Market Orientation for Immigrant and Ethnic Small and Medium-Sized Brazilian Immigrant Ventures Overseas

Authors

  • Eduardo Picanço Cruz Universidade Federal Fluminense
  • Roberto Pessoa de Queiroz Falcão Universidade Federal Fluminense

DOI:

https://doi.org/10.14211/regepe.v9i4.1765

Keywords:

Immigrant entrepreneur. Market orientation. Market opportunity. Ethnic enclave. Immigration.

Abstract

Objective: contribute to the entrepreneurship field of study, in the context of ethnic or immigrant companies, by analyzing variables that define their market orientation and the strategic decisions taken, deepening the knowledge on the subject.

Method: the data collection was comprised of multi-method strategies (quantitative and qualitative), the main strategy being an in-depth interview, which comprises the analysis of multiple cases of overseas entrepreneurs, from different Brazilian communities. This information was triangulated, based on data from surveys carried out with Brazilians in Australia, Canada, Portugal and Estonia, from netnography and document analysis. Therefore, intra and inter-case analyzes were carried out, aiming to find similarities and differences in the results achieved.

Originality/Relevance: the article focuses on an important issue, which involves the world's major economies - immigrants. Given the difficulties in their insertion in host societies, they tend to be identified as "social problems". On the other hand, the application of business models and proposals for immigrant entrepreneurs´ market orientation enables a path for their economic and social ascension. By becoming successful entrepreneurs, they can reverse this discriminatory perception of themselves.

Results: based on the data collected as well as the analysis of articles from the existing literature, four different market orientations were identified: (1) focus on ethnic market niche, (2) focus on specific interests, (3) focus on exotic products for the local customer, and (4) focus on highly competitive markets. The authors present a 2x2 matrix including the variables: (a) degree of affiliation of entrepreneurs with their ethnic communities and target audience, e (b) market segments in which they focus.

Theoretical/Methodological contributions: the main theoretical contribution of the paper is supporting the discussion on market orientation of immigrants and ethnic firms, as well as their target audience decisions. In addition, the article innovates by discussing strategic decisions in the context of small and medium Brazilians businesses established overseas.

Downloads

Download data is not yet available.

Author Biographies

Eduardo Picanço Cruz, Universidade Federal Fluminense

Departamento de Empreendedorismo e Gestão

Área de empreendedorismo imigrante e empreendedorismo étnico

Roberto Pessoa de Queiroz Falcão, Universidade Federal Fluminense

Departamento de Empreendedorismo e Gestão

Área de empreendedorismo imigrante e empreendedorismo étnico

References

Achidi-Ndofor, H., & Priem, R. L. (2011). Immigrant entrepreneurs, the ethnic enclave strategy, and venture performance. Journal of Management, 37(3), 790-818.

Adam, M. (Ed.). (2015). Indian Africa: Minorities of Indian-Pakistani Origin in Eastern Africa. Tanzania: Mkuki Na Nyota Publishers.

Agarwal, S., Erramilli, M.K., & Dev, C. (2003). Market orientation and performance in service firms: role of innovation. Journal of Services Marketing, 17(1), 68-82.

Alba, R., & Nee, V. (1997). Rethinking assimilation theory for a new era of immigration. International migration review, 31(4), 826-874.

Aldrich, H. E., & Waldinger, R. (1990). Ethnicity and entrepreneurship. Annual review of sociology, 16(1), 111-135.

Aliaga-Isla, R., & Rialp, A. (2013). Systematic review of immigrant entrepreneurship literature: previous findings and ways forward. Entrepreneurship & Regional Development, 25(9-10), 819-844.

Altinay, L. (2009). Market orientation of small ethnic minority-owned hospitality firms. International Journal of Hospitality Management, 29(1), 148-156.

Altinay, L., & Altinay, E. (2006). Determinants of ethnic minority entrepreneurial growth in the catering sector. The Service Industries Journal, 26(2), 203-221.

