How service companies from emerging markets overcome internationalization barriers: evidence from Chilean services firms

The fact that service companies from emerging countries are capable of international growth has been essentially ignored in the literature. Following several calls for research on services internationalization (e.g., Pauwels and Ruyter, 2005), the objective of this research project is to expand our knowledge on the internationalization process of service firms from emerging markets. This exploratory study draws from the resource based view of the firm (RBV), which is concerned with the influence of firm resources and capabilities in explaining how firms can achieve and sustain competitive advantage (Barney, 1991). Drawing from interviews with relevant managers of two different service industries in Chile (education and tourism), this paper provides unique insights into a previously unexplored sector in the international services field. Results identify the main barriers that services firms from emerging markets face during their internationalization process, and the strategies used by these firms to overcome these barriers and succeed in foreign markets.