Here We Go Again: A Case Study on Re-entering a Foreign Market

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Abstract

Globalization has motivated firms to expand into foreign markets, but internationalization is inherently dynamic. Many firms have exited foreign markets for various reasons, but some later decide to re-enter those same markets. Based on a case study of a Brazilian multinational's activities in Mexico, this study contributes to the literature on re-entry decisions of multinational enterprises and their outcomes, focusing on the roles of institutional voids and the experiences of decision-makers during such processes. The findings suggest that companies learn from their mistakes and reconsider how they approach re-entry and the resources that may need to be mobilized. However, the learning process is not straightforward as it is clouded by international knowledge myopia. This study highlights how multiple actors and considerations influence re-entry events.

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Aguzzoli, R., Lengler, J., Sousa, C. M. P., & Benito, G. R. G. (2021). Here We Go Again: A Case Study on Re-entering a Foreign Market. British Journal of Management, 32(2), 416–434. https://doi.org/10.1111/1467-8551.12407

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