Internationalization of Indian Firms: An Exploratory Study of Two Firms from the Tyre Industry

What is it about?

ABSTRACT The sustained internationalization of firms of Indian origin has held the attention of academicians and practitioners alike. India’s place in the global tyres industry is far from being a prominent one. Yet, two Indian firms have chosen radically different paths to internationalize, as per the typology proposed in the article. This article takes a case study methodology approach that brings to light the antecedents, motives, and behaviors of these two firms in their internationalization journey thus far. Findings also indicate firms initially build a strong market position via delivery capabilities, and thereafter turn to brand building, followed by the quest for input capabilities. KEYWORDS: Entry mode, international competitiveness, internationalization motives, tire industry, typology for internationalization.

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Why is it important?

Our paper helps readers understand how antecedents and various contextual factors affect the choice of entry mode when emerging market multinational enterprises (EMNEs) internationalize. We propose a novel typology for classifying EMNEs based on degree of internationalization as an indicator of entry mode preference.

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