The Information Paradox in Internationalization: Can ignorance ever be bliss? Evidence from emerging market SME managers

Magnus Hultman, Abbie Iveson, Pejvak Oghazi*

*Corresponding author for this work

Research output: Contribution to journalArticleScientificpeer-review

13 Citations (Scopus)

Abstract

This research investigates the effect of knowledge on the perception of internationalization barriers and the intention to internationalize among emerging market small/medium enterprise (SME) managers. Drawing from social cognitive theories in entrepreneurship, the study tests a paradoxical effect of knowledge on a sample of 150 managers. The model predicts that the characteristics specific to emerging market SMEs will reverse the traditionally positive relationship of knowledge on internationalization intention commonly found in the literature. Consistent with the hypothesis, the results indicate that knowledge relates negatively to internationalization intention. Additionally, the effect of perceived barriers on intention to internationalize becomes positive when perceived international market knowledge is higher. By clarifying the role of knowledge in the emerging market SME context, the study adds novel understanding to the key concept of internationalization knowledge.
Original languageEnglish
Peer-reviewed scientific journalJournal of Business Research
Volume131
Pages (from-to)268-277
Number of pages10
ISSN0148-2963
DOIs
Publication statusPublished - 19.04.2021
MoE publication typeA1 Journal article - refereed

Keywords

  • 512 Business and Management
  • emerging market
  • information paradox
  • iInternationalization barriers
  • managerial perception
  • market knowledge
  • perceived customer bias
  • SME

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