Altinay, L., & Altinay, E. (2008). Factors influencing business growth: the rise of Turkish entrepreneurship in the UK. International Journal of Entrepreneurial Behavior & Research, 14(1), 24-46.

Ansoff, H. I. (1957). Strategies for diversification. Harvard business review, 35(5), 113-124.

ABAV – Associação Brasileira de Agências de Viagens. (2019). Férias de julho: confira os destinos mais procurados por brasileiros em 2019. Press Releases. Recuperado de http://www.abav.com.br/pa/press-release/ferias-de-julho-confira-os-destinos-mais-procurados--por-brasileiros-em-2019

Azevedo, R. (2015). Só volto à Síria para visitar, diz refugiado no Brasil. Revista Exame. Recuperado de http://exame.abril.com.br/brasil/so-volto-a-siria-para-visitar-diz-refugiado-no-brasil/

Barrett, G. A., Jones, T. P., & McEvoy, D. (1996). Ethnic minority business: Theoretical discourse in Britain and North America. Urban studies, 33(4-5), 783-809.

Blackburn, R., & Kovalainen, A. (2009). Researching small firms and entrepreneurship: Past, present and future. International Journal of Management Reviews, 11(2), 127-148.

Bloem, T. M. (2015). Impacts of Brazilian Business and Brazilian Immigrant Organizations in South Florida (Master Dissertation). Faculty of the Center for Latin American Studies, University of Arizona, Arizona, USA.

Bonacich, E. (1973). A theory of middleman minorities. American sociological review, 38(5), 583-594.

Brandino, G. (2016). Família síria inaugura restaurante e divide alegria com voluntários e fregueses. Migra Mundo. Recuperado de http://migramundo.com/familia-siria-inaugura-restaurante-e-divide-alegria-com-voluntarios-e-fregueses/

Brinkerhoff, J. M. (2016) Institutional Reform and Diaspora Entrepreneurs: The In-Between Advantage. Oxford: Oxford University Press.

Cheong, P. H., Edwards, R., Goulbourne, H., & Solomos, J. (2007). Immigration, social cohesion and social capital: A critical review. Critical social policy, 27(1), 24-49.

Cohen R (2008). Global diasporas: an introduction (2nd ed.). New York: Routledge.

Coviello, N., & Yli-Renko, H. (Eds.). (2016). Handbook of Measures for International Entrepreneurship Research: Multi-item Scales Crossing Disciplines and Contexts. Cheltenham, UK: Edward Elgar Publishing.

Cruz, E. P., Falcão, R. P. Q., & Barreto, C. R. (2017). Bounded Trust or Mistrust-Depicting Brazilian Immigrant Entrepreneurship Practices in the US. Poster presented at the United States Association for Small Business and Entrepreneurship (USASBE). Annual Conference, Philadelphia, Unites States of America, 32.

Cruz, E. P., Falcão, R. P. Q., & Barreto, C. R. (2018). Exploring the evolution of ethnic entrepreneurship: the case of Brazilian immigrants in Florida. International Journal of Entrepreneurial Behavior & Research, 24(5), 971-993.

Deng, S., & Dart, J. (1994). Measuring market orientation: a multi‐factor, multi‐item approach. Journal of marketing management, 10(8), 725-742.

Denzin, N. K., & Lincoln, Y. S. (Eds.). (2011). The Sage handbook of qualitative research. Thousand Oaks, CA: Sage.

Dimitratos, P., Plakoyiannaki, E., Pitsoulaki, A., & Tüselmann, H. J. (2010). The global smaller firm in international entrepreneurship. International Business Review, 19(6), 589-606.

Drori, I., Honig, B., & Wright, M. (2009). Transnational entrepreneurship: An emergent field of study. Entrepreneurship Theory and Practice, 33(5), 1001-1022.

