Developing a lean internationalisation strategy through open innovation, entrepreneurship and cross–cultural intelligence

Although cross border trade is not new, investigating how a business cooperative helps internationalise its members to markets in China and Asia is novel, and increasingly important. Cultural differences and their influence on the internationalisation process are under researched, particularly with regard to successful knowledge exchange. This thesis addresses this shortfall. Firstly the concept of external stickiness is introduced to demonstrate how cultural differences can cause barriers to knowledge creation and exchange between international actors. Secondly, the notion of cross-cultural interaction is explored, particularly focusing on relevant emic factors which relate to building cross cultural relationships. Thirdly, cultural intelligence is discussed and presented as a tool to reconcile cultural differences that may be hindering successful internationalisation. And fourthly, an empirical study on the internationalisation of an Australian regional business cooperative is conducted so as to analyse their journey to China and other markets in Asia. Process theory is used to chart the progress with action research the primary methodology as the author is involved in the project as an insider participant and researcher. Consistent with critical realism, the study is exploratory in nature, seeking to explain the underlying causal mechanisms involved in the events as they unfold. The findings do indeed infer that both external stickiness and cultural differences are salient in explaining the project’s current outcomes. Bricolage and effectuation influences are also identified as determining factors in guiding the direction of the undertaken activities and establishing key resource ties and actor bonds. Overall this research contributes by providing a deeper understanding of the internationalisation process and presents practical insights on future cross-cultural ventures.