J Int Entrep
DOI 10.1007/s10843-015-0158-4
Boundary crossing for international opportunities
Tuija Mainela 1 & Vesa Puhakka 1 & Per Servais 2
# Springer Science+Business Media New York 2015
Abstract In this introductory article, we discuss international opportunities in international entrepreneurship as a particular phenomenon that focuses on boundary crossing.
Instead of taking boundary crossing primarily as a behavior or an activity that makes
opportunities international, we suggest the boundary itself and being on the borderline,
as such, to be of significance. Accordingly, we propose that at the borderline, opportunities that are made and found, embedded in action and interaction and involve
transformative process of emergence, are constructed through questioning and formation, instrumentality generation, and expansive learning. Towards the end of the article,
we introduce the papers included in this special issue.
Keywords International opportunity . Boundary crossing . International
entrepreneurship . Expansive learning . Transformation
Introduction
International entrepreneurship (IE) involves particular types of behavior—those focused on opportunities and crossing borders (Oviatt and McDougall 2005). Opportunity is perceived as a concept that has a positive connotation and a future orientation;
entrepreneurs are considered to be innovative, brave, and proactive (Murphy et al.
* Tuija Mainela
[email protected]
Vesa Puhakka
[email protected]
Per Servais
[email protected]
1
Department of Management and International Business, University of Oulu Business School,
P.O. Box 4600, FIN-90014 Oulu, Finland
2
Department of Marketing and Management, University of Southern Denmark, Campusvej 55,
DK-5230 Odense M, Denmark
T. Mainela et al.
2006), for example, because of their ability to capitalize on opportunities. With respect
to crossing borders, we typically consider operations involving more than one nation as
being more complicated and needing more careful action than the ones within a single
nation due to cultural, institutional, and social differences (Mahnke et al. 2007), for
example. Crossing a border, therefore, has a negative connotation and is a more
present-oriented activity. If an entrepreneur crosses a business-complicating border
(border-crossing) today, he or she can expect to be able to develop a fruitful business
(opportunity) tomorrow.
What if we conceptualize crossing a border as a productive activity for the future and
an opportunity as a complicated issue to be solved at present? The former is suggested
by the particular group of researchers emphasizing the expansive learning processes
growing out of contradictions and conflicts in various multi-actor settings towards the
emergence of new practices or situations (see Jones and Holt 2008; De Clercq et al.
2012). The latter is the core of effectuation, bricolage, and serendipitous entrepreneurial
behaviors (Sarasvathy 2001; Baker et al. 2003). This conceptualization of IE is the
grounding for the present study, which discusses boundary crossing in IE and then
introduces the articles in this special issue.
Our earlier research suggested a definition of an international opportunity as Ba
situation that both spans and integrates elements from multiple national contexts in
which entrepreneurial action and interaction transform the manifestations of economic
activity^ (Mainela et al. 2014, p. 120). This suggests action, interaction, and transformation as fundamental to behaviorally constructed international opportunities. Furthermore, it means that spanning and integration at the border are the necessary elements of
the concept. To discuss these ideas further, we use the concept of boundary crossing to
refer to the activity of building new links in cross-border social contexts. The core of
our conceptualization of the international opportunity-focused IE is charmingly captured by Peter Høeg (1994, p. 37) in his award-winning novel Borderliners: “Understanding is something one does best when one is on the borderline.”
We use this quote to lead us to the theory on expansive learning by Engeström
(2001) who has developed the idea of boundary crossing on the basis of Høeg’s novel
in an illuminating way (Engeström 2005). In expansive learning, Bthe learners are
involved in constructing and implementing a radically new, wider and more complex
object and concept for their activity^ (Engeström and Sannino 2010, p. 2). We
particularly relate this to the IE research emphasizing the context embeddedness of
opportunities (e.g., Lee and Williams 2007; Zander 2007; Muzychenko 2008; Ellis
2011; Williams and Lee 2011) and suggest the critical context to be the boundary
crossing at the borderline. As we will illustrate, it is not only the national border that
should be of interest; the boundary crossing also emphasizes the intellectual, linguistic,
and practical views from different bases that entrepreneurs bring to the international
opportunities (Kemmerer 2002; Zander 2004; Mathews and Zander 2007). This opens
up the possibilities for creating new meanings through the transformation of symbolic
as well as concrete resources for international opportunities (see Venkataraman et al.
2012; Selden and Fletcher 2015).
