Born global


Born global

Such companies, the authors believe, have lessons to teach in an increasingly international marketplace. Most multinational companies — such as BT, Microsoft, Matsushita and Siemens — grew big in their home markets before they went overseas.

More recently, a number of newer companies mostly small and medium-sized enterprises have gone international within a few years of inception, even while quite small and unknown at home. In contrast, in most countries, most companies manage only token levels of internationalisation.

For example, of the or so largest publicly listed UK companies, fewer than 30 per Born global generate half of their total revenues from international sales. Born-global companies merit much more attention than they are receiving, as their growth strategies could provide lessons for many other organisations.

We have been studying such firms to unlock their secrets to success.


Specifically, we have been trying to pin down when a firm should seek early and rapid internationalisation — and how to do it successfully. A number of large multinationals have followed this path, starting with old European companies like BP, Philips and Santander, and continuing with much younger technology companies like Nokia and Ericsson.

However, as noted, a growing number of companies are venturing international having just been founded; their path to internationalisation is much more rapid than the traditional one. Prior research has found three key reasons for the emergence of born globals: Nevertheless, a question that remains largely unanswered is why some new ventures opt to go international from their inception, whereas some choose the traditional path of developing their domestic markets first.

Prior experience of the founders, their international experience and recognition of international business opportunities, followed by the level of global integration of the industry in which a company operates — these are some of the reasons that have been put forward most often as possible explanations.

When should they seek to go international early? After all, foreign business is generally much tougher than domestic business.

Why not stay at home as long as possible? High tech and highly global We knew that high-technology companies were particularly prone to the born-global effect, and we wanted to investigate why some of these companies were more successful in their internationalisation efforts than others.

This meant that all the companies were subject to the same geographic influences, particularly through the role of the University of Cambridge in generating technology innovation and related business start-ups.

For example, Time assessed the top 50 high-technology companies in Europe, and nine were based in Cambridge. Currently, Cambridge Technopole another name for the region is home to over 1, high-technology ventures employing around 45, people.

In the summer ofwe began an intensive study of one dozen high-technology companies located in the Greater Cambridge Area Cluster. The sector includes computer services, internet, software, computer hardware, electronic office equipment, semiconductors and telecommunications equipment.

Most read this month A summary of interim findings published in Autumn is available here.
Born Global: A British Academy Project on Languages and Employability | The British Academy


The companies we studied, in addition to being in the same sector, also shared a number of similar characteristics. They were all less than 20 years old, all had started international operations early at an average age of 2.

The most striking thing we learned about these companies was that their imperative for venturing overseas arose from the inadequacy or even non-existence of the domestic UK market for their products or services.

Born global

On the other hand, the home environment was conducive to the companies developing a competitive advantage primarily based in technology strong enough to compete internationally.

Another important driver for internationalisation was the need to serve global or multinational customers, which are prevalent in high-technology industries.

It may seem strange that even the fourth-largest economy in the world, the United Kingdom, is too small to provide an adequate market for these companies. But we need to recognize that size depends on the industry sector. Medium-sized economies, such as the UK, actually have some sectors that are very large even by global standards and can support large companies from domestic-only demand.

But, in high technology, British companies underperform relative to the economy as a whole, implying relatively smaller domestic demand.

Hence, these companies need to operate in a market that is far bigger than that in the UK. Furthermore, these companies also recognise the importance of setting the global standard within their niche, which prompts them to expand into international markets fast.Born Global is an open and free-to-use resource for the languages community: universities, teachers, employers, researchers, and students.

The Evidence

We have collected data, both quantitative and qualitative, on the complex relationships between language learning and employability. The definition of a born global firm is “a business organization that, from inception, seeks to derive significant competitive advantage from the use of resources and the sale of outputs in multiple countries.” Many companies go global, but that does not make them born global firms.

“born global” and identifying the main characteristics of born-global firms, this article lists a few salient characteristics of firms that are born global in the technology sector. The art-. Born global.

Born global is a type of company that from the beginning of its activities pursues a vision of becoming global and globalizes rapidly without any preceding long term domestic or internationalization period.

Lessons in Global Expansion from Etsy’s COO Linda Kozlowski January 19, How to Drive Global Growth with International Product Strategy January 13, Accelerate International Growth with Global Payments January 7, Born Global definition a firm that is from its beginnings, immediately or very quickly reliant on a global presence to survive and succeed.

Center-for-global, local-for-local, local-for-global and global-for-global definition.

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