Skip to main content
SpringerLink
Log in

The Uppsala internationalization process model revisited: From liability of foreignness to liability of outsidership

  • Article
  • Published:
Journal of International Business Studies Aims and scope Submit manuscript

Abstract

The Uppsala internationalization process model is revisited in the light of changes in business practices and theoretical advances that have been made since 1977. Now the business environment is viewed as a web of relationships, a network, rather than as a neoclassical market with many independent suppliers and customers. Outsidership, in relation to the relevant network, more than psychic distance, is the root of uncertainty. The change mechanisms in the revised model are essentially the same as those in the original version, although we add trust-building and knowledge creation, the latter to recognize the fact that new knowledge is developed in relationships.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Log in via an institution

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Institutional subscriptions

Figure 1
Figure 2

Similar content being viewed by others

References

  • Agndal, H., & Chetty, S. 2007. The impact of relationships on changes in internationalisation strategies of SMEs. European Journal of Marketing, 41 (11/12): 1449–1474.

    Article  Google Scholar 

  • Aharoni, Y. 1966. The foreign investment decision process. Boston, MA: Harvard Business School Press.

    Google Scholar 

  • Alchian, A. A., & Allen, W. R. 1964. Exchange & production: Theory in use. Belmont, CA: Wadsworth Publishing.

    Google Scholar 

  • Andall, A., & Fischer, M. 2005. The death, birth … of internationalization: A literary review, MSc thesis, School of Business, Economics and Law, Göteborg University.

  • Andersen, O. 1993. On the internationalization process of firms: A critical analysis. Journal of International Business Studies, 24 (2): 209–232.

    Article  Google Scholar 

  • Anderson, E., & Weitz, B. 1992. The use of pledges to build and sustain commitment in distribution channels. Journal of Marketing Research, 29 (1): 18–34.

    Article  Google Scholar 

  • Anderson, J. C., Håkansson, H., & Johanson, J. 1994. Dyadic business relationships within a business network context. Journal of Marketing, 58 (4): 1–15.

    Article  Google Scholar 

  • Andersson, U., Johanson, J., & Vahlne, J.-E. 1997. Organic acquisitions in the internationalization process of the business firm. Management International Review, 37 (2): 67–84.

    Google Scholar 

  • Andersson, U., Holm, D. B., & Johanson, M. 2005. Opportunities, relational embeddedness and network structure. In P. Ghauri, A. Hadjikhani, & J. Johanson (Eds), Managing opportunity development in business networks: 27–48. Basingstoke: Palgrave.

    Chapter  Google Scholar 

  • Ardichvili, A., Cardozo, R., & Ray, S. 2003. A theory of entrepreneurial opportunity identification and development. Journal of Business Venturing, 18 (1): 105–123.

    Article  Google Scholar 

  • Arenius, P. 2005. The psychic distance postulate revised: From market selection to speed of market penetration. Journal of International Entrepreneurship, 3 (2): 115–131.

    Article  Google Scholar 

  • Argote, L. 1999. Organizational learning: Creating, retaining and transferring knowledge. London: Kluwer Academic Publishers.

    Google Scholar 

  • Autio, E. 2005. Creative tension: The significance of Ben Oviatt's and Patricia McDougall's article “Toward a theory of international new ventures”. Journal of International Business Studies, 36 (1): 9–19.

    Article  Google Scholar 

  • Axelsson, B., & Johanson, J. 1992. Foreign market entry: The textbook vs the network view. In B. Axelsson & G. Easton (Eds), Industrial networks: A new view of reality: 218–231. London: Routledge.

    Google Scholar 

  • Barkema, H. G., & Drogendijk, R. 2007. Internationalising in small, incremental or larger steps? Journal of International Business Studies, 38 (7): 1132–1148.

    Article  Google Scholar 

  • Barkema, H. G., & Vermeulen, F. 1998. International expansion through start-up or acquisition: A learning perspective. Academy of Management Journal, 41 (1): 7–26.

