The role of capabilities in international entrepreneurship

Authored by: Prange Christiane

The Routledge Companion to International Entrepreneurship

Print publication date:  December  2014
Online publication date:  December  2014

Print ISBN: 9780415829199
eBook ISBN: 9780203517161
Adobe ISBN: 9781134096398

10.4324/9780203517161.ch9

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Abstract

International entrepreneurship literature is concerned with the study of firms that seek to derive significant competitive advantage from the use of resources, and innovative, pro-active, and risk-seeking behavior that crosses national borders (Oviatt and McDougall, 2000). Earlier definitions of international entrepreneurship focused on small and young firms, later definitions also included the cross-border entrepreneurial behavior of mature firms, opening the field to include corporate entrepreneurship (Oviatt et al., 2003; Keupp and Gassmann, 2009). While it is unanimously accepted that firms – both small and mature – need resources (e.g. finance, human capital), developing and utilizing capabilities to adjust to external contingencies and internal changes helps them to pass the stage from initial idea development to substantial market growth and survival (Macpherson, 2005). Consequently, researchers have expressed an increasing interest into how capabilities develop and impact firm performance in an entrepreneurial context (Autio et al., 2000; Knight and Cavusgil, 2004; Sapienza et al., 2006; Autio et al., 2011).

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