Pro-export Strategies of the Czech Republic with the Focuse on Born Globals
Keywords:
Born Globals, the Czech Republic, Export, Management, SME, InternationalizationAbstract
Purpose of the article
The aim of this article is to define SME in CZ which excel at innovations, rapid technological progress, high level of specialization and increasing added value so they are predermined to be successful in the new age, also called as ‘digital age’. ‘Born globals’ posses these prerequisities. The possibility of goods and services export to the foreign market is the most crucial for these enterprises. Hence this article is focusing on strengthening the export within the internacionalization process and on the study of Czech pro-export strategy and the results of balance payments of the Czech Republic which support the prerequisite that the Czech Republic is an export country.
Methodology/methods
The methods of secondary data analysis, synthesis, induction and deduction were used in this article. Secondary data were gained by structured data collection to make the scientific literature clear and these data were gained from electronic sources, academic theses, scientific articles and statistic pieces of information. This also helped to make the internacionalization of SME, born globals in CZ and export strategy in CZ issues clear.
Scientific aim
This article is focused on macroeconomic indicators of CZ research which support the prerequisite that CZ is an export country.
Findings
The results show that the Czech Republic is an export country in the long term which is followed by currency depreciation, decrease of the nominal effective exchange rate, increase of competitiveness of the country, decrease of the real effective exchange rate, increase of export and decrease of import, so the conditions for ‘born globals’ and other Czech enterprises that would decide to expand and sell their products or services on foreign markets are set to be in accordance with pro-export strategy.
Conclusions
One of the specific aims – ‘double the number of highly innovative exporters (born globals) by 2020’ - follows from the Export Strategy of the Czech Republic 2012 – 2020 (Ministry of Industry and Trade, 2012). The solved issue has several limits such as lack of methodology for measuring born globals companies in CZ, lack of methodology for support of born globals entry into the foreign market and others, which follows from the research of literature and analysis. The scientific work proved that the Czech Republic is a country with pro-export policy and thus opens other scientific questions that future works can focuse on such as currency of born globals in the Czech Republic, observing indicators and fulfilling the indicators from above mentioned specific aim of the Export Strategy of the Czech Republic.
References
Benáček, V. (2006). The rise of grand entrepreneurs in the Czech Republic and their contest for capitalism. Czech Sociological Review, 42 (6), 1151-1170
Bilkey, W., Tesar, G. (1977). The export behavior of smaller-sized Wisconsin manufacturing firms. Journals of International Business Studies, 8(1), 93-98.
Břečková, P., Havlíček, K. (2015). Youth Entrepreneurship and Changes in Business Environment: Case of the Czech Republic (chapter 8). In Gubik, A. S., Wach, K. (Eds.). Institutional aspects of entrepreneurship. Miskolc: University of Miskolc, 109‐127.
BusinessInfo. (2016). Exportní strategie České republiky pro období 2012-2020. Retrieved from http://www.businessinfo.cz/cs/clanky/exportni-strategie-cr-2012-az-2020-7148.html#!&chapter=1
Calof, J. L., Beamish, P. W. (1995). Adapting to foreign markets: Explaining internationalization. International Business Review, 4, 115-131.
Cavusgil, S. T. (1980). On the internationalization process of firms. European Research, 8(6), 273-281.
CNB. (2017). Platební balance. Retrieved from: https://www.cnb.cz/cs/statistika/platebni_bilance_stat/platebni_bilance_q/komentar.html
CSZO. (2016). Hlavní makroekonomické ukazatele. [cit. 2016-13-03]. Retrieved from https://www.czso.cz/csu/czso/hmu_cr
CSZO. (2013). Zahraniční obchod - březen 2015. [cit. 2017-04-06]. Retrieved from https://www.czso.cz/csu/czso/cri/zahranicni-obchod-brezen-2015
Časnochová, K. (2013). Development tendencies of support for export policy: comparative analysis of the czech and slovak republics. Scientific Papers of the University of Pardubice. Series D, Faculty of Economics & Administration, 29(4), 25-36. ISSN 1211-555X.