    Article  Google Scholar 

  • Barkema, H. G., Bell, J. H. J., & Pennings, J. M. 1996. Foreign entry, cultural barriers, and learning. Strategic Management Journal, 17 (2): 151–166.

    Article  Google Scholar 

  • Barney, J. 1986. Strategic factor markets: Expectations, luck and business strategy. Management Science, 17 (1): 99–120.

    Google Scholar 

  • Benito, G. B. G., & Tomassen, S. 2003. The micro-mechanics of foreign operations’ performance: An analysis on the OLI framework. In J. Cantwell & R. Narula (Eds), International business and the eclectic paradigm: Developing the OLI framework: 174–199. London: Routledge.

    Google Scholar 

  • Bilkey, W. J., & Tesar, G. 1977. The export behavior of smaller-sized Wisconsin manufacturing firms. Journal of International Business Studies, 8 (1): 93–98.

    Article  Google Scholar 

  • Birkinshaw, J. 1997. Entrepreneurship in multinational corporations: The characteristics of subsidiary initiatives. Strategic Management Journal, 18 (3): 207–230.

    Article  Google Scholar 

  • Bjerre, M., & Sharma, D. D. 2003. Is marketing knowledge international? A case of key accounts. In A. Blomstermo & D. D. Sharma (Eds), Learning in the internationalisation process of firms: 123–141. Cheltenham: Edward Elgar.

    Google Scholar 

  • Blankenburg Holm, D., Eriksson, K., & Johanson, J. 1999. Creating value through mutual commitment to business network relationships. Strategic Management Journal, 20 (5): 467–486.

    Article  Google Scholar 

  • Boersma, M. F., Buckley, P. J., & Ghauri, P. N. 2003. Trust in international joint venture relationships. Journal of Business Research, 56 (12): 1031–1042.

    Article  Google Scholar 

  • Bonaccorsi, A. 1992. On the relationship between firm size and international export intensity. Journal of International Business Studies, 23 (4): 605–635.

    Article  Google Scholar 

  • Buckley, P. J., & Casson, M. 1976. The future of the multinational enterprise. New York: Holmes & Meier.

    Book  Google Scholar 

  • Buckley, P. J., & Casson, M. 1998. Models of the multinational enterprise. Journal of International Business Studies, 29 (1): 21–44.

    Article  Google Scholar 

  • Burt, R. S. 1992. Structural holes. Cambridge, MA: Harvard University Press.

    Google Scholar 

  • Carlson, S. 1975. How foreign is foreign trade? A problem in international business research. Uppsala: Acta Universitatis Upsaliensis. Studia Oeconomiae Negotiorum 11.

    Google Scholar 

  • Cavusgil, S. T. 1980. On the internationalization process of firms. European Research, 8 (November): 273–281.

    Google Scholar 

  • Chang, S. J. 1995. International expansion strategy of Japanese firms: Capability building through sequential entry. Academy of Management Journal, 38 (2): 383–407.

    Article  Google Scholar 

  • Chen, H., & Chen, T.-J. 1998. Network linkages and location choice in foreign direct investment. Journal of International Business Studies, 29 (3): 445–468.

    Article  Google Scholar 

  • Chetty, S., & Blankenburg Holm, D. 2000. Internationalisation of small to medium-sized manufacturing firms: A network approach. International Business Review, 9 (1): 77–93.

    Article  Google Scholar 

  • Cohen, W. M., & Levinthal, D. A. 1990. Absorptive capacity: A new perspective on learning and innovation. Administrative Science Quarterly, 35 (2): 128–152.

    Article  Google Scholar 

  • Contractor, F. J., & Lorange, P. 2002. The growth of alliances in the knowledge-based economy. International Business Review, 11 (4): 485–502.

    Article  Google Scholar 

  • Cook, K. S., & Emerson, R. M. 1978. Power, equity and commitment in exchange networks. American Sociological Review, 43 (5): 721–738.

    Article  Google Scholar 

  • Coviello, N. E. 2006. The network dynamics of international new ventures. Journal of International Business Studies, 37 (5): 713–731.

