Working Papers in Information Systems and Business Administration

Foreign market entry of e-business companies and implications for theories of internationalization The rapid development of Internet technologies has led to the emergence of e-business com-panies (EBCs). This paper investigates the foreign market entry mode choice of EBCs and seeks to address whether and how internationalization rules have changed for them. The evi-dence of four selected cases of EBCs suggests that setting up country-specific websites is not sufficient for entering foreign markets. In addition, our cases use partnerships and foreign direct investment as entry mode. We further compare our observations with propositions of four prominent theories of internationalization: internalization theory, eclectic framework, resource-based view, and internationalization process model. To explain the market entry mode selection of EBCs, these theories do not have to be completely abandoned but need to be modified and adapted to the distinctive features of EBCs. ɏ Foreign entry mode, Internationalization theories, e-business, Internet 1