Daskiewicz, N., Wach, K. (2014). Motives for going international and entry modes of family firms. Journal of Intercultural Management, 6(2), 5-18.
Eurofound. (2012). Born global: The potential of job creation in new international businesses. Publications Office of the European Union, Luxembourg
European Commission. (2008). Podpora internacionalizace malých a středních podniků — Výběr osvědčených postupů. Retrieved from: http://ec.europa.eu/enterprise/policies/sme/files/support_measures/internationalisation/internat_best_cs.pdf
Fan, T., Phan, P. (2007). International new ventures: Revisiting the influences behind the “born-global firm.“ Journal of International Business Studies, 38(7), 1113-1131. Doi: 10.1057/palgrave.jibs.8400308
Ferreira, P., Santos, C. J., Serra, R. F. A. (2010). The International Entrepreneurial Firms' Social Networks. Cadernos EBAPE. 8(1), 134-145.
Freeman, S.; Deligonul S.; Cavusgil, T. (2013). Strategic re-structuring by born-globals using outward and inward-oriented activity. International Marketing Review, 30, 156-182. Doi: 10.1108/02651331311314574
Gabrielsson, M., Kirpalani, V. H. M. K. (2012). Handbook of research on born globals. Cheltenham: Edward Elgar Publishing.
Gabrielsson M., Kirpalani V. H. M, Dimitratos P., Solberg C. A., Zucchella, A. (2008): Born globals: propositions to help advance the theory. International Business Review, 17(4), 385-401. Doi: 10.1016/j.ibusrev.2008.02.015
Hashai, N., Almor, T. (2004). Gradually internationalizing ‘born-global’ firms: An oxymoron?” International Business Review, 13(4), 465-483. Doi: 10.1016/j.ibusrev.2004.04.004
Janda, K., Michalikova, E., Skuhrovec, J. (2013). Credit support for export: Robust evidence from the Czech Republic. The World Economy, 36(12), 1588-1610.
Johanson, J., Vahlne, J.-E. (1977). The internationalization process of the firm: A model of knowledge development and increasing market commitments. Journal of International Business Studies, 8(1), 23-32.
Jurek, M. (2012) Internacionalizační teorie a modely na příkladu rakouských firem na českém trhu. Acta oeconomica Pragensia, 20(6), 70-88. Doi: 10.18267/j.aop.388
Kandasaami, S., Huang, X. (2010). International marketing strategy of SMEs: A comparison of born-global vs. non born-global firms in Australia. In Proceeding ICSB Conference, Brisbane.
Kandasaami, S. (1998). Internationalisation of Small-and Medium-Sized Born Global Firms: A Conceptual Model. Research Paper. Graduate School of Management. University of Western Australia
Knight, G. A. (1997). Emerging paradigm for international marketing: The born global firm. Dissertation Thesis. Michigan State University, Department of Marketing and Supply Chain Management.
Knight G., Madsen T. K., Servais, P. (2004). An Inquiry into born-global firms in Europe and the USA. International Marketing Review, 21(6), 645-665.
Křístková, Z. (2013). Analysis of private RD effects in a CGE model with capital varieties: The case of the Czech Republic. Czech Journal of Food Sciences, 63(3), 262-287. ISSN: 1212-1800.
Kubíčková, L. (2012). Faktory úspěchu v internacionalizačním procesu MSP podnikajících v oblasti ICT.
Kubíčková, L., Peprný, A. (2006). Theoretical aspects of specifics of internationalization process in small and medium-sized businesses in the Czech Republic. Acta Universitatis Agriculturae et Silviculturae Mendelianae Brunensis. 54, 107-116
Kurzy.cz (2017). Zahraniční obchod - ČR 2017. [cit. 2017-01-05]. Retrieved from http://www.kurzy.cz/makroekonomika/zahranicni-obchod/?G=1&A=5&page=5
Lopez, L., Kundu, S., Ciravegna, L., Chung, Y., Chan, W., Vollhardt, J. (2008). Born global or born regional? Evidence from an exploratory study in the Costa Rican software industry: Empirical evidence from a survey study of students' reactions to the tsunami. Journal of International Business Studies, 40(7), 1228-1238.
