The internationalization process of agrifood firms: a proposed conceptual framework

Abstract

PurposeThis research seeks to develop a better understanding of internationalization patterns of agrifood firms and explains why different paths are adopted. Further, a conceptual framework to support public and private decision-making is proposed.Design/methodology/approachAn exploratory qualitative research framework was developed featuring case studies about three highly internationalized Brazilian meat processing firms. Top managers were interviewed, and documents were collected to support the intraand crosscase analyses.FindingsResults suggest that meat processing firms tend to adopt a dual internationalization pattern. Distribution-oriented foreign direct investment (FDI) is normally established gradually, whilst horizontal FDI – the establishment of foreign production facility – tends to be conducted through a fast-paced expansion mode. Interestingly, it was found that food safety issues play a central role in internationalization decisions.Originality/valueAn extension to the Uppsala model was provided by considering agrifood characteristics in the analysis. The results have broad appeal to managers and policymakers. Agribusiness managers could use the theoretical and empirical evidence to support their internationalization decisions. Policymakers can also use this research to gain a better understanding of how agrifood firms expand internationally to either attract or foster FDI.