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Five Configurations of Opportunism in International Market Entry

Author

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  • Alain Verbeke
  • Luciano Ciravegna
  • Luis E. Lopez
  • Sumit K. Kundu

Abstract

We investigate the conditions under which opportunism occurs in international market entry. Examining 133 entries into new markets by 38 Chinese exporters, we uncover instances of opportunistic behaviour on the part of importers. We study five variables affecting such behaviour: managerial experience, market entry share; market distance, young age, and network size. While we find no single variable on its own associated with opportunism, we do find that in concert they form five configurations of opportunism. In one configuration, even older firms with experienced managers and a large network are subject to partners behaving opportunistically when they are entering a distant market. We conclude that simplistic predictions based on the presence of a single antecedent should make way for a configurational approach whereby a set of conditions must be in place for opportunism to materialize.

Suggested Citation

  • Alain Verbeke & Luciano Ciravegna & Luis E. Lopez & Sumit K. Kundu, 2019. "Five Configurations of Opportunism in International Market Entry," Journal of Management Studies, Wiley Blackwell, vol. 56(7), pages 1287-1313, November.
    • Handle: RePEc:bla:jomstd:v:56:y:2019:i:7:p:1287-1313
    DOI: 10.1111/joms.12355
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    Cited by:

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    5. Yanjie Wu & Sujuan Wang, 2021. "Sustainable Market Entry Strategy under a Supply Chain Environment," Sustainability, MDPI, vol. 13(6), pages 1-15, March.
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    9. Nidthida Lin, 2020. "Designing Global Sourcing Strategy for Cost Savings and Innovation: A Configurational Approach," Management International Review, Springer, vol. 60(5), pages 723-753, October.
    10. Selma Kadic-Maglajlic & Claude Obadia & Irena Vida & Matthew J. Robson, 2023. "Moral Categorization of Opportunists in Cross-Border Interfirm Relationships," Journal of Business Ethics, Springer, vol. 188(2), pages 221-238, November.
    11. Sven Dahms & Suthikorn Kingkaew & Eddy Ng, 2022. "The Effects of Top Management Team National Diversity and Institutional Uncertainty on Subsidiary CSR Focus," Journal of Business Ethics, Springer, vol. 177(3), pages 699-715, May.
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    13. Hunt, Richard A. & Song, Yue & Townsend, David M. & Stallkamp, Maximilian, 2021. "Internationalization of entrepreneurial firms: Leveraging real options reasoning through affordable loss logics," Journal of Business Research, Elsevier, vol. 133(C), pages 194-207.
    14. Verbeke, Alain & Hutzschenreuter, Thomas & Pyasi, Nishant, 2021. "The dark side of B2B relationships in GVCs – Micro-foundational influences and strategic governance tools," Journal of Business Research, Elsevier, vol. 135(C), pages 816-828.
    15. Fraccastoro, Sara & Gabrielsson, Mika & Chetty, Sylvie, 2021. "Social Media Firm Specific Advantages as Enablers of Network Embeddedness of International Entrepreneurial Ventures," Journal of World Business, Elsevier, vol. 56(3).
    16. Lutz Kaufmann & Moritz Schreiner & Felix Reimann, 2023. "Narratives in supplier negotiations—The interplay of narrative design elements, structural power, and outcomes," Journal of Supply Chain Management, Institute for Supply Management, vol. 59(1), pages 66-94, January.
    17. Gkillas, Konstantinos & Manickavasagam, Jeevananthan & Visalakshmi, S., 2022. "Effects of fundamentals, geopolitical risk and expectations factors on crude oil prices," Resources Policy, Elsevier, vol. 78(C).
    18. Enrique de Diego Ruiz & Paloma Almodóvar & Ignacio Danvila del Valle, 2023. "What drives strategic agility? Evidence from a fuzzy-set qualitative comparative analysis (FsQCA)," International Entrepreneurship and Management Journal, Springer, vol. 19(2), pages 599-627, June.
    19. Mikael Hilmersson & Roger Schweizer & Sylvie Chetty, 2022. "The Relationship Between Timing, Speed, and Performance in Foreign Market Network Entry," Management International Review, Springer, vol. 62(3), pages 325-349, June.
    20. David J. Ketchen & Lutz Kaufmann & Craig R. Carter, 2022. "Configurational approaches to theory development in supply chain management: Leveraging underexplored opportunities," Journal of Supply Chain Management, Institute for Supply Management, vol. 58(3), pages 71-88, July.
    21. Aluko, Olu & Ott, Ursula F. & Siwale, Juliana & Odusanya, Kayode, 2022. "Overcoming the liability of outsidership: An fsQCA analysis of African transnational entrepreneurs in the UK," Journal of Business Research, Elsevier, vol. 145(C), pages 106-116.
    22. Luciano Ciravegna & Snejina Michailova, 2022. "Why the world economy needs, but will not get, more globalization in the post-COVID-19 decade," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 53(1), pages 172-186, February.
    23. Samuli Patala & Jouni K. Juntunen & Sarianna Lundan & Tiina Ritvala, 2021. "Multinational energy utilities in the energy transition: A configurational study of the drivers of FDI in renewables," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 52(5), pages 930-950, July.
    24. Messner, Wolfgang, 2022. "Cultural Heterozygosity: Towards a New Measure of Within-Country Cultural Diversity," Journal of World Business, Elsevier, vol. 57(4).

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