Exploring the Role of Experiential Knowledge in the Internationalization Process

Abstract

The role of experiential knowledge in the internationalization process is still a matter of dispute in international business research. The idea of this resource-based paper is to use organizational learning and entrepreneurship theory to better understand underlying learning processes and their effect on organizational performance. The paper shows that experiential knowledge may play an ambiguous role in the organizational context: it is a major source of competence but also leads to organizational inertia due to path-dependencies, which are inherent in learning processes. The 'international entrepreneurial orientation' appears to be the deciding context factor whether experiential knowledge has a positive or negative effect on the internationalization process. Eight dimensions of this construct are theoretically deduced. All constructs and their interlinking effects are finally presented in a cohesive model.

Keywords: Resource-based theory, experiential knowledge, organizational learning, international entrepreneurial orientation, internationalization process

JEL Classification: F23, L21, M10