The expansive learning approach allows us to move towards integrative approaches
of international opportunities instead of taking either side of the often-presented
dichotomy of the concept. Hence, international opportunity is not seen as either a
sophisticated manipulation of dispersed information or a social construction of a
Boundary crossing for international opportunities
previously non-existent concept, but it combines elements from both, setting the focus
on the boundary on which opportunities are designed (Venkataraman et al. 2012). The
integration is actually characteristic of most of the papers in this special issue. In the
integrative view, reality is a structure in which historically produced and institutionalized actions and artifacts are used as symbolic resources to produce practices, discourses, politics, and even resistance to create new economic activity (see, e.g.,
Courpasson et al. 2014).
Despite continuous calls for integrative frameworks (e.g., Wakkee 2006; Fletcher
2007; Schweizer et al. 2010), little research exists that highlights both the material and
the social construction of international opportunities. We take this as an issue of
expansive learning. Specifically, our contribution is centered on the conceptualization
of boundary crossing for international opportunities in IE. The core of boundary
crossing is the action, interaction, and transformation at the borderline (see
Venkataraman et al. 2012). In theorizing about expansive learning for international
opportunities in IE, we rely on the cultural-historical activity theory (Engeström et al.
1999; Engeström 2001, 2014). On this basis, we discuss the object-oriented activity at
the borderline and the boundary crossing as the foundation of the integrative approach
to opportunities in IE. Finally, we discuss the articles of this special issue and their
implications for the study of international opportunities.
Boundaries and opportunities in IE
Boundary is defined as Bthe barrier conditions between the activity and its context^
(Katz and Gartner 1988, p. 432). Boundaries are also seen as relatively stable differentiating factors that actors experience when they are involved in cross-border interaction (Zander 2007; Hill and Mudambi 2010). Furthermore, boundaries are seen as
important for managing the complexity of international business circumstances (Karra
et al. 2008; Figueira-de-Lemos et al. 2011). Our focus on boundary crossing underlines
the importance of contexts and social situations in which opportunities arise (cf. Baker
et al. 2005). Research has also emphasized local market exchanges as a source of ideas,
feedback, and learning that can be a basis for new opportunities (Webb et al. 2010).
Here, we focus on the boundary as a productive setting, which combines conflicting
interests and elements that favor the emergence of international opportunities (cf. Lee
and Williams 2007; Mahnke et al. 2007; Williams and Lee 2011).
In the examination of boundaries, we aim to extend beyond the view of international
opportunities as cross-national combinations of resources and markets (cf. Di Gregorio
et al. 2008; Cavusgil and Knight 2015). Boundaries, in our view, relate to the crossing
of cultural (Muzychenko 2008; Sequeira et al. 2009), historical (Chandra et al. 2012;
McGaughey 2013), social (Dacin et al. 2011; Nicolopoulou 2014) as well as imaginative (Clarke and Holt 2010; Johannisson 2011) borders. We take boundaries as a Bthird
space,^ where opposing worlds irregularly meet and interact to form new meanings that
go beyond the apparent edges of both (see Engeström 2001). Third spaces allow for
experimenting and resisting, which are essential for contradictions to be turned into
international opportunities. These boundaries are critical for the expansive learning that
makes us move further from the internationalization facilitators such as learning
orientation (e.g., Jantunen et al. 2008) and possessed knowledge (e.g., Nordman and
T. Mainela et al.
Melén 2008). We see expansive learning for international opportunities to center on the
integration of multiple contexts and the controversies thereof in the generation
of international opportunities (IOs) as novel means for value creation (cf.
Mainela et al. 2014).
In the following, we take the opportunity conceptualization by Venkataraman et al.
(2012) as our point of departure. Their conceptualization delineates three key assumptions of artifactual opportunities: made and found constituencies, embeddedness in
action and interaction, and the transformative process of emergence. We then characterize expansive learning as the core activity at the borderline of international opportunities, relying on activity theoretical reasoning by Engeström (2014). In terms of
activity theory, we emphasize the questioning, instrumentality generating, and expansive acts that relate to the beneficial contradictions at the borderline instead of the
strategic learning cycle (cf. e.g., Engeström 2001). We conclude with international
opportunity outcomes from the boundary-crossing activity (see Table 1 for a summary
of the elements).
