Core Insights - The strategy and speed of the first cross-border acquisition significantly influence the subsequent international expansion frequency of emerging market multinationals and their ability to respond to nationalism sentiments in both home and host countries [1][2][8] - High-frequency international expansion does not necessarily enhance corporate performance [8] Group 1: Internationalization Challenges - Emerging market enterprises face numerous challenges during internationalization, including lack of trust, insufficient international experience, and high costs associated with internationalization [1] - Nationalism has become a global trend, affecting the internationalization process of companies, with both home and host country nationalism posing challenges [2] Group 2: Acquisition Strategies - In the initial stage of internationalization, cross-border acquisitions are common, and companies must decide between focusing on existing businesses or acquiring new ones [3] - A concentrated acquisition strategy (acquiring companies in the same industry) offers advantages such as better synergy and lower risk, facilitating quicker market integration [3][4] - A mixed acquisition strategy (acquiring new businesses or technologies) requires significant transformation efforts, potentially slowing down subsequent international expansion [3][5] Group 3: Speed of Acquisition - Speed is crucial in market competition; rapid market entry can provide a competitive edge, but understanding the host country's environment takes time [4] - Companies using a concentrated strategy can implement acquisitions more quickly due to similar business operations, reducing communication risks [4] - Conversely, rapid mixed acquisitions carry higher risks due to uncertainties in unfamiliar markets, which can hinder international expansion [5] Group 4: Nationalism Impacts - Nationalism can create hostility towards foreign companies entering a new market, particularly if they pursue rapid concentrated acquisitions [7] - A mixed strategy may mitigate negative perceptions from nationalism, allowing for smoother subsequent expansions [7] Group 5: Research Findings - Analysis of 1,632 cross-border acquisitions from 1995 to 2019 shows that concentrated strategies significantly increase international expansion frequency, while mixed strategies decrease it [8] - Rapid implementation of concentrated acquisitions promotes expansion frequency, while rapid mixed acquisitions suppress it [8] Group 6: Management Implications - The choice of acquisition strategy and speed is critical for sustainable international expansion, with rapid expansion not always leading to better performance [9] - Companies should be aware of ideological differences, particularly nationalism, in host countries and manage these influences effectively [9][10] - Governments can play a role in facilitating internationalization by clarifying regulations and fostering cooperative relationships with key destination countries [10]