Dubois, A., & Gadde, L. E. (2002). Systematic combining: an abductive approach to case research. Journal of business research, 55(7), 553-560.

Ellemers, N., Van Rijswijk, W., Roefs, M., & Simons, C. (1997). Bias in intergroup perceptions: balancing group identity with social reality. Personality and Social Psychology Bulletin, 23(2), 186-198.

Elo, M. (2016). Typology of diaspora entrepreneurship: case studies in Uzbekistan. Journal of International Entrepreneurship, 14(1), 121-155.

Elo, M., & Volovelsky, E. K. (2016). Jewish diaspora entrepreneurs – the impact of religion on opportunity exploration and exploitation. International Journal of Entrepreneurship and Small Business, 31(2), 244-269.

Elo, M., Sandberg, S., Servais, P., Basco, R., Cruz, A. D., Riddle, L., & Täube, F. (2018). Advancing the views on migrant and diaspora entrepreneurs in international entrepreneurship. Journal of International Entrepreneurship, 16(2), 119-133.

Etemad, H. (2017). Towards a conceptual multilayered framework of international entrepreneurship. Journal of International Entrepreneurship, 15(3), 229-238.

Etemad, H. (2018). Advances and challenges in the evolving field of international entrepreneurship: The case of migrant and diaspora entrepreneurs. Journal of International Entrepreneurship, 16(2), 109-118.

Evans, Y., Wills, J., Datta, K., Herbert, J., McIlwaine, C., May, J., ... & França, A. P. (2007). Brazilians in London: a report for the Strangers into Citizens Campaign. London: Department of Geography, Queen Mary, University of London.

Forsander, A. (2004). Social capital in the context of immigration and diversity: Economic participation in the Nordic welfare states. Journal of International Migration and Integration/Revue de l'integration et de la migration internationale, 5(2), 207-227.

Gerke, S., & Menkhoff, T. (Eds.). (2003). Chinese entrepreneurship and Asian business networks. New York: Routledge.

Herreros, F., & Criado, H. (2009). Social trust, social capital and perceptions of immigration. Political studies, 57(2), 337-355.

Hinterhuber, A. (2013). Can competitive advantage be predicted? Management Decision, 51(4), 795-812.

Hurtado-de-Mendoza, A., Gonzales, F. A., Serrano, A., & Kaltman, S. (2014). Social isolation and perceived barriers to establishing social networks among Latina immigrants. American journal of community psychology, 53(1-2), 73-82.

Jamal, A. (2003). Retailing in a multicultural world: the interplay of retailing, ethnic identity and consumption. Journal of Retailing and Consumer Services, 10(1), 1-11.

Jaworski, B. J., & Kohli, A. K. (1993). Market orientation: antecedents and consequences. Journal of marketing, 57(3), 53-70.

Johanson, J., & Vahlne, J. E. (2009). The Uppsala internationalization process model revisited: From liability of foreignness to liability of outsidership. Journal of international business studies, 40(9), 1411-1431.

Jones, T., & Ram, M. (2010). Ethnic variations on the small firm labour process. International Small Business Journal, 28(2), 163-173.

Jones, T., Barrett, G., & McEvoy, D. (2000). Market potential as a decisive influence on the performance of ethnic minority business. In Immigrant Businesses (pp. 37-53). UK: Palgrave Macmillan.

Kara, A., Spillan, J. E., & DeShields Jr., O. W. (2005). The effect of a market orientation on business performance: a study of small‐sized service retailers using Markor scale. Journal of small business management, 43(2), 105-118.

Kirca, A. H., Jayachandran, S., & Bearden, W. O. (2005). Market orientation: A meta-analytic review and assessment of its antecedents and impact on performance. Journal of marketing, 69(2), 24-41.

Kozinets, R. V. (2002). The field behind the screen: Using netnography for marketing research in online communities. Journal of marketing research, 39(1), 61-72.

