Terry Mughan Professor of International Management
Gustavson Business School University of Victoria
Terry Mughan, PhD 2012
1. A space for all companies 2. A space for ideas
3. A space for relationships 4. A space for all citizens
Terry Mughan, PhD 2012
Not so much a space as a set of boxes
1. Boxes for trade figures, multinational brands and
exporters 2. Latterly, boxes for FDI too
3. Market share and competitive lone wolves.
Terry Mughan, PhD 2012
:
• Mobile citizens and knowledge sharing
• Open innovation • Flexible, learning companies of all
sizes • Supra-national and sub-national
units of organisation
Terry Mughan, PhD 2012
FDI
Multinational Transnational
Mini-multi
Born Global SME
International
Public/private/ social
Open innovation
Exporting
International knowledge trading
Regional growth policy
Student entrepreneurs
Migrant entrepreneurs
Global
MNC
Terry Mughan, PhD 2012
• Empirical studies of SME behaviour
carried out for EEDA, UKTI and OECD/APEC
• Work with leading European science
parks and MNCs
Terry Mughan, PhD 2012
Key Issues: ► Why does the company go international? ► How do they do it? ► What problems do they encounter? ► Where do they go for help?
Terry Mughan, PhD 2012
How did we do it?
} Telephone survey of 1,200 SMEs } Face-to-face interviews with
} the strategic leader of 80 SMEs
Terry Mughan, PhD 2012
Who did we talk to: A: The Curious B: The Frustrated C: The Tentative D: The Enthusiastic E: The Successful
Terry Mughan, PhD 2012
Strategy Implications: ► Complexity
► Transferable skills and knowledge ► Sustainability of support
► Relationships and networks
Terry Mughan, PhD 2012
§ To improve international business support services for potential high-growth companies. § Identified from CEIM study
§ Middle-market as labelled by PWC
§ Interest in ‘born globals
§ Impact of economic change (globalisation, ) on SMEs
§ To promote knowledge-sharing between HEIs, companies and government support agencies.
Terry Mughan, PhD 2012
STRATEGIC
MARKET DECISIONS RELATIONSHIP MANAGEMENT
Strategic competence Organisational learning Planning Change management
Environment assessment
Competitor analysis
Human Resources
Market entry Cultural issues
language skills
Long distance management
Conflict resolution
Knowledge exchange
Partnership management
Terry Mughan, PhD 2012
• Exporting is not an end in itself • Other activities should accompany and follow on from exporting • Innovation and competitiveness in product and process in the firm is the goal.
Terry Mughan, PhD 2012
Source: Robert Salomon, Learning from Exporting, Edward Elgar, 2006
Firms that become exporters in a given year experience more product innovation the following year
The more markets you enter, the more you innovate Going directly to markets results in more innovation
Terry Mughan, PhD 2012
• Flexible, learning companies of all sizes
• Mobile citizens and knowledge sharing
• Open innovation
• Supra-national and sub-national units of organisation and collaboration
Terry Mughan, PhD 2012
} “[..] inflows and ou/lows of knowledge to accelerate internal innova9on, and expand the markets for external use of innova9on [..].”
Chesbrough, H., W. Vanhaverbeke, and J. West, eds. Open Innova9on: Researching a New Paradigm. 2006, Oxford University Press.
Terry Mughan, PhD 2012
} Outside-In-ProcessesIntegrating external knowledge in the innovation process:
} --> Using the expertise of suppliers, customers and external partners in order to improve the quality of the innovation process.
} Inside-Out-ProcessesExternalising IP or internal knowledge: PUSH!, Business Angel Forum, Regional hubs, Experts‘ Database... ! Capitalise on this IP/knowledge through licensing, joint ventures and spin offs.
„If we can‘t turn all our discoveries into products, why don‘t we license them to third parties or even sell them entirely?“ Gerard Kleisterlee, Philips
Terry Mughan, PhD 2012
} Stakeholders • Companies • Scientists • Government • Suppliers of
knowledge (consultants, business schools)
} Primary target group:
• Companies
} Secondary target group:
• Other stakeholders
Companies
Science Government Others
Project
Primary Target group
Secondary Target group
Terry Mughan, PhD 2012
} Innovation policy and governance structures urgently need to anticipate changes and new developments in the national and European innovation system.
} New generation of Innovation Governance has to open up for better horizontal and vertical co-operation of the regulatory regime
} Policy makers and intermediaries have to prepare the innovation governance system for the paradigm shift to Open Innovation.
à Benefit through learning from the experiences of the growing “co-opetition” culture in the private sector.
Terry Mughan, PhD 2012
1. A larger proportion of educated globally minded citizens in all countries
2. A greater number of real born globals, i.e. cross-nationally constructed companies
3. More transnational legislation permitting cross-national company formation
4. Better, accessible skills everywhere to help companies compete and collaborate
internationally
Terry Mughan, PhD 2012
Top Related