The Influencing Factors On Company’s International Entrepreneurship Behavior In The Age Of Internet

The traditional comparative advantages of Chinese manufacturing companies are gradually diminishing as a result of the changes happening in both domestic and foreign environment, which brings a new task for managers in those companies as targeting new foreign market opportunities to support the growth of their oversea businesses. Internet, as an evolutionary information technology, has successfully reduced the impact of traditional barriers in international business such as geographical and psychic distance, which provides manufacturing companies with an effective way to connect their production capability with foreign market needs directly. This tremendous transformation in oversea business model has enabled companies to identify and exploit foreign market opportunities by themselves under the online context. Therefore, exploring what factor has affected the usage of Internet in company’s oversea business is meaningful to the online international entrepreneurial capability building.This study applied a combination of various research methods such as literature review, case analysis and empirical analysis to look into the behavioral patterns of Chinese manufacturing concerning the use of Internet in their foreign market activities, as well as initiated a systematic research into the influencing factors on IE behavior based on Internet. The major findings of this study are as following: firstly, top management championship will positively affect company’s tendency to move its oversea value chain online, while the importance of long-term channel relationship will have an opposite influence. Meanwhile, the contribution rate of end products in companie’s foreign sales income, the importance of high and mid-high income countries to companie’s foreign business, the contribution rate of self-owned brand products in companie’s foreign sales income are found to have a significantly positive impact on companie’s online dynamism in foreign markets. There are two major contributions of this paper. From a theoretical point of view, this paper has carried out empirical tests using data from companies in a newly emerged economy as China, which further developed those conclusions drawn by researchers in developed countries using samples in more advanced economic and technological environments. On the other hand, the findings of this paper provide managers in Chinese manufacturing companies with valuable insights on how to build unique competitive advantage in foreign markets by engaging in international entrepreneurship activities in the online environment. Moreover, this paper has equipped investors in relevant fields with objective indicators while analyzing target companies.