    Article  Google Scholar 

  • Coviello, N. E., & Munro, H. 1995. Growing the entrepreneurial firm: Networking for international market development. European Journal of Marketing, 29 (7): 49–61.

    Article  Google Scholar 

  • Coviello, N. E., & Munro, H. 1997. Network relationships and the internationalisation process of small software firms. International Business Review, 6 (4): 361–386.

    Article  Google Scholar 

  • Cowley, P. R. 1988. Market structure and business performance: An evaluation of buyer/seller power in the PIMS database. Strategic Management Journal, 9 (3): 271–278.

    Article  Google Scholar 

  • Cunningham, M. T., & Homse, E. 1986. Controlling the marketing-purchasing interface: Resource development and organisational implications. Industrial Marketing and Purchasing, 1 (2): 3–27.

    Google Scholar 

  • Cyert, R. D., & March, J. G. 1963. A behavioral theory of the firm. Englewood Cliffs, NJ: Prentice Hall.

    Google Scholar 

  • Delios, A., & Beamish, P. W. 2001. Survival and profitability: The roles of experience and intangible assets in foreign subsidiary performance. Academy of Management Journal, 44 (5): 1028–1038.

    Article  Google Scholar 

  • Denrell, J., Fang, C., & Winter, S. G. 2003. The economics of strategic opportunity. Strategic Management Journal, 24 (10): 977–990.

    Article  Google Scholar 

  • Dunning, J. H. 1980. Towards an eclectic theory of international production: Some empirical tests. Journal of International Business Studies, 11 (1): 9–31.

    Article  Google Scholar 

  • Dunning, J. H. 1997. Alliance capitalism and global business. London: Routledge.

    Book  Google Scholar 

  • Dunning, J. H., & Lundan, S. 2008. Multinational enterprises and the global economy, (2nd ed.). Cheltenham: Edward Elgar.

    Google Scholar 

  • Dwyer, F. R., Schurr, P. H., & Oh, S. 1987. Developing buyer–seller relationships. Journal of Marketing, 51 (2): 11–27.

    Article  Google Scholar 

  • Dyer, J. H., & Singh, H. 1998. The relational view: Cooperative strategy and sources of interorganizational competitive advantage. Academy of Management Review, 23 (4): 550–679.

    Google Scholar 

  • Elango, B., & Pattnaik, C. 2007. Building capabilities for international operations through networks: A study of Indian firms. Journal of International Business Studies, 38 (4): 541–555.

    Article  Google Scholar 

  • Ellis, P. D. 2000. Social ties and foreign market entry. Journal of International Business Studies, 31 (3): 443–469.

    Article  Google Scholar 

  • Ellis, P. D. 2001. Adaptive strategies of trading companies. International Business Review, 10 (2): 235–259.

    Article  Google Scholar 

  • Eriksson, K., Johanson, J., Majkgård, A., & Sharma, D. D. 1997. Experiential knowledge and cost in the internationalization process. Journal of International Business Studies, 28 (2): 337–360.

    Article  Google Scholar 

  • Erramilli, M. K. 1991. The experience factor in foreign market entry behavior of service firms. Journal of International Business Studies, 22 (3): 479–501.

    Article  Google Scholar 

  • Erramilli, M. K., & Rao, C. P. 1990. Choice of foreign market entry mode by service firms: Role of market knowledge. Management International Review, 30 (2): 135–150.

    Google Scholar 

  • Ford, D. (Ed.) 1997. Understanding business markets. London: The Dryden Press.

    Google Scholar 

  • Forsgren, M. 2002. The concept of learning in the Uppsala internationalization process model: A critical view. International Business Review, 11 (3): 257–278.

    Article  Google Scholar 

  • Forsgren, M., & Kinch, N. 1970. Företagets anpassning till förändringar i omgivande system. En studie av massa- och pappersindustrin (The adaptation of the firm to changes in surrounding systems). Uppsala: Department of Business Studies.

    Google Scholar 

  • Forsgren, M., Holm, U., & Johanson, J. 2005. Managing the embedded multinational: A business network view. Cheltenham: Edward Elgar.

