Purpose-This study focuses on the triadic multilevel psychic distance (MPD) between the firm, tar... more Purpose-This study focuses on the triadic multilevel psychic distance (MPD) between the firm, target market and bridge-maker and its consequences for firm internationalization. Specifically, it spotlights the triadic psychic distance between firms, the levels of psychic distance in the target market (country and business) and the bridge-maker. Therefore, this study examines the triadic MPD among these three entities and its impact on firm internationalization. Design/methodology/approach-This study uses qualitative and case study research approaches. It is based on 8 case companies and 24 internationalization cases. Secondary data were collected, and interviews with bridge-makers and industry experts were conducted. Findings-The study found that MPD appeared in the triad. The MPD between firms and markets is related to country-specific differences and business difficulties. The MPD between the firm and the bridge-maker is based on the latter's lack of knowledge visa -vis bridging the firm's MPD. Finally, the MPD between bridge-makers and the market is based on the former's lack of knowledge of the home country's business difficulties. Originality/value-This is the first study to develop and adopt a triadic multilevel psychic distance conceptualization that provides evidence for and sheds light on the triadic MPD and its effect on firm internationalization. This study identifies the reasons behind triadic MPD in connection to firm internationalization. Notably, firm internationalization is interdependent on the triadic MPD setting between the firm, bridge-maker and target market. It has theoretical value and contributes to the recent advancement in the understanding of MPD in international marketing literature.
The marketing literature has conceptualised exchange as transactional and relational. The aim of ... more The marketing literature has conceptualised exchange as transactional and relational. The aim of this article is to outline the differences between transactional and relational exchange in the B2B ...
Consumer online purchasing behaviour has evolved as a dominant field of research. Still, most res... more Consumer online purchasing behaviour has evolved as a dominant field of research. Still, most research focuses on consumers' domestic online purchasing behaviour, and neglects consumers' foreign online purchasing behaviour. Online purchasing, and specifically foreign online purchasing, is associated with high levels of uncertainty pinpointing consumers' trust as a pivotal issue. The aim of this paper is to provide an understanding of the consumers' foreign online purchasing process by studying the consumers' perceived uncertainty and trust when purchasing from foreign online vendors. For this aim, a narrative method is applied and three consumers' narratives provide insights on how uncertainty is mitigated not only by the effects of cognitive and affective trust on behavioural trust in foreign online vendors, but also how connected trust is an important dimension of trust in the consumers' foreign online purchasing process.
Cognitive, affective, and connected trust in domestic and foreign consumer online purchasing rela... more Cognitive, affective, and connected trust in domestic and foreign consumer online purchasing relationships
We expand the conceptualization of psychic distance and use a multilevel framework by studying it... more We expand the conceptualization of psychic distance and use a multilevel framework by studying it as a founder's psychic distance in the pre-entry phase of entering a specific foreign market, and the SMEs (firm) psychic distance in the post-entry phase of entering that specific foreign market. Based on qualitative research involving six SMEs' with 18 internationalization events, we found that psychic distance at country and business levels causes difficulties for SMEs in the post-entry phase because of their lack of knowledge. Bridge-makers possessing knowledge about target markets help SMEs to overcome psychic distance challenges. Trust in the relationship with the bridge-maker is an important ingredient to gain knowledge that alleviates the SMEs' psychic distance challenges. Finally, we go beyond country-business levels of psychic distance by showing that psychic distance also matters at bridge-maker level. This relates to their lack of knowledge about the target market and SMEs' routines. Furthermore, we study psychic distance in the pre-entry and postentry phase of SME internationalization into a specific market.
