The international business incubator as an entry mode – a systematic literaturę review
DOI:
https://doi.org/10.26485/SPE/2021/119/14Keywords:
business incubator, business incubation, entry mode, systematic literature reviewAbstract
Background: Entry mode choice is a topic that has interested academic researchers for decades. Entry modes have been frequently conceptualized along a continuum from the export, through various forms of contractual and equity-based cooperation with partners in foreign markets, to wholly-owned subsidiaries. However, the barriers and challenges related to entering foreign markets remain significant for newcomers. A new phenomenon, namely the “international business incubator” (IBI), which is aimed at facilitating an enterprise’s entry into a foreign market, has recently emerged and been described in the literature as a new entry mode.
Research purpose: The purpose of this paper is to investigate the existing knowledge in the lit-erature relating to the IBI as a method of foreign market entry.
Methods: A systematic literature review using a keyword search in various academic databases was employed with the aim of answering the research questions proposed.
Conclusions: The findings indicate that although the IBI phenomenon has become more widespread, the literature on this topic is very limited at present. The findings also reveal that improved risk/control trade-off, lower market entry costs, enhanced knowledge, network relationship, trust, institutional aspects, and strategic resource commitment are the main characteristics that give IBI advantages over other entry modes. Based on the findings of the existing body of knowledge, the paper provides recommendations for future research, which can contribute to the literature on the IBI.
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