Skip to main navigation menu Skip to main content Skip to site footer

The evolution of the Uppsala model: Towards non-linearity of internationalization of firms

DOI:

https://doi.org/10.15678/IER.2021.0702.01

Abstract

Objective: The objective of the article is to synthesize the process of transforming the Uppsala model of internationalization of the firm from the original one of 1977 to the most up-to-date model of globalization of 2017.
Research Design & Methods: This article is based on a literature review – primary sources presenting the concepts of Johanson and Vahlne as the authors of the Uppsala models.
Findings: This article discusses a total of seven models proposed by Johansson and Vahlne (in the years 1977, 2009, 2010, 2011, 2013, 2014, 2017) with their various smooth extensions (1990, 2003, 2006, 2012) showing the way they were transformed and evolved.
Implications & Recommendations: Although stages models are often criticized in the literature, they are still widely used in empirical research. Their successive modifications may attest to their universal character and timelessness.
Contribution & Value Added: The article compiles all the major models from Johanson and Vahlne, and sometimes also of their co-authors (Ivarsson and Schweizer), in one place, showing their common base and differentiating issues that differ in these models.

Keywords

Uppsala model, U-model, stages model, process internationalization, Johanson and Vahlne, process theory of internationalization, incremental internationalization, international entrepreneurship, network approach

pdf

Author Biography

Krzysztof Wach

Full Professor at Cracow University of Economics (Poland). Professor of social sciences (2020), Habilitation (dr hab.) in economics (2013), PhD in management (2006), MSc in international economics (2001). His research interests include international business, international entrepreneurship, EU studies, entrepreneurship and innovation, family firms. Member of AIB (Academy of International Business) and EIBA (European International Business Academy). Editor-in-Chief of ‘Entrepreneurial Business and Economics Review’ (Scopus, ESCI WoS). Associate Editor of various journals incl. ‘European Journal of International Management’ (SCI WoS), ‘Central European Management Journal’ (Scopus, ESCI WoS), ‘Agris on-line Papers in Economics and Informatics’ (Scopus) or ‘European Integration Studies’ (ESCI WoS). Member of the Committee for Economic Sciences of Polish Academy of Sciences (since 2020). Served as expert on entrepreneurship for the European Commission and OECD (2012-2019).

Correspondence to: Prof. Krzysztof Wach, PhD, Cracow University of Economics, ul. Rakowicka 27, 31-510 Kraków, Poland, e-mail: wachk@uek.krakow.pl