Information technology (IT) as an international marketing tool has been acknowledged in several s... more Information technology (IT) as an international marketing tool has been acknowledged in several studies (Beccera et al. 2013; Chang and Chen 2008; Jarvenpaa et al. 2000; Mukherjee and Nath 2007; Safari et al. 2013), and the Internet as an alternative path for firm internationalisation has been explored recently (Kim 2003; Lim et al. 2004; Pezderka and Sinkovics 2011; Sinkovics et al. 2013; Yamin and Sinkovics 2006). Similarly, consumers’ domestic online purchasing behaviour has been investigated extensively in the last two decades (e.g., Beldad et al. 2010; Jarvenpaa et al. 2000; Mukherjee and Nath; 2007; Sabiote et al. 2012). These studies have been aimed at understanding the relationship between consumers and retailers on the Internet, usually where both parties are physically located within the same country. International business and marketing scholars have also extensively studied the phenomenon of firm online internationalisation, that is, ‘the conduct of business transactions across national boundaries, where the “crossing” of national boundaries takes place in the virtual rather than the real or spatial domain’ (Yamin and Sinkovics 2006: 340). The literature on online or Internet internationalisation has usually assumed that the ‘active’ party is the firm as seller or vendor. The possibility of consumers actively using the Internet to find and transact with vendors located in foreign markets has not been extensively studied except in a few cases (e.g., Hadjikhani et al. 2011; Safari 2012). However this is an interesting and important phenomenon that merits careful study. It is interesting because it is a phenomenon that could not exist prior to the establishment and routine access to the Internet as a search and transaction medium, and it is important because this phenomenon has the potential to change the development of the global economy. Through its website, a retailer potentially has access to the whole world as prospective customers. This notion means that small firms have the potential to transform into large multinational firms. However, most customers still make their online purchases from domestic online retailers based on the notion that foreign online purchasing is risky and complicated. This raises important issues that need to be explored in order to understand consumer risk perception in this context. New theoretical tools are needed for this purpose.
Safari, A. 2014. Consumer Foreign Online Purchasing: Uncertainty in the Consumer-Retailer Relatio... more Safari, A. 2014. Consumer Foreign Online Purchasing: Uncertainty in the Consumer-Retailer Relationship. Doctoral thesis / Företagsekonomiska institutionen, Uppsala universitet 168. 72 pp. Uppsala: Department of Business Studies. Consumer foreign online purchasing (CFOP) in this thesis refers to the exchange between consumers and foreign online retailers. Despite empirical facts showing increasing interest of consumers to purchase from foreign online retailers, researchers have only paid modest interest to this new marketing field. In response to recent researchers' calls for further studies in this new field, this thesis aims to add knowledge on why some consumers purchase from foreign online retailers and others do not. CFOP is associated with uncertainty, so it is important to study what affects uncertainty and how consumers deals with uncertainty. Contrary to marketing-management theory studies, this thesis employs behavior theory and adopts views from relationship and network perspectives. The theoretical framework in this effort is business relationship concepts (commitment, trust, and uncertainty) and provides deeper understanding of how consumers behave in foreign online purchasing contexts. The empirical studies in this thesis employ multiple methods, including, in-depth, focus groups, narrative interviews, and two quantitative studies. This thesis discusses previous studies on marketing management theory, business-to-business and business-to-consumer relationships. Based on the framework, this thesis contributes with deeper insight for understanding consumers' foreign online purchasing behavior. The empirical and theoretical contributions of this thesis not only advance understanding of this market arena, but also may attract the interest of other researcher. In addition to the four papers with different theoretical contributions, the thesis contains a summary to properly position its theoretical background. Since the papers have a variety of emphases and stress different uses of analytical tools, uncertainty, commitment, and trust, the summary connects the four papers into a theoretical framework. The theoretical frame explicitly states the findings in the papers. It explains factors that affect uncertainty in CFOP and also how consumers deal with uncertainty in order to establish and develop relationships through the prepurchase, purchase, and post-purchase phases.