    Book  Google Scholar 

  • Galbraith, J. R. 1973. Designing complex organizations. Reading, MA: Addison-Wesley.

    Google Scholar 

  • Gelbuda, M., Starkus, A., Zidonis, Z., & Tamasevicius, V. 2003. Learning in the internationalization process. A case for organizational identity and interpretative capacity, Proceedings of the 29th EIBA Conference, Copenhagen Business School, Denmark.

  • Ghauri, P., Hadjikhani, A., & Johanson, J. (Eds) 2005. Managing opportunity development in business networks. Basingstoke: Palgrave.

    Book  Google Scholar 

  • Gounaris, S. P. 2005. Trust and commitment influences on customer retention: Insights from business-to-business services. Journal of Business Research, 58 (2): 126–140.

    Article  Google Scholar 

  • Granovetter, M. 1985. Economic action and social structure: The problem of embeddedness. American Journal of Sociology, 91 (3): 481–510.

    Article  Google Scholar 

  • Granovetter, M. 1992. Problems of explanation in economic sociology. In N. Nohria & R. G. Eccles (Eds), Networks and organizations: Structure, form and action: 25–56. Boston, MA: Harvard Business School Press.

    Google Scholar 

  • Griffith, D. A., & Myers, M. B. 2005. The performance implications of strategic fit of relational norm governance strategies in global supply chain relationships. Journal of International Business Studies, 36 (3): 254–269.

    Article  Google Scholar 

  • Hadjikhani, A. 1997. A note on the criticisms against the internationalization process model. Management International Review, 37 (2): 43–66.

    Google Scholar 

  • Hägg, I., & Johanson, J. (Eds) 1982. Företag i nätverk (Firms in networks). Stockholm: SNS.

    Google Scholar 

  • Håkansson, H. (Ed.) 1982. International marketing and purchasing of industrial goods: An interaction approach. Cheltenham: Wiley.

    Google Scholar 

  • Håkansson, H. 1989. Corporate technological behaviour: Co-operation and networks. London: Routledge.

    Google Scholar 

  • Håkansson, H., & Östberg, C. 1975. Industrial marketing: An organizational problem? Industrial Marketing Management, 4 (2/3): 113–123.

    Article  Google Scholar 

  • Håkansson, H., & Snehota, I. (Eds) 1995. Developing relationships in business networks. London: Routledge.

    Google Scholar 

  • Hallén, L. 1986. A comparison of strategic marketing approaches. In P. W. Turnbull & J.-P. Valla (Eds), Strategies for international industrial marketing: 235–249. London: Croom Helm.

    Google Scholar 

  • Hallén, L., Johanson, J., & Seyed-Mohamed, N. 1991. Interfirm adaptation in business relationships. Journal of Marketing, 55 (2): 29–37.

    Article  Google Scholar 

  • Hedlund, G., & Kverneland, Å. 1985. Are strategies for foreign market entry changing? The case of Swedish investments in Japan. International Studies of Management and Organization, 15 (2): 41–59.

    Article  Google Scholar 

  • Hennart, J.-F. 1982. A theory of multinational enterprise. Ann Arbor, MI: University of Michigan Press.

    Google Scholar 

  • Hoang, H., & Rothaermel, F. T. 2005. The effect of general and partner-specific alliance experience on joint R&D project performance. Academy of Management Journal, 48 (2): 332–345.

    Article  Google Scholar 

  • Hohenthal, J. 2001. The creation of international business relationships: Experience and performance in the internationalization process, PhD thesis, Department of Business Studies, Uppsala University.

  • Hohenthal, J. 2006. Managing interdependent business relationships in SME internationalization. In A. Hadjikhani, J.-W. Lee, & J. Johanson (Eds), Business networks and international marketing. 209–222. Seoul: Doo Yang.

    Google Scholar 

  • Hood, N. & Young, S. 1979. Economics of multinational enterprise. London: Longman.