References

  1. Andersson, S. (2000). The internationalization of the firm from and entrepreneurial perspective. International Studies of Management & Organization, 30(1), 63-93. https://doi.org/10.1080/00208825.2000.11656783
  2. Cannon, T., & Willis, M. (1981). The smaller firm in international trade. European Small Business Journal, 1(3), 45-55.
  3. Cavusgil, S.T. (1994). Born globals: A quiet revolution among Australian exporters. Journal of International Mar-keting Research, 2(3), 4-6.
  4. Coviello, N.E., & McAuley A. (1999). Internationalisation and the smaller firm: A review of contemporary empiri-cal research. Management International Review, 39(3), 223-256.
  5. Crick, D., Chaudhry, Sh., & Batstone, S. (2001). An investigation into the overseas expansion of small Asian-owned U.K. Firms. Small Business Economics, 16(2), 75-94.
  6. Drew, N., & Sarasvathy, S.D. (2002). What effectuation is not: Further development of an alternative to rational choice. Academy of Management Conference, Denver. Retrieved from http://www.effectuation.org/sites/default/files/noteffn.doc on 16 January 2021.
  7. Forsgren, M. (2015). The Concept of Learning in the Uppsala Internationalization Process Model: A Critical Re-view. In: M. Forsgren, U. Holm, & J. Johanson (Eds), Knowledge, Networks and Power. London: Palgrave Macmillan. https://doi.org/10.1057/9781137508829_4
  8. Głodowska, A. (2019). Comparative International Entrepreneurship: Theoretical Framework and Research De-velopment. Entrepreneurial Business and Economics Review, 7(2). https://doi.org/10.15678/EBER.2019.070213
  9. Głodowska, A., Maciejewski, M., & Wach, K. (2019a). How Entrepreneurial Orientation Stimulates Different Types of Knowledge in the Internationalisation Process of Firms from Poland?. Entrepreneurial Business and Eco-nomics Review, 7(1), 61-73. https://doi.org/10.15678/EBER.2019.070104
  10. Głodowska, A., Maciejewski, M., & Wach, K. (2019b). Oddziaływanie orientacji przedsiębiorczej na wykorzystanie wiedzy w procesie umiędzynarodowienia na przykładzie firm z Polski (The Impact of Entrepreneurial Orien-tation on the Use of Knowledge in the Process of Internationalisation Based on the Example of Companies from Poland). Studies of the Industrial Geography Commission of the Polish Geographical Society, 33(1), 18-35. https://doi.org/10.24917/20801653.331.2
  11. Głodowska, A., Pera, B., & Wach, K. (2016). The International Environment and Its Influence on the Entrepre-neurial Internationalization of Firms: The Case of Polish Businesses. Problemy Zarządzania – Management Is-sues, 14(3), 107-130. https://doi.org/10.7172/1644-9584.62.7
  12. Grőnroos, C. (1999). Internationalization strategies for services. Journal of Service Marketing, 13(4-5), 290-297.
  13. Hult, G.T.M., Gonzalez-Perez, M.A. & Lagerström, K. (2020). The theoretical evolution and use of the Uppsala model of internationalization in the international business ecosystem. Journal of International Business Stud-ies, 51(1), 38-49. https://doi.org/10.1057/s41267-019-00293-x
  14. Johanson, J., & Vahlne, J.-E. (1974). The internationalisation process of the firm. Mimeographed Working Paper. Uppsala: Department of Business Administration, University of Uppsala.
  15. Johanson, J., & Vahlne, J.-E. (1977). The internationalization process of the firm: A model of knowledge devel-opment and increasing foreign market commitments. Journal of International Business Studies, 8(1), 23-32.
  16. Johanson, J., & Vahlne, J.-E. (1990). The mechanism of internationalisation. International Marketing Review, 7(4), 11-24. https://doi.org/10.1108/02651339010137414
  17. Johanson, J., & Vahlne, J.-E. (2003). Business relationship learning and commitment in the internationalisation process. Journal of International Entrepreneurship, 1(1), 83-101. https://doi.org/10.1023/A:1023219207042
  18. Johanson, J., & Vahlne, J.-E. (2006). Commitment and opportunity development in the internationalization pro-cess: A note on the Uppsala internationalization process model. Management International Review, 46(2), 1-14. https://doi.org/10.1007/s11575-006-0043-4
  19. Johanson, J., & Vahlne, J.-E. (2009). The Uppsala internationalization process model revisited: From liability of foreignness to liability of outsidership. Journal of International Business Studies, 40, 1411-1431. https://doi.org/10.1057/jibs.2009.24
  20. Johanson, J., & Wiedersheim-Paul, F. (1975). The internationalization of the firm: Four Swedish cases. Journal of Management Studies, 12(3), 305-322. https://doi.org/10.1111/j.1467-6486.1975.tb00514.x
  21. Maciejewski, M., & Wach, K. (2019). International Startups from Poland: Born Global or Born Regional?. Journal of Management and Business Administration Central Europe, 27(1), 60-83. https://doi.org/10.7206/jmba.ce.2450-7814.247
  22. Mejri, K., & Umemoto, K. (2010). Small- and medium-sized enterprise internationalization: Towards the knowledge-based model. Journal of International Entrepreneurship, 8(2), 156-167.
  23. Morgan, R.E., & Katsikeas, C.S. (1997). Theories of international trade, foreign direct investment and firm inter-nationalization: A critique. Management Decision, 35(1), 68-78.
  24. Oviatt, B.M., & McDougall, P.P. (1994). Towards a theory of international new ventures. Journal of International Business Studies, 25(1), 45-64.
