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Relationship Development: A Micro-Foundation for the Internationalization Process of the Multinational Business Enterprise

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  • Jan-Erik Vahlne

    (University of Gothenburg)

  • Waheed Akbar Bhatti

    (University of Vaasa)

Abstract

The interplay between knowledge development and commitments is the driving force in the Uppsala internationalization process model. We perform a qualitative thematic analysis of longitudinal data, exploring how relationship knowledge development in supplier-customer relationships leads to commitments through opportunity identification. The results validate our claim that relationship knowledge development as a dynamic capability can influence the focal organization’s ability to over time, under changing needs and contexts, harness operational capabilities that lead to at least satisfactory performance. Judging from results, the relationship knowledge development process produces a change in commitments, thereby constituting a critical micro-foundation for the internationalization and evolution process as explained in the Uppsala model.

Suggested Citation

  • Jan-Erik Vahlne & Waheed Akbar Bhatti, 2019. "Relationship Development: A Micro-Foundation for the Internationalization Process of the Multinational Business Enterprise," Management International Review, Springer, vol. 59(2), pages 203-228, April.
    • Handle: RePEc:spr:manint:v:59:y:2019:i:2:d:10.1007_s11575-018-0373-z
    DOI: 10.1007/s11575-018-0373-z
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    References listed on IDEAS

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    Cited by:

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    4. Zahoor, Nadia & Khan, Zaheer & Shenkar, Oded, 2023. "International vertical alliances within the international business field: A systematic literature review and future research agenda," Journal of World Business, Elsevier, vol. 58(1).
    5. Bhatti, Waheed Akbar & Vahlne, Jan-Erik & Glowik, Mario & Larimo, Jorma Antero, 2022. "The impact of industry 4.0 on the 2017 version of the Uppsala model," International Business Review, Elsevier, vol. 31(4).
    6. Castellões, Bernardo & Silva-Rêgo, Bernardo & Dib, Luís Antônio, 2023. "Understanding divestment from an Uppsala school perspective," Journal of International Management, Elsevier, vol. 29(5).
    7. Christofi, Michael & Pereira, Vijay & Vrontis, Demetris & Tarba, Shlomo & Thrassou, Alkis, 2021. "Agility and flexibility in international business research: A comprehensive review and future research directions," Journal of World Business, Elsevier, vol. 56(3).
    8. Bhatti, Waheed Akbar & Larimo, Jorma & Servais, Per, 2020. "Relationship learning: A conduit for internationalization," International Business Review, Elsevier, vol. 29(3).
    9. Jan-Erik Vahlne & Roger Schweizer, 2022. "Human behavior and judgment: A critical nano-foundation for the Uppsala model and international business studies," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 53(7), pages 1549-1555, September.
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