Monday, September 30, 2019
Born Global Firm
.- What are some of the managerial characteristics of a Born Global firm? How are distinguishable from those of a traditional firm that seek to expand with a more traditional evolutionary process? The Born Global firm phenomenon refers to those special firms that adopt an international approach right from their birth The general characteristics of Born Global firms differentiate themselves from other multinationals in their growth stages. Born Global firms typically operate in a narrowly defined market niche, which makes it harder to grow in a small home market. A high degree of specialization requires internationalization if the firm wants to achieve substantial growth. Born Global firms often possess unique resources and capabilities such as entrepreneurial orientation of the founders, innovation behind products and technology, accumulated knowledge of the founders and managers from previous work experience, and networking capabilities. Managers with a previous background of international strong activity will give to the company a more sure address to its business expansion, for this reason a high level of entrepreneurial orientation supports the firm? ability to recognize and create opportunities at an early stage. It can be argued that Born Global firms are typically found in niche business areas where products are unique, and require high amount of research and development like the high tech business area. It is very important to invest in products with a short life cycle and high technology sectors are characterized by this necessity o f a continued innovation which can protect those firms and products from any imitation. As for geographic locations of these Born Global firms, their headquarters can be found in various countries, such as the United States, United Kingdom, SwitzerlandÃ¢â¬ ¦ Rich and large countries give birth to Born Global firms, as these countries have potential demand for unique products, plenty marketing professionals and financial support. Foreign demands for unique products then often pull these firms to globalize quickly.