    Google Scholar 

  • Hörnell, E., Vahlne, J.-E., & Wiedersheim-Paul, F. 1973. Export och utlandsetableringar (Export and foreign establishments). Uppsala: Almqvist & Wiksell.

    Google Scholar 

  • Hsu, C.-C., & Pereira, A. 2008. Internationalization and performance: The moderating effects of organizational learning. Omega, 36 (2): 188–205.

    Article  Google Scholar 

  • Hymer, S. 1976. International operations of national firms: A study of foreign direct investment. Boston, MA: MIT Press.

    Google Scholar 

  • Ivarsson, I., & Vahlne, J.-E. 2002. Technology integration through international acquisitions: The case of foreign manufacturing TNCs in Sweden. Scandinavian Journal of Management, 18 (1): 1–27.

    Article  Google Scholar 

  • Johanson, J. 1966. Svenskt kvalitetsstål på utländska marknader (Swedish special steel in foreign markets), FL thesis, Department of Business Studies, Uppsala University.

  • Johanson, J., & Mattsson, L.-G. 1987. Interorganizational relations in industrial systems: A network approach compared with the transaction cost approach. International Studies of Management and Organization, 17 (1): 34–48.

    Article  Google Scholar 

  • Johanson, J., & Mattsson, L.-G. 1988. Internationalisation in industrial systems: A network approach. In N. Hood & J.-E. Vahlne (Eds), Strategies in global competition: 468–486. London: Croom Helm.

    Google Scholar 

  • Johanson, J., & Vahlne, J.-E. 1977. The internationalization process of the firm: A model of knowledge development and increasing foreign market commitments. Journal of International Business Studies, 8 (1): 23–32.

    Article  Google Scholar 

  • Johanson, J., & Vahlne, J.-E. 1990. The mechanism of internationalisation. International Marketing Review, 7 (4): 11–24.

    Article  Google Scholar 

  • Johanson, J., & Vahlne, J.-E. 1993. Management of internationalization. In L. Zan, S. Zambon, & A. M. Pettigrew (Eds), Perspectives on strategic change: 43–71. London: Kluwer Academic Publishers.

    Chapter  Google Scholar 

  • Johanson, J., & Vahlne, J.-E. 2003. Business relationship learning and commitment in the internationalization process. Journal of International Entrepreneurship, 1 (1): 83–101.

    Article  Google Scholar 

  • Johanson, J., & Vahlne, J.-E. 2006. Commitment and opportunity development in the internationalization process: A note on the Uppsala internationalization process model. Management International Review, 46 (2): 1–14.

    Google Scholar 

  • Johanson, J., & Wiedersheim-Paul, F. 1975. The internationalization of the firm: Four Swedish cases. Journal of Management Studies, 12 (3): 305–322.

    Article  Google Scholar 

  • Kay, N. M. 2005. Penrose and the growth of multinational firms. Managerial and Decision Economics, 26 (2): 99–112.

    Article  Google Scholar 

  • Kelley, H. H., & Thibaut, J. W. 1978. Interpersonal relations: A theory of interdependence. New York: John Wiley & Sons.

    Google Scholar 

  • Kirzner, I. M. 1973. Competition and entrepreneurship. Chicago: University of Chicago Press.

    Google Scholar 

  • Kirzner, I. M. 1997. Entrepreneurial discovery and the competitive market process: An Austrian approach. Journal of Economic Literature, 35 (1): 60–85.

    Google Scholar 

  • Knight, G. A., & Cavusgil, S. T. 1996. The born global firm: A challenge to traditional internationalization theory. Advances in International Marketing, 8: 11–26.

    Google Scholar 

  • Kogut, B. 2000. The network as knowledge: Generative rules and the emergence of structure. Strategic Management Journal, 21 (3): 405–425.

    Article  Google Scholar 

  • Larson, A. 1992. Network dyads in entrepreneurial settings: A study of the governance of exchange relationships. Administrative Science Quarterly, 37 (1): 76–104.

    Article  Google Scholar 

  • Li, J. 1995. Foreign entry and survival: Effects of strategic choices on performance in international markets. Strategic Management Journal, 19 (3): 333–352.

