Born globals: How to reach new business space rapidly

Abstract

The born global start-up lacks resources compared to the requirement of reaching world markets. Further, the extant internationalization theories may not be adequate to indicate viable channel alternatives for born globals. The conventional way of pledging personal assets, raising resources, and expanding internationally is definitely slow and this adds to the usual business risks. Thus, the major imperative emerges that the born global must utilize large channels provided by MNCs, networks, and/or the Internet to receive substantial revenues and cash flow rapidly. These channels also provide learning, technology, and evolutionary growth. Examples of the performance of born globals, with relatively similar products, originating from Israel and Finland are used to elaborate. Also, the managerial implications for born globals, and future research areas are brought out. © 2004 Elsevier Ltd. All rights reserved.