growth mode choices to internationalise. Combined, our findings suggest that firms need to orchestrate conflicting demands with respect to the dual global integration–local responsiveness imperative.

Suggested Citation

  • Demir, Robert & Campopiano, Giovanna & Kruckenhauser, Christian & Bauer, Florian, 2021. "Strategic agility, internationalisation speed and international success — The role of coordination mechanisms and growth modes," Journal of International Management, Elsevier, vol. 27(1).
    • Handle: RePEc:eee:intman:v:27:y:2021:i:1:s1075425321000181
    DOI: 10.1016/j.intman.2021.100838
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