Scale-ups and scaling in an international business context

Scale-ups and scaling in an international business context

Esther Tippmann (University of Galway), Tina Ambos (Université de Genève), Manlio Del Giudice (Link Campus University), Sinéad Monaghan (Trinity College Dublin) and Dimo Ringov (ESADE Business School) develop a perspective article on the cross-border management and organization of scaling and scale-ups. Their article differentiates between scaling in three settings – initiative, organization and ecosystem – and illuminates their respective international business dimensions.

Our insights we wish to share with you

Scaling is the persistent rapid growth to deliver a viable business model. It often incorporates an explicit international business dimension. The article explores the various cross-border management and organizational coordination of scaling and scale-ups. Investigating scaling in the context of international business has the potential to generate novel theoretical explanations for this important phenomenon and extend prior theories. We are also aware that scaling occurs in various settings – initiative, organization and ecosystem. We therefore explain scaling in each of these settings to promote awareness of their commonalities and differences and highlight opportunities for future research.

What was the approach for the research?

Our arguments build on prior scholarly research of scaling in each of its respective settings in the context of international business. Scaling can be differentiated in terms of organizations and initiatives. However, prior research has neglected that scaling is very much so related to ecosystems, especially due to advancements in digitization. Although scaling is viewed as an overarching concept, these unique settings present many diverse opportunities and contingencies. For each of these scaling settings, we systematically discuss typical manifestations of cross-border business activity and are sensitive to different organizational purposes such as commercial, hybrid and social. We then highlight various guideposts for the broad range of scaling-related phenomena and theoretical intersections with various areas of international business scholarship that offer future research opportunities.

How might you benefit from these insights?

In the context of international business, this research establishes the different settings where scaling can occur and their respective boundaries. We illustrate the importance of the organizational purposes associated with scaling businesses too. Moreover, it offers various exciting and promising research paths involving the exploration of scaling, in multiple areas of theory such as organizational tensions, digitalization or business models, to name a few.