International online shopping an emerging field of research – What have we achieved and what do w... more International online shopping an emerging field of research – What have we achieved and what do we need to achieve? A conceptual framework and research agenda
Cognitive, affective, and connected trust in domestic and foreign consumer online purchasing rela... more Cognitive, affective, and connected trust in domestic and foreign consumer online purchasing relationships
Purpose-This study focuses on the triadic multilevel psychic distance (MPD) between the firm, tar... more Purpose-This study focuses on the triadic multilevel psychic distance (MPD) between the firm, target market and bridge-maker and its consequences for firm internationalization. Specifically, it spotlights the triadic psychic distance between firms, the levels of psychic distance in the target market (country and business) and the bridge-maker. Therefore, this study examines the triadic MPD among these three entities and its impact on firm internationalization. Design/methodology/approach-This study uses qualitative and case study research approaches. It is based on 8 case companies and 24 internationalization cases. Secondary data were collected, and interviews with bridge-makers and industry experts were conducted. Findings-The study found that MPD appeared in the triad. The MPD between firms and markets is related to country-specific differences and business difficulties. The MPD between the firm and the bridge-maker is based on the latter's lack of knowledge visa -vis bridging the firm's MPD. Finally, the MPD between bridge-makers and the market is based on the former's lack of knowledge of the home country's business difficulties. Originality/value-This is the first study to develop and adopt a triadic multilevel psychic distance conceptualization that provides evidence for and sheds light on the triadic MPD and its effect on firm internationalization. This study identifies the reasons behind triadic MPD in connection to firm internationalization. Notably, firm internationalization is interdependent on the triadic MPD setting between the firm, bridge-maker and target market. It has theoretical value and contributes to the recent advancement in the understanding of MPD in international marketing literature.
The marketing literature has conceptualised exchange as transactional and relational. The aim of ... more The marketing literature has conceptualised exchange as transactional and relational. The aim of this article is to outline the differences between transactional and relational exchange in the B2B ...
Consumer online purchasing behaviour has evolved as a dominant field of research. Still, most res... more Consumer online purchasing behaviour has evolved as a dominant field of research. Still, most research focuses on consumers' domestic online purchasing behaviour, and neglects consumers' foreign online purchasing behaviour. Online purchasing, and specifically foreign online purchasing, is associated with high levels of uncertainty pinpointing consumers' trust as a pivotal issue. The aim of this paper is to provide an understanding of the consumers' foreign online purchasing process by studying the consumers' perceived uncertainty and trust when purchasing from foreign online vendors. For this aim, a narrative method is applied and three consumers' narratives provide insights on how uncertainty is mitigated not only by the effects of cognitive and affective trust on behavioural trust in foreign online vendors, but also how connected trust is an important dimension of trust in the consumers' foreign online purchasing process.
Cognitive, affective, and connected trust in domestic and foreign consumer online purchasing rela... more Cognitive, affective, and connected trust in domestic and foreign consumer online purchasing relationships
We expand the conceptualization of psychic distance and use a multilevel framework by studying it... more We expand the conceptualization of psychic distance and use a multilevel framework by studying it as a founder's psychic distance in the pre-entry phase of entering a specific foreign market, and the SMEs (firm) psychic distance in the post-entry phase of entering that specific foreign market. Based on qualitative research involving six SMEs' with 18 internationalization events, we found that psychic distance at country and business levels causes difficulties for SMEs in the post-entry phase because of their lack of knowledge. Bridge-makers possessing knowledge about target markets help SMEs to overcome psychic distance challenges. Trust in the relationship with the bridge-maker is an important ingredient to gain knowledge that alleviates the SMEs' psychic distance challenges. Finally, we go beyond country-business levels of psychic distance by showing that psychic distance also matters at bridge-maker level. This relates to their lack of knowledge about the target market and SMEs' routines. Furthermore, we study psychic distance in the pre-entry and postentry phase of SME internationalization into a specific market.
