TY - JOUR
T1 - Network knowledge and business-relationship value in the foreign market
AU - Hohenthal, Jukka
AU - Johanson, Jan
AU - Johanson, Martin
PY - 2014/2/1
Y1 - 2014/2/1
N2 - Based on the key assumptions that firms are opportunity seeking and that they gain critical knowledge operating in a network of relationships, this paper focuses on early expansion in foreign market networks. In particular, the paper examines the relation between experience and business-relationship value in a foreign market. While experience and experiential knowledge are central concepts in international business, little has been written about their effects on the value of business relationships. The paper formulates a set of interrelated hypotheses on the effects of international experience, experiential network knowledge and importance of customer and competitor knowledge on the value of business relationships in a foreign market. They are combined in a structural model, which is tested on a sample through LISREL. The main conclusion drawn from the study is that experiential network knowledge and knowledge about the importance of customers and competitors in the network influence the value of business relationships in a foreign market in different ways.
AB - Based on the key assumptions that firms are opportunity seeking and that they gain critical knowledge operating in a network of relationships, this paper focuses on early expansion in foreign market networks. In particular, the paper examines the relation between experience and business-relationship value in a foreign market. While experience and experiential knowledge are central concepts in international business, little has been written about their effects on the value of business relationships. The paper formulates a set of interrelated hypotheses on the effects of international experience, experiential network knowledge and importance of customer and competitor knowledge on the value of business relationships in a foreign market. They are combined in a structural model, which is tested on a sample through LISREL. The main conclusion drawn from the study is that experiential network knowledge and knowledge about the importance of customers and competitors in the network influence the value of business relationships in a foreign market in different ways.
KW - Business relationship value
KW - Experiential network knowledge
KW - International experience
KW - Knowledge about competitors
KW - Knowledge about customers
KW - Network
UR - http://www.scopus.com/inward/record.url?scp=84888435105&partnerID=8YFLogxK
U2 - 10.1016/j.ibusrev.2013.08.002
DO - 10.1016/j.ibusrev.2013.08.002
M3 - Article
AN - SCOPUS:84888435105
VL - 23
SP - 4
EP - 19
JO - International Business Review
JF - International Business Review
SN - 0969-5931
IS - 1
ER -