ISSN: 1648 - 4460

International Journal of Scholarly Papers


Transformations  in
Business & Economics

Transformations in
Business & Economics

  • © Vilnius University, 2002-2013
  • © Brno University of Technology, 2002-2013
  • © University of Latvia, 2002-2013
Krystyna Przybylska

ABSTRACT. Psychic distance is a concept connected with a model of gradual and sequential internationalization of a firm. The firm accumulates knowledge about foreign markets and increases the scope and degree of its engagement in them. This concept gradually loses its meaning in terms of globalization. There has appeared a generation of small and new enterprises called born globals, which from the beginning of their existence internationalize their activity on many foreign markets. Often, they differ in terms of culture and business practices compared to the mother country of such a firm. This fact undoubtedly shows a decreasing role of psychic distance in making decisions about the choice of a market and the form of entry to foreign markets. The aim of the article is to identify the importance of psychic distance for the Polish born globals. The research hypothesis assumes that the characteristics of born global owners/managers enable them to 'omit' psychic distance, which accelerates internationalization of their firms. In the study, the case study method was applied, the subject of which was four Polish born globals from the SME sector. The analysis of the meaning of psychic distance in the process of Polish born global internationalization allows concluding that this phenomenon does not have a decisive impact on the choice of foreign markets. The aim of this study is to examine the internationalization of born-global firms based on the concept of psychic distance. The study uses the qualitative method; that is a study case that aims to identify factors that influence the psychic distance perception by born-global managers. The results of the study show that psychic distance has a small influence on the choice of foreign market. Specific characteristics of global-born managers (global orientation, work experience, command of foreign languages, formal and informal relations) are a stimulus to fast internationalization. The research has a character of a pilot study, which is necessary to conduct the study on a bigger scale. These are the first studies of this type conducted among Polish born globals.

KEYWORDS: psychic distance, born global, characteristic features of managers of born globals.

JEL classification: F23.

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Scholarly papers Transformations in Business & Economics
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Vilnius University
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Kaunas, LT-44280



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