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The internationalisation process of the firm: a case study

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The Uppsala model is the most accepted paradigm regarding the internationalisation process of the firm. This thesis tries to complement the Uppsala model with Porter’s theories regarding internationalisation.

Purpose: The purpose of this thesis is to study to what extent the Uppsala model is applicable to a small manufacturing firm, and to see if the theory, combined with the Porterian framework, can provide a more solid framework for the description of the internationalisation process of the firm.

Contents

1. Introduction
1.1 Background
1.2 Problem discussion
1.3 Research questions
1.4 Purpose
1.5 Prerequisites
1.6 Study object
2. Method
2.1 The thesis writer’s view on reality
2.2 The thesis writer’s view on knowledge
2.3 The thesis writer’s view on methodological approach
2.3.1 Deductive approach
2.3.2 Combining a positivistic with a hermeneutic view
2.4 The study
2.4.1 Choice of firm
2.4.2 Qualitative approach
2.4.3 Interview
2.4.4 Data handling
2.4.5 Case study
2.4.6 Criticism
3. Frame of reference
3.1 The Uppsala model
3.1.1 The establishment chain
3.1.2 Psychic distance
3.1.3 A dynamic model of internationalisation
3.1.4 Criticism towards the model
3.1.5 Industry structure, firm structure and validity of the model
3.2 Internationalisation, a search for competitive advantage
3.2.1 The Porterian framework, a bridge between the eclectic paradigm and the Uppsala model
3.2.2 Multidomestic versus global industries
3.2.3 The value chain
3.2.4 Coordination and configuration of international activities
3.2.5 Configuration, coordination and competitive advantage
3.2.6 Configuration, coordination, and the pattern of international competition
3.2.7 Global strategy and comparative advantage
3.3 Determinants of national advantage
3.3.1 Factor conditions
3.3.2 Demand conditions
3.3.3 Related and supporting industries
3.3.4 Firm strategy, structure and rivalry
4. Empirical material
4.1 Bukowski design
4.2 The internationalisation process
4.3 Production
4.4 Price setting and profit
4.5 Knowledge
4.6 Selling structure
4.6 Firm strategy
4.7 Economies of scale
4.8 Competition
4.9 Government
4.10 The clients
5. Analysis
5.1 The Uppsala model
5.1.1 Psychic distance and the internationalisation process of the firm
5.1.2 Market size and the internationalisation process of the firm
5.1.3 Knowledge and the internationalisation process
5.1.4 Market commitment and the internationalisation of the firm
5.1.5 Current business activities and the internationalisation of the firm
5.1.6 Commitment decisions and the internationalisation of the firm
5.1.7 Interaction between the factors
5.1.8 The factories seen in the light of the Uppsala model
5.1.9 The Uppsala model’s explanatory value
5.2 The Porterian framework analysed
5.2.1 The industry
5.2.2 The value chain
5.2.3 Strategic considerations
5.2.4 Economies of scale and coordination
5.3 Competitive advantage of the nations
5.3.1 Factor conditions
5.3.2 Demand conditions
5.3.3 Related and supporting industries
5.3.4 Firm strategy, structure and rivalry
5.4 An integrated view
5.5 Internationalisation
6. Conclusions
6.1 Conclusions
6.2 Further research
Sources
Appendix

Author: Sylverberg, Tomas

Source: Linköping University

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