Information technology (IT) as an international marketing tool has been acknowledged in several s... more Information technology (IT) as an international marketing tool has been acknowledged in several studies (Beccera et al. 2013; Chang and Chen 2008; Jarvenpaa et al. 2000; Mukherjee and Nath 2007; Safari et al. 2013), and the Internet as an alternative path for firm internationalisation has been explored recently (Kim 2003; Lim et al. 2004; Pezderka and Sinkovics 2011; Sinkovics et al. 2013; Yamin and Sinkovics 2006). Similarly, consumers’ domestic online purchasing behaviour has been investigated extensively in the last two decades (e.g., Beldad et al. 2010; Jarvenpaa et al. 2000; Mukherjee and Nath; 2007; Sabiote et al. 2012). These studies have been aimed at understanding the relationship between consumers and retailers on the Internet, usually where both parties are physically located within the same country. International business and marketing scholars have also extensively studied the phenomenon of firm online internationalisation, that is, ‘the conduct of business transactions across national boundaries, where the “crossing” of national boundaries takes place in the virtual rather than the real or spatial domain’ (Yamin and Sinkovics 2006: 340). The literature on online or Internet internationalisation has usually assumed that the ‘active’ party is the firm as seller or vendor. The possibility of consumers actively using the Internet to find and transact with vendors located in foreign markets has not been extensively studied except in a few cases (e.g., Hadjikhani et al. 2011; Safari 2012). However this is an interesting and important phenomenon that merits careful study. It is interesting because it is a phenomenon that could not exist prior to the establishment and routine access to the Internet as a search and transaction medium, and it is important because this phenomenon has the potential to change the development of the global economy. Through its website, a retailer potentially has access to the whole world as prospective customers. This notion means that small firms have the potential to transform into large multinational firms. However, most customers still make their online purchases from domestic online retailers based on the notion that foreign online purchasing is risky and complicated. This raises important issues that need to be explored in order to understand consumer risk perception in this context. New theoretical tools are needed for this purpose.
Safari, A. 2014. Consumer Foreign Online Purchasing: Uncertainty in the Consumer-Retailer Relatio... more Safari, A. 2014. Consumer Foreign Online Purchasing: Uncertainty in the Consumer-Retailer Relationship. Doctoral thesis / Företagsekonomiska institutionen, Uppsala universitet 168. 72 pp. Uppsala: Department of Business Studies. Consumer foreign online purchasing (CFOP) in this thesis refers to the exchange between consumers and foreign online retailers. Despite empirical facts showing increasing interest of consumers to purchase from foreign online retailers, researchers have only paid modest interest to this new marketing field. In response to recent researchers' calls for further studies in this new field, this thesis aims to add knowledge on why some consumers purchase from foreign online retailers and others do not. CFOP is associated with uncertainty, so it is important to study what affects uncertainty and how consumers deals with uncertainty. Contrary to marketing-management theory studies, this thesis employs behavior theory and adopts views from relationship and network perspectives. The theoretical framework in this effort is business relationship concepts (commitment, trust, and uncertainty) and provides deeper understanding of how consumers behave in foreign online purchasing contexts. The empirical studies in this thesis employ multiple methods, including, in-depth, focus groups, narrative interviews, and two quantitative studies. This thesis discusses previous studies on marketing management theory, business-to-business and business-to-consumer relationships. Based on the framework, this thesis contributes with deeper insight for understanding consumers' foreign online purchasing behavior. The empirical and theoretical contributions of this thesis not only advance understanding of this market arena, but also may attract the interest of other researcher. In addition to the four papers with different theoretical contributions, the thesis contains a summary to properly position its theoretical background. Since the papers have a variety of emphases and stress different uses of analytical tools, uncertainty, commitment, and trust, the summary connects the four papers into a theoretical framework. The theoretical frame explicitly states the findings in the papers. It explains factors that affect uncertainty in CFOP and also how consumers deal with uncertainty in order to establish and develop relationships through the prepurchase, purchase, and post-purchase phases.
International online shopping an emerging field of research – What have we achieved and what do w... more International online shopping an emerging field of research – What have we achieved and what do we need to achieve? A conceptual framework and research agenda
Cognitive, affective, and connected trust in domestic and foreign consumer online purchasing rela... more Cognitive, affective, and connected trust in domestic and foreign consumer online purchasing relationships
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