The Internationalisation Of Multinational Corporations ( Mncs ) Evolution And Internationalisation

9765 Words Dec 1st, 2016 40 Pages
 What are the internationalisation patterns of outcome of SSA firm’s internationalisation?

2. Theoretical Perspectives
The theories and study of multinational corporations (MNCs) evolution and internationalisation have been a prominent aspect of the international business (IB) literature for decades. To some scholars, internationalisation is the approach or steps which an organisations’ takes to engage in business activities abroad in order to build required resources and become major players on the global stage (Jansson, 2009; Johanson & Vahlne, 1977; Meyer & Thaijongrak, 2013). While to others the internationalisation process (IP) is how a business spreads locally and between countries both regionally and globally (Jansson, 2009:48). This is an indication that firms’ will evolve and expand domestically before actually taking that initial step towards international expansion.

Several theories and models exist in literature that help explains the internationalisation process of firms (Johanson and Vahlne, 1977, 1990; Dunning 1988, 2000). The internationalisation theory “the Uppsala model” for example posit that internationalisation is a process which involves a series of incremental or steps in firms evolutionary “stages‟ whereby organisation’s gradually become involved in internationalisation activities (Johanson and Vahlne, 1977 and 1990). Uppsala model buttress that firms internationalizes by first through export focus and subsequently involved in the foreign…

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