    Article  Google Scholar 

  • Loane, S., & Bell, J. 2006. Rapid internationalisation among entrepreneurial firms in Australia, Canada, Ireland and New Zealand: An extension to the network approach. International Marketing Review, 23 (5): 467–485.

    Article  Google Scholar 

  • Luo, Y., & Peng, M. 1999. Learning to compete in a transition economy: Experience, environment and performance. Journal of International Business Studies, 30 (2): 269–295.

    Article  Google Scholar 

  • Madhok, A. 1995. Revisiting multinational firms’ tolerance for joint ventures: A trust-based approach. Journal of International Business Studies, 26 (1): 345–369.

    Article  Google Scholar 

  • Madhok, A. 2006. How much does ownership really matter? Equity and trust relations in joint ventures. Journal of International Business Studies, 37 (1): 4–11.

    Article  Google Scholar 

  • Madsen, T. K., & Servais, P. 1997. The internationalization of born globals: An evolutionary perspective. International Business Review, 6 (6): 561–583.

    Article  Google Scholar 

  • Majkgård, A., & Sharma, D. D. 1998. Client-following and market-seeking in the internationalization of service firms. Journal of Business-to-Business Marketing, 4 (3): 1–41.

    Article  Google Scholar 

  • March, J. G. 1991. Exploration and exploitation in organizational learning. Organization Science, 2 (1): 71–87.

    Article  Google Scholar 

  • Martin, X., Swaminathan, A., & Mitchell, W. 1998. Organizational evolution in the interorganizational environment: Incentives and constraints on international expansion strategy. Administrative Science Quarterly, 43 (3): 566–601.

    Article  Google Scholar 

  • Mathieu, J. E., & Zajac, D. M. 1990. A review and meta-analysis of the antecedents, correlates and consequences of organizational commitment. Psychological Bulletin, 108 (2): 171–194.

    Article  Google Scholar 

  • Mintzberg, H. 1979. The structuring of organizations. Englewood Cliffs, NJ: Prentice Hall.

    Google Scholar 

  • Moen, O., & Servais, P. 2002. Born global or gradual global? Examining export behavior of small and medium-sized companies. Journal of International Marketing, 10 (3): 49–72.

    Article  Google Scholar 

  • Morgan, R. M., & Hunt, S. D. 1994. The commitment–trust theory of relationship marketing. Journal of Marketing, 58 (3): 20–38.

    Article  Google Scholar 

  • Murray, J. Y., Kotabe, M., & Zhou, J. N. 2005. Strategic alliance-based sourcing and market performance: Evidence from foreign firms operating in China. Journal of International Business Studies, 36 (2): 187–208.

    Article  Google Scholar 

  • Nadolska, A., & Barkema, H. G. 2007. Learning to internationalise: The pace and success of foreign acquisitions. Journal of International Business Studies, 38 (7): 1170–1186.

    Article  Google Scholar 

  • Nahapiet, J., & Ghoshal, S. 1998. Social capital, intellectual capital and the organizational advantage. Academy of Management Review, 23 (2): 242–267.

    Google Scholar 

  • Nellbeck, L. 1967. Trävaruexport – distributionsvägar och förbrukning (Wood export – distribution channels and usage). Stockholm: Scandinavian University Books.

    Google Scholar 

  • Nelson, R. R., & Winter, S. G. 1982. An evolutionary theory of economic change. Cambridge, MA: Belknap Press.

    Google Scholar 

  • Oviatt, B. M., & McDougall, P. P. 1994. Toward a theory of international new ventures. Journal of International Business Studies, 25 (1): 45–64.

    Article  Google Scholar 

  • Oviatt, B. M., & McDougall, P. P. 2005. The internationalization of entrepreneurship. Journal of International Business Studies, 36 (1): 2–8.

    Article  Google Scholar 

  • Padmanabhan, P., & Cho, K. R. 1999. Decision specific experience in foreign ownership and establishment strategies: Evidence from Japanese firms. Journal of International Business Studies, 30 (1): 25–44.