Following Venkataraman et al. (2012) conceptualization, the objects of activities that
entrepreneurs bring into being in international opportunity construction are artifacts
(see also Sarasvathy et al. 2008). Artifacts are Bphenomena in which human purpose as
well as natural law are embodied^ (Simon 1996, p. 3). Thus, international opportunities
are cultural products of human conception, and, instead of existing naturally, international opportunities as artifacts are man-made. According to activity theoretical reasoning, international opportunity-related activity at the borderline is object-oriented
(see Engeström 2001, 2014). An object is an intentionally selected and collectively
motivated target for activity (Holt 2008; Jones and Holt 2008). Therefore,
opportunities exist only with entrepreneurs, depend on the situation, and are
possible to modify and construct by entrepreneurs through their activity
(Engeström 2001; Venkataraman et al. 2012). With the intent to elaborate on
the activity of boundary crossing, we will discuss three borderlines. The first
borderline exists between the structures, such as institutional rules, and the will
of entrepreneurial actors to construct international opportunities. The second
borderline brings together the cultural, historical, and social tools and signs
from a multitude of dissimilar contexts for international opportunities. The third
borderline captures the historical and non-linear transformations of opportunities
over time.
Table 1 Boundary crossing for international opportunities in IE
Core assumptions about international
opportunities (IOs)
Expansive learning acts
at the borderline
International opportunity
outcomes
Made and found IOs
Questioning existing and
forming of new objects
Emergence of value-creating
novel IOs
Actions and interactions
for IOs
Generating new instrumentality
Development of IOs in the
meaning-making processes
Transformation of IOs
Expanding into something
new for greater achievement
Unpredictable manifestations
of IOs
Boundary crossing for international opportunities
Creating novelty in a process of experimenting at the borderline
International opportunities are about novelty in value creation (e.g., Venkataraman et al.
2012). In terms of the boundary-crossing activity of IE, novelty is interpreted in a
situation formed of certain elements that exist and are taken-for-granted and certain
elements that are subjectively interpreted. Therefore, opportunities are both found and
made (Venkataraman et al. 2012) on a borderline between existing and potential objects
(Hill and Levenhagen 1995). Instead of being either discovered or created, they are
designed at the intersubjective boundary (Venkataraman et al. 2012; Vaghely and Julien
2010). The intersubjective boundary focuses on shared experiences (Venkataraman
et al. 2012) and emphasizes the context embeddedness and the historicity of human
activities (Engeström 2001).
As international opportunities are man-made, they open up for questioning of the
existing and formation of new objects by the entrepreneurs. This type of activity is the
primary form of control practiced by the entrepreneurs (Sarasvathy 2001) and is needed
for expansive learning (Engeström 2001). Entrepreneurs, thus, do not just adapt to the
norms brought about by markets, technologies, or social structures. On the contrary,
entrepreneurs can manipulate the situational factors and modify or produce new
artifactual objects (Sarasvathy and Dew 2005; Harmeling et al. 2009). In questioning
is experimented if the prevailing institutions regulating the entrepreneurial activity are
in harmony with the experience and will of the entrepreneurs (Dana 1995; Sarasvathy
et al. 2008).
Therefore, international opportunities appear when the human needs of entrepreneurs and the material-cognitive world meet (Holt 2008; Rindova et al. 2009;
Cornelissen and Clarke 2010). Such a meeting can be seen to be of constant interest
to IE researchers. For example, research with a primary focus on international opportunities and institutional change processes (e.g., Mainela and Puhakka 2009; Nasra and
Dacin 2010; Santangelo and Meyer 2011; Kiss et al. 2012) brings together international
entrepreneurial aspirations and turbulent country settings. International entrepreneurship under the institutional change process is a particular boundary-crossing setting
bringing together old institutions and new desires as springboards for the emergence of
international opportunities (see e.g., Mainela and Puhakka 2009). Some institutions can
be seen to maintain boundaries while at the same time other forces and processes
attempt to break down these boundaries.
To the entrepreneur, this is a contradictory situation in which the historically and
socially embedded structures direct the entrepreneur to adapt to the prevailing circumstances (De Clercq and Voronov 2009; Barreto 2012). At the same time, the possibility
of a new solution pulls the entrepreneurial actor to question and resist what prevails
(Birkinshaw and Ridderstråle 1999; Courpasson et al. 2014). Contradictions are based
on situations in which the solutions are not satisfactory for existing institution as the
solution violates the institution’s settings or values (Dorado 2005; Rao and Giorgi
2006). It is important, however, to note that the contradictions are not troubles, but they
are accumulated structural tensions within the activity or between the activities
(Engeström 2001). The questioning of the current objects generates new objects
manifested as international opportunities.