Lee, J. (1999). Retail niche domination among African American, Jewish, and Korean entrepreneurs: competition, coethnic advantage and disadvantage. American Behavioral Scientist, 42(9), 1398-1416.

Light, I., Bhachu, P., & Karageorgis, S. (1993). Migration networks and immigrant entrepreneurship. In I. Light & P. Bhachu (Eds.). Immigration and entrepreneurship: Culture, capital, and ethnic networks (pp. 25-50). London/New York: Routledge.

Liston, B. (2014). Turistas brasileiros superam britânicos e lideram visitas à Flórida. Reuters Brasil. Recuperado de http://br.reuters.com/article/entertainmentNews/idBRKBN0F65GE20140701.

Luken, V. M., & Tranmer, M. (2010). Personal support networks of immigrants to Spain: A multilevel analysis. Social Networks, 32(4), 253-262.

Marschan-Piekkari, R., & Welch, C. (Eds.). (2011). Rethinking the case study in international business and management research. Cheltenham, UK: Edward Elgar Publishing.

Matsuno, K., Mentzer, J. T., & Rentz, J. O. (2005). A conceptual and empirical comparison of three market orientation scales. Journal of business research, 58(1), 1-8.

McCartan-Quinn, D., & Carson, D. (2003). Marketing orientation in SMEs: Ef-fects on the internal environment. New England Journal of Entrepreneurship, 5(1), 13-22.

McCracken, G. (1988). The Long Interview. Beverly Hills, CA: Sage.

Min, P. G., & Bozorgmehr, M. (2000). Immigrant entrepreneurship and business patterns: A comparison of Koreans and Iranians in Los Angeles. International migration review, 34(3), 707-738.

Moussetis, R. (2011). Ansoff revisited: How Ansoff interfaces with both the planning and learning schools of thought in strategy. Journal of Management History, 17(1), 102-125.

Newland, K., & Tanaka, H. (2010). Mobilizing diaspora entrepreneurship for development. Washington, DC: Migration Policy Institute.

Nkongolo-Bakenda, J. M., & Chrysostome, E. V. (2013). Engaging diasporas as international entrepreneurs in developing countries: in search of determinants. Journal of International Entrepreneurship, 11(1), 30-64.

Novo, B., & Padilha, F. (2017). Cinco forças de Porter: a prática nas empresas. Seminário de Gestão e Tecnologia, 1(1), 10-18.

O’Donnell, A., & Cummins, D. (1999). The use of qualitative methods to research networking in SMEs. Qualitative Market Research: An International Journal, 2(2), 82-91.

Pelham, A. M. (2000). Market orientation and other potential influences on performance in small and medium-sized manufacturing firms. Journal of small business management, 38(1), 48-67.

Portes, A., & Zhou, M. (1992). Gaining the upper hand: Economic mobility among immigrant and domestic minorities. Ethnic and Racial Studies, 15(4), 491-522.

Rath, J., & Kloosterman, R. (2000). Outsiders' business: A critical review of research on immigrant entrepreneurship. International Migration Review, 34(3), 657-681.

Riddle, L., & Brinkerhoff, J. (2011). Diaspora entrepreneurs as institutional change agents: The case of Thamel.com. International Business Review, 20(6), 670-680.

Riddle, L., Hrivnak, G. A., & Nielsen, T. M. (2010). Transnational diaspora entrepreneurship in emerging markets: Bridging institutional divides. Journal of International Management, 16(4), 398-411.

Rocha, A. D., Esteves, F., Mello, R. C. D., & Silva, J. F. D. (2015). Diasporic and Transnational Internationalization: The Case of Brazilian Martial Arts. BAR-Brazilian Administration Review, 12(4), 403-420.

Rusinovic, K. (2008). Moving between markets? Immigrant entrepreneurs in different markets. International Journal of Entrepreneurial Behavior & Research, 14(6), 440-454.

Safran, W. (1991). Diasporas in modern societies: Myths of homeland and return. Diaspora: A journal of transnational studies, 1(1), 83-99.