    Article  Google Scholar 

  • Penrose, E. T. 1966. The theory of the growth of the firm. Oxford: Basil Blackwell.

    Google Scholar 

  • Petersen, B., Pedersen, T., & Sharma, D. D. 2003. The role of knowledge in firms’ internationalisation process: Wherefrom and whereto? In A. Blomstermo & D. D. Sharma (Eds), Learning in the internationalisation process of firms: 36–55. Cheltenham: Edward Elgar.

    Google Scholar 

  • Pitelis, C. 2007. Edith Penrose and a learning-based perspective on the MNE and OLI. Management International Review, 47 (2): 207–219.

    Article  Google Scholar 

  • Powell, W. W. 1990. Neither market nor hierarchy. Research in Organizational Behaviour, 12: 295–336.

    Google Scholar 

  • Pyndt, J., & Pedersen, T. 2006. Managing global offshoring strategies. Fredriksberg: Copenhagen Business School Press.

    Google Scholar 

  • Reihlen, M., & Apel, B. A. 2005. Internationalization of professional service firms as learning: A constructivist approach. International Journal of Service Industry Management, 18 (2): 140–151.

    Article  Google Scholar 

  • Reuber, A. R., & Fischer, E. 1997. The influence of the management team's international experience on the internationalization behaviors of SMEs. Journal of International Business Studies, 28 (4): 807–825.

    Article  Google Scholar 

  • Ring, P. S., & van de Ven, A. H. 1992. Structuring cooperative relationships between organizations. Strategic Management Journal, 13 (7): 483–498.

    Article  Google Scholar 

  • Rugman, A. M. 1981. Inside the multinationals: The economics of internal markets. New York: Columbia University Press.

    Google Scholar 

  • Rugman, A. M., & Verbeke, A. 2004. A perspective on regional and global strategies of multinational enterprises. Journal of International Business Studies, 35 (1): 3–18.

    Article  Google Scholar 

  • Rugman, A. M., & Verbeke, A. 2007. Liabilities of foreignness and the use of firm-level versus country-level data: A response to Dunning et al. (2007). Journal of International Business Studies, 38 (1): 200–205.

    Article  Google Scholar 

  • Sandén, P., & Vahlne, J.-E. 1976. The advantage cycle, Unpublished research paper, Department of Business Studies, Uppsala University.

  • Sapienza, H. J., Autio, E., George, G., & Zahra, S. A. 2006. A capabilities perspective on the effects of early internationalization on firm survival and growth. Academy of Management Review, 31 (4): 914–933.

    Article  Google Scholar 

  • Sarasvathy, S. D. 2001. Causation and effectuation: Toward a theoretical shift from economic inevitability to entrepreneurial contingency. Academy of Management Review, 26 (2): 243–263.

    Google Scholar 

  • Schumpeter, J. A. 1934. The theory of economic development. Cambridge, MA: Harvard University Press.

    Google Scholar 

  • Shane, S. 2000. Prior knowledge and the discovery of entrepreneurial opportunities. Organization Science, 11 (4): 448–469.

    Article  Google Scholar 

  • Sharma, D. D., & Johanson, J. 1987. Technical consultancy in internationalization. International Marketing Review, 4 (4): 20–29.

    Article  Google Scholar 

  • Shenkar, O. 2001. Cultural distance revisited: Towards a more rigorous conceptualisation and measurement of cultural differences. Journal of International Business Studies, 32 (3): 519–535.

    Article  Google Scholar 

  • Snehota, I. 1990. Notes on a theory of business enterprise. Uppsala: Department of Business Studies.

    Google Scholar 

  • Sousa, C. M. P., & Bradley, F. 2006. Cultural distance and psychic distance: Two peas in a pod? Journal of International Marketing, 14 (1): 49–70.

    Article  Google Scholar 

  • Steen, J. T., & Liesch, P. W. 2007. A note on Penrosean growth, resource bundles and the Uppsala model of internationalisation. Management International Review, 47 (2): 193–206.