Luostarinen, R. K. (1979). Internationalization of the firm. Helsinki: Helsinki School of Economics.
Madsen, T. K., Servais P. (1997). The internazionalization of born globals: An evolutionary process? International Business Review, 6, 561-583. Doi: 10.1016/S0969-5931(97)00032-2.
Mejstřík, M. (2013). Zaměření exportní strategie ve víru globální ekonomické nestability. Retrieved from www.czechinno.cz/download.aspx?dontparse=true&FileID=147
Ministry of Industry and Trade (MIT). (2012). Retrieved from www.mpsv.vz
Nový akademický slovník cizích slov A-Ž. (2008). Praha: Academia.
Pollard, D. J., Šimberová, I. (2002). Researching the internationalization of SMEs in transformation economies: some initial considerations. Transformations in Business and Economics, 1(2), 45-58.
Pollard, D. J., Jemicz, M. W. (2010). Social capital theory and the internationalization of Czech SMEs. International Journal of Economics and Business Research, 2(3-4), 210-29.
Rennie, M. W. (1993). Born global. The McKinsey Quarterly, (4), 43-52.
Rialp, A., Rialp, J., Knight, G. K. (2005). The phenomen of early internationalizing firms: What do we after a decade (1993–2003) of scientific inquiry. International Business Review, 14, 147-166.
Richter, S. (2015). Export promotion framework of the Czech Republic. Central European Business Review. 4(1), 37-49
Ruzzier, M., Hisrich, R., Antoncic, B., Vissak, T., Rialp, A., Rialp, J., Prior, A. (2006). SME internationalization research: past, present, and future. Journal of Small Business and Enterprise Development, 13(4), 49-78.
Sharma, D. D., Blomstermo, A. (2003). The internationalization process of born globals: A network view, International Business Review, 12(6), 739-753. Doi: 10.1016/j.ibusrev.2003.05.002
Starzyczna, H. (2010). Vybrané aspekty internacionalizace vnitřního obchodu v teoretických přístupech a v empirickém zkoumání v České republice v období transformace. E+M Ekonomie a Management, 13(1), 115-130.
Šťastná, V. (2011). Internationalisation of Higher Education in the Czech Republic - The Impact of European Union programmes. European Journal of Education, 4(36), 473-491.
Šudřichová, M. (2011). The economic crisis influence on the goods export and subvene of export financing in Czech Republic. Scientific Papers of the University of Pardubice. Series D, Faculty of Economics & Administration, 16(20), 199-213.
Toulová, M., Votoupalová, M., Kubíčková, L. (2015). Barriers of SMEs internationalization and strategy for success in foreign markets. International Journal of Management Cases, 17(1), 4-19.
Varma, S. (2009). The Global Start Ups from Indian IT. In India Conference on Global Economic Crisis: Challenges and Opportunities. New Delphi, 1(1), 7-13.
Vláda CR. (2016). Retrieved from www.vlada.cz
Your dictionary. (2017). Retrieved from www.yourdictionary.com
Zapletalová, Š. (2015). Models of Czech companies’ internationalization. Journal of International Entrepreneurship, 13(2), 153-168. Doi: 10.1007/s10843-015-0145-9
Downloads
Published
Issue
Section
License
One of our top priorities and responsibilities is to prevent any illegal or unethical practice. Plagiarism is not tolerated in any form. Through the submission of a manuscript, the author confirms that it is their own original research. The ethical rules are binding for all parties who participate in the conference and are published in the Conference Proceedings. All parties to the editorial process respect the Ethical Rules of Conference.
