Entrepreneurial Decision-Making Logic Related to Software Development in Different Growth Phases of INVs

Abstract

Software-based innovations with global market-potential are the main product offering of digital-based International New Ventures, an emerging type of rapidly internationalizing firm. Despite increasing research attention on the internationalization phases of these firms, knowledge of how the characteristics of the firm’s software offerings change over time remains scarce. In this paper, we analyze how standardization, customization and localization evolve through the growth and commitment of International New Ventures in foreign markets. Specifically, we posit that an entrepreneurial decision-making logic based on a logic of effectuation or causation acts as a trigger mechanism for specific software changes over time. Therefore, this article responds to calls for research on digital entrepreneurship and thus contributes to information system, international business, and entrepreneurship literature.