  25. Pawęta, E. (2016). The Effectual Approach in Born Global Firms: Current State of Research. Entrepreneurial Busi-ness and Economics Review, 4(2), 105-115. https://doi.org/10.15678/EBER.2016.040209
  26. Rundh, B. (2001). International market development: New patterns in SMEs international market behaviour? Market Intelligence & Planning, 19(5), 319-329.
  27. Ruzzier, M., Hisrich. R.D., & Antoncic, B. (2006). SME internationalization research: Past, present, and future. Journal of Small Business and Enterprise Development, 13(4), 476-497. https://doi.org/10.1108/14626000610705705
  28. Sarasvathy, S.D. (2001). Causation and effectuation: Towards a theoretical shift from economic inevitability to entrepreneurial contingency. Academy of Management Review, 26(1), 243-263. https://doi.org/10.2307/259121
  29. Schweizer, R., Vahlne, J.-E., & Johanson, J. (2010). Internationalization as an entrepreneurial process. Journal of International Entrepreneurship, 8(4), pp. 343-370. https://doi.org/10.1007/s10843-010-0064-8
  30. Schwens, Ch., Steinmetz, H., & Kabst, R. (2010), Growth and internationalization: Renewable energy and new technology-based firms (pp. 113-123). In A. Gerybadze, U. Hommel, H.W. Reiners, D. Thomaschewski (Eds), Innovation and International Corporate Growth. Heidelberg–New York: Springer.
  31. Turnbull, P.A. (1987). Challenge to stage theory of the internationalization process (pp. 21-40). In P.J. Rosson, S.D. Reid (Eds), Managing Export Entry and Expansion. New York, NY: Praeger.
  32. Vahlne, J.-E., & Ivarsson, I. (2014). The globalization of Swedish MNEs: Empirical evidence and theoretical expla-nations. Journal of International Business Studies, 45(3), 227-247.
  33. Vahlne, J.-E., & Johanson, J. (2012). New Technology, new environments and new internationalization process? In: V. Havila, M. Forsgren & H. Håkansson (Eds), Critical perspectives on internationalisation (pp. 209-228). London: Pergamon.
  34. Vahlne, J.-E., & Johanson, J. (2013). The Uppsala model on evolution of the multinational business enterprise: From internationalization to coordination of networks. International Marketing Review, 30(3), 189-208. https://doi.org/10.1108/02651331311321963
  35. Vahlne, J.-E., & Johanson, J. (2017). From internationalization to evolution: The Uppsala model at 40 years. Jour-nal of International Business Studies, 48(9), 1087-1102. https://doi.org/10.1057/s41267-017-0107-7
  36. Vahlne, J.-E., & Johanson, J. (2020). The Uppsala model: Networks and micro-foundations. Journal of International Business Studies, 51(1). https://doi.org/10.1057/s41267-019-00277-x
  37. Vahlne, J.-E., Ivarsson, I., & Johanson, J. (2011). The tortuous road to globalization for Volvo’s heavy truck busi-ness: extending the scope of the Uppsala Model. International Business Review, 20(1), 1-14. https://doi.org/10.1016/j.ibusrev.2010.05.003
  38. Vahlne, J.-E., Schweizer, R., & Johanson, J. (2012). Overcoming the liability of outsidership – the challenge of HQ of the global firm. Journal of International Management, 18(3), 224-232. https://doi.org/10.1016/j.intman.2012.04.002
  39. Verbeke, A. (2020).The JIBS 2019 Decade Award: The Uppsala internationalization process model revisited: From liability of foreignness to liability of outsidership. Journal of International Business Studies, 51(1), 1-3. https://doi.org/10.1057/s41267-019-00292-y
  40. Wach, K. (2015a). Entrepreneurial Orientation and Business Internationalisation Process: The Theoretical Foun-dations of International Entrepreneurship. Entrepreneurial Business and Economics Review, 3(2), 9-24. https://doi.org/10.15678/EBER.2015.030202
  41. Wach, K. (2015b). Entrepreneurship without Borders: Do Borders Matter for International Entrepreneurship. Problemy Zarządzania – Managmenet Issues, 14(1[2]), 82-92. http://dx.doi.org/10.7172/1644-9584.51.6
  42. Wach, K. (2015c). Incremental versus Rapid Internationalisation of Firms: Results of Exploratory Investigation from Poland. Entrepreneurial Business and Economics Review, 3(4), 37-48. https://doi.org/10.15678/EBER.2015.030403
  43. Wach, K. (2016a). Innovative Behaviour of High-Tech Internationalized Firms: Survey Results from Poland. Entre-preneurial Business and Economics Review, 4(3), 153-165. https://doi.org/10.15678/EBER.2016.040311
  44. Wach, K. (2016b). Otoczenie międzynarodowe jako czynnik internacjonalizacji polskich przedsiębiorstw (Interna-tional Environment as a Factor for Internationalisation of Polish Firms). Studies of the Industrial Geography Commission of the Polish Geographical Society, 30(1), 7-20. https://doi.org/10.24917/20801653.301.1
  45. Wach, K. (2017). Ewolucja uppsalskiego modelu internacjonalizacji przedsiębiorstwa: w kierunku nielinearności procesu umiędzynarodowienia. International Entrepreneurship Review, 3(3), 159-170 (Special Issue: “Księga jubileuszowa dedykowana Profesorowi Stanisławowi Wydymusowi”).
  46. Wickham, P.A. (2006). Strategic entrepreneurship. 4th edition. Harlow: Prentice Hall.
  47. Wickramasekera, R., & Oczkowski, E. (2006). Stage models re-visited: A measure of the stage of internationalisa-tion of a firm. Management International Review, 46(1), 39-55. https://doi.org/10.1007/s11575-007-0048-7

Downloads

Download data is not yet available.

Similar Articles

1-10 of 194

You may also start an advanced similarity search for this article.

Most read articles by the same author(s)

1 2 > >>