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Determinants of Success and Failure in the Internationalization of the Cork Business: A Tale of Two Iberian Family Firms

In: Entrepreneurship, Business and Economics - Vol. 2

Author

Listed:
  • João Carlos Lopes

    (ISEG and UECE—Universidade de Lisboa)

  • Amélia Branco

    (ISEG and GHES—Universidade de Lisboa)

  • Francisco Parejo

    (University of Extremadura)

  • José Francisco Rangel

    (University of Extremadura)

Abstract

The main purpose of this paper is to identify the facilitating and restricting factors during the internationalisation path of family firms, considering their competitive advantages, ownership structure, management attitudes and other intangible assets, as well as external factors to the firms, like location. The research involved a long run analysis (of more than one century) of two cork producing firms operating in Spain and Portugal: Mundet & C.ª, Lda and Corticeira Amorim. One of these companies—Mundet—was closed down in the 1980s and the other—Corticeira Amorim—became, and still is, the leading firm worldwide in the cork industry. A detailed comparison of these two histories—one of failure, the other of success—allows an accurate identification of the determinants of successful internationalisation. This comparison is useful for understanding several characteristics of both firms and testing several hypotheses within the context of the theoretical approach to the internationalisation of family firms, as well as the location choices they made, which were an important cause of the opposing destinies of these two emblematic Iberian cork family firms.

Suggested Citation

  • João Carlos Lopes & Amélia Branco & Francisco Parejo & José Francisco Rangel, 2016. "Determinants of Success and Failure in the Internationalization of the Cork Business: A Tale of Two Iberian Family Firms," Eurasian Studies in Business and Economics, in: Mehmet Huseyin Bilgin & Hakan Danis (ed.), Entrepreneurship, Business and Economics - Vol. 2, edition 1, pages 417-440, Springer.
    • Handle: RePEc:spr:eurchp:978-3-319-27573-4_29
    DOI: 10.1007/978-3-319-27573-4_29
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    Cited by:

    1. is not listed on IDEAS
    2. Yordanka Ivanova & Kostadin Kolarov, 2020. "External Determinants Of Smes’ Internationalization And Performance In A Challenging International Environment," Economy & Business Journal, International Scientific Publications, Bulgaria, vol. 14(1), pages 130-143.
    3. Andrea Éltető, 2019. "Export of SMEs after the Crisis in Three European Peripheral Regions – a Literature Review," Society and Economy, Akadémiai Kiadó, Hungary, vol. 41(1), pages 3-26, March.

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    Keywords

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    JEL classification:

    • F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business
    • L73 - Industrial Organization - - Industry Studies: Primary Products and Construction - - - Forest Products
    • N60 - Economic History - - Manufacturing and Construction - - - General, International, or Comparative
    • O14 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)

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