In sum, one primary borderline as a productive setting is the one between the will
and aspirations of the entrepreneurial actor and the existing reality institutionalized in
T. Mainela et al.
rules, regulations, and perceived expectations in an intersubjective space. In such
events, entrepreneurial actors drift between expected compliance to rules and their
own experience of meaningfulness (Rao and Giorgi 2006; Mathews and Zander 2007;
Lee and Williams 2007).
Therefore, international opportunities emerge out of experimenting at this
borderline.
Meaning-making through action and interaction for international opportunities
Much of the research agrees that the enactment of opportunities is a dialogical process
that requires engaging others in the development of a common object (e.g., Fletcher
2007; Rindova et al. 2009). Opportunity as an object of collective action emerges as a
result of the development of shared interests through action and interaction (Schweizer
et al. 2010; Venkataraman et al. 2012). For international opportunities, action and
interaction bring together individuals and teams from a variety of backgrounds
(Johanson and Vahlne 2009; Sequeira et al. 2009). This emphasizes the
multivoicedness of the borderline of international opportunity enactment
(Engeström 2001).
Activity theory (Engeström 1987, 2001; Holt 2008) stresses the process of meaningmaking, which is primarily a social practice. As a social practice, boundary crossing
brings together the various intellectual, linguistic, and practical tools the actors from
different activity systems carry (Kemmerer 2002; Zander 2004, 2007; Mathews and
Zander 2007; Hill and Mudambi 2010). Entrepreneurial action and interaction at the
borderline is therefore about telling stories of the past, creating spaces for new thinking,
convincing others of the better scenario, and narrating the value of something novel (cf.
Venkataraman et al. 2012). In this process, the constructive contradiction that creates
the basis for expansive learning is typically not an either-or situation in which two
opposing views are competing but a both-and situation in which balancing the conflicting priorities is not possible (Jones and Holt 2008). The solution is a leap from the
existing premises to produce new objects. It is not a solution to the existing problem but
a generation of a new and more relevant problem to be collectively solved by breaking
out from the existing.
The opportunities come into existence when the entrepreneurial actors articulate and
acknowledge the contradictions in their words and deeds (Hatch 1997; Jones and Holt
2008; Johannisson 2011; McKelvie et al. 2011). They involve the dilemmas, conflicts,
and double bind situations that materialize linguistically in, for example, indignation,
humor, fear, and enthusiasm (Hill and Levenhagen 1995; Rao et al. 2000; Gaddefors
2007; Navis and Glynn 2010). Breaking out from the contradictory situation and
producing new entrepreneurial objects requires the generation of new cultural tools
and instrumentality to intermediate the rejection of the existing objects and the acceptance of new potential objects (Dorado 2005; Engeström 2001; Dacin et al. 2011; Lardy
and Hamilton 2011). Mediation is no longer just fulfillment of the original role of tools
or signs; instead, the mediating tools and signs lead to the reshaping of the whole
repertoire of instrumentalities (Holt 2008; Vahlne et al. 2012). The use of the mediating
artifacts expands by producing new tasks and objectives for the tools and signs. These
instruments may include novel models, concepts, or formulas that go beyond the
available options or forces, pushing the activity system to a new phase of development.
Boundary crossing for international opportunities
From the IE perspective, the activity at the borderline can be seen primarily as a
matter of horizontal, i.e., cultural, historical, and social, boundary crossing for international opportunities (Mahnke et al. 2007; Lee and Williams 2007; Zander 2007;
Muzychenko 2008; Williams and Lee 2011). In the boundary-crossing activity, a wide
range of concrete and symbolic tools that mediate the production of an object is used
(see Engeström 1987). For example, language skills are a linguistic tool that are related
to international opportunity recognition and exploitation (Hurmerinta et al. 2015).
Hence, understanding the mediating and the intermediating role of tools and signs is
essential (Holt 2008; Jones and Holt 2008). For example, the bylaw of a corporation
written by headquarter lawyers might be used to justify why a subsidiary is not allowed
to invest in a lucrative new market opportunity. Consequently, the resolution of
contradictions, and thus the construction of a new object, requires new tools and signs,
which may lead to the development of entirely new objects (Rao and Giorgi 2006;
Jones and Holt 2008; Wright and Zammuto 2013). The redefinition of tools and signs,
and even the emergence of entirely new tools and signs, has a critical role to play in the
construction of new objects, i.e., international opportunities (Nasra and Dacin 2010;
Williams and Lee 2011).
