Mode of entry observations for environmental based INVs (International New Ventures)

Hogg, David
Matheny, Jonathan
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Master of Business
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Auckland University of Technology

This thesis examines the risk and internationalisation practices of International New Ventures (INVs) in the environmental sector. The purpose of the research is to make observations regarding the manner in which environmental INVs manage risk when internationalising.The literature review focuses upon the published literature that relates to INVs, risk and risk management, mode of entry and the environmental sector. Section one of the literature review provides the characteristics of what constitutes an INV. Section 2 provides a review of the risk literature, this allows the differences between Multi National Enterprise (MNE) and INV risk and risk management to be reviewed. Section 3 takes the international business risks mentioned in section 2 and relates them to the mode of entry literature (i.e. the internationalisation of firms). The final section of the literature review is used to justify the investigation into the water pollution and control sector of the environmental industry. The research question is 'What strategies do environmental INVs use when entering new international markets?' The research question is broken into five specific research questions and addressed using the Repertory Grid process. The Repertory Grid process is used as it can turn the tacit knowledge held by the participants into explicit knowledge. The results show areas of convergence and divergence between practice and academia. The results also suggest new issues that need to be considered when firms internationalise. This culminates in the observations made in regard to the way environmental INVs manage risk when internationalising.

Interpretive paradigm , Porter's five forces , Competition , Traditional internationalisation
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