The impact of psychic and geographical distance on internationalisation strategies: a study of New Zealand born global technology firms Online publication date: Wed, 07-Apr-2021
by Ross K. McElwain; Mohammad Saud Khan; Rehan Iftikhar
International Journal of Technology Marketing (IJTMKT), Vol. 14, No. 4, 2020
Abstract: This study examines the influence of psychic and geographical distance on the standardisation or adaptation of the four Ps international marketing mix strategies (product, price, promotion and place) by New Zealand born global digital technology firms as they internationalise. The authors evaluate the marketing strategy formulated by these firms in a qualitative study conducted across New Zealand. A physically isolated country such as New Zealand gives a markedly different perception of what constitutes as low, medium or high scale in terms of geographical and psychic distance. It was found that born global technology firms may be less inclined to consider geographical distance as a determining factor for early internationalisation. Furthermore, the geographical distance was perceived as having little influence on international marketing mix strategy formulation whereas psychic distance was perceived as having consequential influence.
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