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Network embeddedness and new-venture internationalization: Analyzing international linkages in the German biotech industry

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  • Al-Laham, Andreas
  • Souitaris, Vangelis

Abstract

This paper examines whether inter-organizational factors influence German biotech firms' propensity to internationalize by forming international research alliances. Inter-organizational factors include dimensions of a firm's embeddedness within its local cluster and within its national research network. We test two sets of hypotheses (local and national network-drivers) on a longitudinal event history dataset of the complete German biotech population for the years 1995-2004. Findings show that location in a local cluster already dense with international linkages, the building of research alliances with local research institutes as well as national partners and central position in the national research network increase the probability of forming international research alliances.

Suggested Citation

  • Al-Laham, Andreas & Souitaris, Vangelis, 2008. "Network embeddedness and new-venture internationalization: Analyzing international linkages in the German biotech industry," Journal of Business Venturing, Elsevier, vol. 23(5), pages 567-586, September.
  • Handle: RePEc:eee:jbvent:v:23:y:2008:i:5:p:567-586
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    22. Tsai-Ju Liao & Chwo-Ming Yu, 2013. "The impact of local linkages, international linkages, and absorptive capacity on innovation for foreign firms operating in an emerging economy," The Journal of Technology Transfer, Springer, vol. 38(6), pages 809-827, December.

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