The Internationalization Of High Tech Firms

This book is the outcome of the research project “Internationalization Patterns of Small and Medium-Sized Enterprises Operating in High-Tech Industries”, funded by the National Science Centre (NCN) of Poland. It presents updated knowledge on the internationalization patterns of high-tech firms, with particular insights into their main characteristics such as innovations and research and development. The theoretical framework of the book is built on a literature review and the survey of existing research. In turn, the results of the research project which gave rise to the book are presented, highlighting the internationalization path of firms operating in the high-tech and medium-high-tech sectors.

There is now a certain tradition of Anglo-German comparative research on new technology-based firms (NTBFs). Two of the most influential studies in this area have both been sponsored by the Anglo-German Foundation for the Study of In dustrial Society (AGF). Starting in 1977, the first AGF project on NTBFs, which was carried out by the consultancy firm Arthur D. Little, has been one ofthe most important early contributions in this field (Little 1977). This report was the first public document to use the term 'new technology-based firm' and to provide a definition, which despite its operational limitations subsequently became an es tablished term in the literature. More importantly, this study represented one ofthe first serious attempts to survey the existing stock of this type of firm. The report was critical of the contemporary situation in Europe. (This is a policy area which continues to be hotly debated, see European Commission 1995, Bank of England 1996 and HM Treasury 1998. ) It emphasised that, in comparison with the USA, Germany and the UK were each lagging behind if judged by the rate of formation of NTBFs and in their total contribution to the overall economic activity of both countries. In terms of a policy contribution, this study was instrumental in high lighting the lack ofsupport infrastructures for the genesis and growth of high-tech start-ups in two of Europe's leading economies.

The huge economic and social impact of high-tech industries on the fortunes of nation states has been widely recognised in recent years. Therefore, government policies encouraging the creation of new technology-based firms have become a priority in virtually all advanced economies. One factor underpinning the performance and growth of high-tech start-ups is presumably international activity of such firms. This study addresses the issues concerning the critical decision to internationalise. The research sought to provide empirically supported analyses on (a) the incidence of international activity, (b) the degree of internationalisation, (c) the timing of entry into international markets, (d) the mode of market entry employed, (e) the impact of internationalisation on performance and (f) the differences between internationalising and non-internationalising firms. The findings confirm the extent and importance of internationalisation to young high-tech firms in the UK and Germany. Thus, if governments or venture capitalists are interested in the promotion of successful new technology-based firms they must, per force, be also interested in encouraging the processes of internationalisation.

Der Autor analysiert detaillierte Informationen über vier Internationalisierungsfälle der Biotechnologie- und Multimediabranche und zeichnet ein prägnantes Bild der Motive, Formen und Sequenzen von grenzüberschreitenden Aktivitäten auf. High-technology firms exhibit unique internationalization patterns. Along with cases of biotechnological and multimedia firms, the author presents key technological and economic forces that constitute the context of internationalization for these emerging industries.

The present study analyses the international activities of British start-up companies in high-technology industries. The research makes the following contributions. First, it is the first study that establishes the prevalence of internationally operating start-up companies in a particular country. Accordingly, we find that the majority of British high-tech start-ups have engaged in international activities within a few years since formation. Second, it consolidates the existing knowledge in the fields of international entrepreneurship and subjects it to empirical testing. Third, it assesses the power of different theories in international business to explain the cross-border activities of start-up companies. Overall, the research lends support to a resource-based perspective of international entrepreneurship since the proxies for transaction cost-based arguments and the internationalisation process theory are of limited explanatory power.

Comprises of a selection of competitive papers from the 34th European International Business Academy Annual Conference, held in Tallinn, Estonia in December 2008, with the theme International Business and the Catching-up Economies: Challenges and Opportunities.

'The processes of internationalization, innovation and venture-creation in high-technology new ventures are inextricably intertwined. This is particularly true in the uncertain and troubled waters of the life sciences industry where startups with very uncertain futures are required to face significant challenges in short windows of opportunity. Navigating these waters is not straightforward, either for those immediately involved in it, or for those trying to understand it. This book is a must-read for anyone who is serious about understanding entrepreneurship in the biotechnology industry.' Alberto Onetti, CrESIT (Research Center for Innovation and Life Science Management), Italy In this thought-provoking book, leading experts explore why international entrepreneurship is important to the life sciences industry. From multi-disciplinary and cross-national perspectives, they question why international entrepreneurship scholars might usefully invest interest in research focused on one specific industry context. The book addresses contemporary challenges of relevance to life science firms and draws on leading-edge debates in international entrepreneurship research. Topics include: the nature of the born-global firm; the development of international capabilities and competencies; the role of local and international partnerships and alliances; competitiveness, opportunity recognition and orientation; and the role of specialized complementary assets in internationalization. It concludes by proposing an agenda for future research across the underpinning fields of innovation, entrepreneurship and internationalization. This book will prove a stimulating read for academics, students and researchers with an interest in international business, management and entrepreneurship, as well as for practitioners in the health professions or life sciences academics who are, or may become, entrepreneurs.

'Internationalization, Technology, and Services is recommended for upper-division and graduate students at academic libraries. Information professionals who read this work will benefit from expanding their understanding of the many forms of internationalization.' - Marc Vinyard, Business Information Alert This book examines the way in which the increasing internationalization of services, including the operation of multinationals in this sector, interacts with the process of innovation in services. The book challenges the theoretical traditions that have developed around the analysis of service innovation and internationalization, and argues for a new research agenda. The distinguished contributors address many of the most pertinent issues and adopt a variety of theoretical and empirical approaches to enrich the debates.