    Article  Google Scholar 

  • Thorelli, H. B. 1986. Networks: Between markets and hierarchies. Strategic Management Journal, 7 (1): 35–51.

    Article  Google Scholar 

  • Turnbull, P. W., & Valla, J.-P. (Eds) 1986. Strategies for international, industrial marketing. London: Croom Helm.

    Google Scholar 

  • United Nations. 2000. World investment report. Geneva: UN.

  • Vahlne, J.-E., & Johanson, J. 2002. New technology, new business environments and new internationalization processes? In V. Havila, M. Forsgren, & H. Håkansson (Eds), Critical perspectives on internationalization: 209–228. London: Pergamon.

    Google Scholar 

  • Vahlne, J.-E., & Wiedersheim-Paul, F. 1973. Ekonomiskt avstånd: Modell och empirisk undersökning (Economic distance: Model and empirical investigation). In E. Hörnell, J.-E. Vahlne, & F. Wiedersheim-Paul (Eds), Export och Utlandsetableringar (Export and foreign establishments). 81–159. Uppsala: Almqvist och Wiksell.

    Google Scholar 

  • von Hippel, E. A. 1988. The sources of innovation. New York: Oxford University Press.

    Google Scholar 

  • Weick, K. E. 1995. Sensemaking in organizations. Thousand Oaks, CA: Sage.

    Google Scholar 

  • Welch, D. E., & Welch, L. S. 1996. The internationalization process and networks: A strategic management perspective. Journal of International Marketing, 4 (3): 11–28.

    Google Scholar 

  • Welch, L. S., & Luostarinen, R. 1988. Internationalization: Evolution of a concept. Journal of General Management, 17 (3): 333–334.

    Google Scholar 

  • Wiedersheim-Paul, F., Olson, H.-C., & Welch, L. S. 1978. Pre-export activity: The first step in internationalization. Journal of International Business Studies, 8 (1): 47–58.

    Article  Google Scholar 

  • Zaheer, S. 1995. Overcoming the liability of foreignness. Academy of Management Journal, 38 (2): 341–363.

    Article  Google Scholar 

  • Zahra, S. A., Ireland, R. D., & Hitt, M. A. 2000. International expansion by new venture firms: International diversity, mode of market entry, technological learning, and performance. Academy of Management Journal, 43 (5): 925–960.

    Article  Google Scholar 

  • Zajac, E. J., & Olsen, C. P. 1993. From transaction cost to transactional value analysis: Implications for the study of organizational strategies. Journal of Management Studies, 39 (1): 131–145.

    Article  Google Scholar 

Download references

Acknowledgements

The authors thank numerous colleagues, students, and authors of IB articles who through the years have contributed views and remarks, critical and encouraging. We also thank the editor, Alain Verbeke, and three anonymous reviewers who helped put this paper in a much better shape. We express gratitude to the Torsten and Ragnar Söderberg Foundations for financial assistance.

Author information

Authors and Affiliations

  1. Uppsala University, Uppsala, Sweden

    Jan Johanson

  2. Gothenburg University, Gothenburg, Sweden

    Jan-Erik Vahlne

Authors
  1. Jan Johanson
    View author publications

    You can also search for this author in PubMed Google Scholar

  2. Jan-Erik Vahlne
    View author publications

    You can also search for this author in PubMed Google Scholar

Corresponding author

Correspondence to Jan Johanson.

Additional information

Accepted by Alain Verbeke, Area Editor, 4 November 2008. This paper has been with the authors for four revisions.

Rights and permissions

Reprints and permissions

About this article

Cite this article

Johanson, J., Vahlne, JE. The Uppsala internationalization process model revisited: From liability of foreignness to liability of outsidership. J Int Bus Stud 40, 1411–1431 (2009). https://doi.org/10.1057/jibs.2009.24

Download citation

  • Received:

  • Revised:

  • Accepted:

  • Published:

  • Issue Date:

  • DOI: https://doi.org/10.1057/jibs.2009.24

Keywords

Search

Navigation