ESSAYS ON FIRMS’ INTERNATIONALIZATION PROCESS

The Uppsala Model, developed by Jan Johanson and Jan-Erik Vahlne in the late 1970s, is a cornerstone of internationalization theory, explaining the incremental process by which firms venture into foreign markets. Over the years, in the last four decades and more, the model has been refined to reflect the evolving landscape of global business. This paper examines the evolution of the Uppsala model, highlighting its significant contributions while identifying areas for further development. The original Uppsala model depicted internationalization as a linear progression, with companies gradually expanding their foreign market presence over time. Subsequent iterations of the model incorporated elements of network theory, recognizing the central role of relationships and knowledge sharing in facilitating internationalization. The most recent iteration of the model, introduced in 2017, emphasizes the importance of entrepreneurial processes and network dynamics in shaping firms' internationalization trajectories. More recent contributions by Vahlne in 2020 and 2021 introduced the concepts of nonlinear internationalization and evolution as further advances in the search for innovative explanations of the original model Despite its widespread acceptance, the Uppsala model is not without its critics. A primary weakness lies in its emphasis on psychic distance, which may not adequately capture the intricacies of internationalization in today’s interconnected world. In addition, the model’s focus on incremental growth may not fully account for the rapid expansion strategies adopted by some players, and without any reference to different industries’ peculiarities..