In sum, another primary borderline as a productive setting is the one that brings
cultural-historical tools and signs of social practice together from different activity
systems. In such events, international opportunities are enacted by means of human
imagination and social interaction. They result in new meanings through the redefinition of tools and signs used to intermediate between entrepreneurial actors and international opportunities. The international opportunities are based on the ability to
generate new instrumentality supporting the definition of common objects at this
borderline.
The emergence of unpredictable manifestations of international opportunities
The third aspect that is critical to understanding boundary-crossing activities for
international opportunities is the transformative process of their emergence. Engeström
(2001) notes that in organizational transformations, those international opportunities
often are (Venkataraman et al. 2012) individuals must learn new forms of activity.
These new forms of activity are learned in their production. The transformative
approach to opportunities emphasizes the possibility of a total lack of links—other
than the history—between old and new opportunities, and it gives primacy to the
relationships and interfaces between the objects and their contexts (Venkataraman et al.
2012). Thus, international opportunities as artifactual objects inherently involve ambiguity, surprise, and change, which emphasize the possibility of expansive developments
(Engeström 2001).
In a situation characterized by transformative activity, opportunities cannot often be
logically deduced by reorganizing information from the environment. The transformative situation at hand is not due to the complexity of the environment and thus is not a
challenge of manipulation of scattered information (cf., Eckhardt and Shane 2003).
Instead, it is a question of creative work by entrepreneurs and their partners that results
in a particular relation between the object and its given context (cf. Johanson and
Vahlne 2009; Venkataraman et al. 2012). An opportunity as an artifactual object is
always part of its context. The relating at the object-context inter-boundary is the key
T. Mainela et al.
issue (Venkataraman et al. 2012), and the activity at the inter-boundary requires
understanding that solutions are not always linear (Engeström 2001). A prior opportunity does not need to be connected with the new opportunity by any other ways than
through history (Venkataraman et al. 2012).
Still, the present opportunities can only be understood together with their histories
(Rindova et al. 2009; McMullen and Dimov 2013). Elucidating opportunities as
historical and dynamic is the key to seeing the qualitative transformation of opportunities (McMullen and Dimov 2013). A transformative opportunity involves change in
the inter-boundary between the created object and its context (see Venkataraman et al.
2012). It means changes both in the internal relationships of a unit and the competitive
landscape, and those changes radically change the boundary itself. An important part of
the transformations of opportunities is the movement between the long, historical
perspective and the relatively short-term, goal-oriented acts (Alvarez 2007; Wright
and Zammuto 2013). The qualitative transformation of opportunities is driven by those
acts, tasks, and small innovations that differ from the ordinary and, hence,
slightly transgress the given boundaries (Steyaert and Katz 2004; Hjorth 2004;
Johannisson 2011).
International opportunity as an object of activity is typically considered to be a
temporally and spatially defined event, such as an event whereby a customer is
discovered in an international market (e.g., Oviatt and McDougall 2005; Perks and
Hughes 2008). Later research also illustrates the emergence of international opportunities to undertake in a lengthy temporal process (Fletcher 2006; Schweizer et al. 2010;
Mainela et al. 2011). Transformative activity for international opportunity formation
can be seen in the IE research, which shows the accumulation of small-scale social
interaction in significant changes in the social structures (e.g., Sequeira et al. 2009).
This kind of boundary-crossing activity opens up space for what are termed Brunaway
objects^ (Engeström 2001), which can escalate and even have a global impact (e.g.,
global financial crisis). These expanding runaway objects are hardly under anyone’s
control and may produce unexpected side-effects. However, they can also produce and
release radical new opportunities for development.
In sum, a third primary borderline as a productive setting is one of the interboundaries between opportunities as objects of activity and their contexts. At this
inter-boundary, ambiguities and surprises of local, often small-scale activity turn up
as new objects characterized by changed relations in this context. Over expansive
cycles of development, some of the existing objects might be internalized, but simultaneously, the unusual is made use of in order to renew things completely. The
transformative opportunities often start from small everyday problems and marginal
innovations, and are therefore difficult to predict.