Safran, W. (2005). The Jewish diaspora in a comparative and theoretical perspective. Israel studies, 10(1), 36-60.

Sarasvathy, S. D. (2001). Causation and effectuation: Toward a theoretical shift from economic inevitability to entrepreneurial contingency. Academy of management Review, 26(2), 243-263.

Saxenian, A. (2007). The new argonauts: Regional advantage in a global economy. Cambridge, Massachusetts, EUA: Harvard University Press.

Schimmele, C., & Wu, Z. (2015). The new immigration and ethnic identity. Discussion Paper Series Document de travail, 3(1), 1-40.

Slater, S. F., & Narver, J. C. (1994). Does competitive environment moderate the market orientation-performance relationship? The Journal of Marketing, 58(1), 46-55.

Spears, R., Doosje, B., & Ellemers, N. (1997). Self-stereotyping in the face of threats to group status and distinctiveness: the role of group identification. Personality and Social Psychology Bulletin, 23(5), 538-553.

Stake, R. E. (2013). Multiple case study analysis. New York: Guilford Press.

Stonehouse, G., & Snowdon, B. (2007). Competitive advantage revisited: Michael Porter on strategy and competitiveness. Journal of Management Inquiry, 16(3), 256-273.

Tata, J., & Prasad, S. (2015). Immigrant family businesses: social capital, network benefits and business performance. International Journal of Entrepreneurial Behavior & Research, 21(6), 842-866.

Teixeira, C. (2001). Construindo uma economia étnica em Toronto, Canadá. Scripta Nova: Revista Electrónica de Geografía y Ciências Sociales, 94(77). Recuperado de http://www.ub.edu/geocrit/sn-94-77.htm

Teixeira, E. K. (2014). Fogo de Chão Steak House: empreendedorismo étnico versus marketing de experiência. Update-Revista de Gestão de Negócios, 1(1), 137-153.

Teixeira, E. K., & de Souza, Y. S. (2014). A internacionalização das churrascarias brasileiras: uma análise sobre o ambiente de experiência. Revista Competência, 4(1), 1-15.

Tolciu, A. (2011). Migrant entrepreneurs and social capital: a revised perspective. International. Journal of Entrepreneurial Behavior & Research, 17(4), 409-427.

Tzokas, N., Carter, S., & Kyriazopoulos, P. (2001). Marketing and entrepreneurial orientation in small firms. Enterprise and innovation management studies, 2(1), 19-33.

United Nations. [Department of Economic and Social Affairs. Population Division]. (2017). International Migration Report 2017: Highlights. New York: United Nations.

Vandor, P., & Franke, N. (2016). Why Are Immigrants More Entrepreneurial? Harward Business Review. Recuperado de https://hbr.org/2016/10/why-are-immigrants-more-entrepreneurial

Wang, C. L., & Altinay, L. (2012). Social embeddedness, entrepreneurial orientation and firm growth in ethnic minority small businesses in the UK. International Small Business Journal, 30(1), 3-23.

Zhou, M. (2004). The Role of the Enclave Economy in Immigrant Adaptation and Community Building: The case of New York’s Chinatown. In J. S. Butler & G. Kozmetsky (Orgs.) Immigrant and Minority Entrepreneurship. The Continuous Rebirth of American Communities. London: Prager.

Zolin, R., & Schlosser, F. (2013). Characteristics of immigrant entrepreneurs and their involvement in international new ventures. Thunderbird International Business Review, 55(3), 271-284.

Published

2020-09-02

How to Cite

Cruz, E. P., & Falcão, R. P. de Q. (2020). Market Orientation for Immigrant and Ethnic Small and Medium-Sized Brazilian Immigrant Ventures Overseas. Iberoamerican Journal of Entrepreneurship and Small Business, 9(4), 641–671. https://doi.org/10.14211/regepe.v9i4.1765