The imprinting effects of family founders and external environments on firm internationalization

Although extant research has examined numerous determinants of internationalization, little is known about the role played by the imprinting effects of firms at incorporation. Drawing on organizational imprinting, institutional and resource-based theories, we examine how internationalization of firms is contingent on the interplay between the economic and institutional environment at the time of the firms’ founding, and the identity of the firms’ founders. Utilizing a unique design methodology that encapsulates the 1997-1998 "Asian Economic Crisis" as a quasi-natural experiment across firms from multiple industries in six East Asian emerging economies from 1994 to 2012, we find that firms founded in less munificent economic environment are less likely to internationalize. However, this is contingent on the identity of firm founders. Focusing on family versus non-family founders, we find that family firms are more likely …