ABSTRACT

This chapter deals with the dilemma raised by George Tesar et al. about small firms’ network participation—that sourcing is equally a part of the operations of international new ventures (INVs). To develop a typology of born global firms or INVs that include international sourcing as a key activity of the entrepreneurial firm, it is necessary to draw upon the first research on INVs and look at the typologies used. Another core of Oviatt and McDougall’s early conceptualization of an INV is that it has a “proactive international strategy” which they contrast to the posture of organizations that “evolve gradually from domestic firms to MNEs” in a more reactive way. One of the influencing forces in the original model is the motivating force of competition. It could also be a necessity for a firm that competes in an internationalized industry sector. Rather, explaining that behavior relies on understanding how the entrepreneurial actor interprets or mediates the opportunity—the enabling and motivating forces.