Emerging markets remain challenging for Western small and medium-sized enterprises (SMEs) and more specifically for born-again global companies. This paper investigates how born-again global companies can learn from their failures in emerging markets.
The empirical study takes the form of a longitudinal case study of a French industrial SME that expanded into Hong Kong, China and Brazil.
The case study shows how born-again global companies can learn from their failures in emerging markets, which can be caused by internal and external factors. Our findings indicate that they react in different ways according to the magnitude of failures. We also enhance the understanding of learning processes in born-again global companies.
This study contributes to the literature on experiential learning by identifying the magnitude, origins and consequences of failures in born-again global companies. We also offer novel insights into learning processes by highlighting the central role played by the chief executive officer.
