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Eastern Academy of Management 2019

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On the Internationalization of Hybrid Firms

This study addresses current academic discussions, about international business, and about firms that combine social and profit objectives at their core, i.e., hybrid organizations. Building on the attention-based view of the firm to explain why hybrid firms are less likely to internationalize compared to profit-focused counterparts, we suggest several boundary conditions that mitigate or amplify the internationalization challenges of hybrid firms. Using a representative data set of small and medium-sized indigenous businesses, our findings confirm that hybrid firms are less likely to internationalize than profit-focused ones; however, findings reveal that hybrid firms mitigate their lack of internationalization when the organization leverages economic networks and when the levels of institutional isomorphism are high. Social networks and government support amplify the internationalization challenges of hybrid firms.

Fernando Angulo
MacEwan University School of Business
Canada

Albena Pergelova
MacEwan University School of Business
Canada

Leo DANA
Montpellier Business School
France

 


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