This special issue and future research
In the present introductory article, we have suggested three particular borderlines to
circumscribe the boundary-crossing activity for international opportunities. We have
emphasized the artifactual nature of the international opportunities, as well as expansive
learning processes possibly arising from the boundary-crossing activities. We saw the
first borderline as existing between the structures, such as institutional rules, and the
Boundary crossing for international opportunities
will of entrepreneurial actors. We depicted how the international opportunity emergence through activity at this borderline might require a questioning of the existing and
experimenting at the boundary to create novel solutions for value creation. The second
borderline, to which research could pay further attention, is the one that brings together
the cultural, historical, and social tools and signs from a multitude of dissimilar
contexts. We emphasized the meaning-making processes and the activity systembased tools that interact in the creation of common objects. The third borderline to be
examined is the one between consecutive opportunities and their contexts. It draws our
attention to the historical and non-linear transformations of opportunities over time. Let
us now reflect on the articles of this special issue.
Hilmersson and Papaioannou model international opportunity scouting as a strategic
activity that brings together international experience as an internal determinant and
network structure as the external determinant of international opportunity novelty. They
suggest experience, systematic scouting, and closeness of the network to lead to a lower
novelty value of the opportunity. With respect to our conceptualization of the boundary
crossing as a critical activity, this asks us to go further into the examination of
experimenting for international opportunities.
Laperrière and Spence focus on the organizational learning processes and how they
influence the enactment of international opportunities. Their examination of organizational learning illustrates how knowledge travels (or does not travel) from the individual level through the group level to the organizational level, in order to allow for
international opportunity enactment by the firms. They emphasize the mixing of
existing knowledge and the new knowledge acquired in the international operations
as a basis for the enactment of new opportunities but show how that is not necessarily
happening within firms. We see that their examination creates a basis for further
examination of the expansive learning processes at the opportunity-context interboundary. Interestingly, they illustrate both the possibility of producing a wide variety
of new opportunities and the possibility of internal processes that negate the enactment
of new international opportunities. We consider this to be an issue that can be taken
further through in-depth analysis of the inter-boundaries between internalized and
externalized elements of opportunities.
Åkerman sets the focus on the realization of international opportunities on the basis
of the firm’s market knowledge and internationalization know-how. The study’s results
suggest that increasing the number of different national contexts in the business
operations of the firm is only beneficial for opportunity realization to a certain extent
and then becomes negative. This might be related to the emergence of multiple
borderlines requiring cultural-historical tools and signs of social practice to be brought
together from so many different activity systems that they become complicated to use
for common benefit. Supporting network-based approaches, the study suggests that
knowledge about the local business network is an important determinant of international opportunity realization, whereas the importance of the knowledge of the institutional context is not confirmed.
Andersson and Evers, like Lehto, present a strongly individual-centered approach to
international opportunity construction. Both studies set entrepreneurs as the focal actors
and emphasize the creation of intersubjective spaces where the entrepreneur’s ideas and
the views of the other actors in the institutional context are brought together. Andersson
and Evers focus on the capabilities view and suggest the concept of dynamic
T. Mainela et al.
managerial capability for the examination of the differences in managerial actions and
decisions with respect to international opportunity recognition and exploitation in new
international ventures. In Lehto’s study, entrepreneurial selling is conceptualized as a
particular boundary-crossing activity that allows for the joint envisioning and realization of international opportunities. The study calls for further examination of entrepreneurial selling with the set intention to question the existing businesses and develop
novelty value out of the interactive processes.
Oyson and Whittaker conceptualize opportunities using an integrative approach,
discussing discovery and creation, with the objective and the subjective elements
intertwining. They illustrate how potential international opportunities are transformed
through entrepreneurial cognition and action as actual international opportunities
connecting products, capabilities, and customers. They emphasize the role of subjective
interpretation that leads to individuals constructing different international opportunities
in the same situation as well as illustrating change over time. They add imagination to
the earlier often-debated knowledge and serendipity as the bases for international
opportunities.
Holm, Johanson, and Kao focus on the action and interaction that takes place at the
network level to actualize international opportunities in foreign markets. The primary
boundary-crossing activity is seen to take place between the focal firm’s internal
network and the local market network in which the firm is an outsider but would like
to be an insider. Through analysis of developments over a 30-year period, they illustrate
how four different opportunities are differently embedded in the networks, where this
embeddedness is a critical determinant of the opportunity-related behaviors. The case
study suggests the use of path dependence to characterize opportunity exploitation.
From the viewpoint of our theorizing of the boundary crossing for international
opportunities, we see that this study particularly enriches the understanding of the
activities at the borderline, where different cultural and social elements embedded in the
dynamic network structures are brought together for various international opportunities.
Acknowledgments The authors wish to thank Hamid Etemad and Juha Tuunainen for their reviews of the
paper draft and the very valuable suggestions for revisions of the manuscript.
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