IBS Lunchtime Research Seminar - The micro-analytics of export entry pricing strategies: Experience, innovation and market leadership effects

You are cordially invited to attend an International Business and Strategy Departmental Research Meeting, during which there will be a presentation by Marco Grazzi, Cattolica (Milan). A reminder that attendance for IBS (full time, research oriented) staff and full-time students is compulsory, and where possible, must be in person. Individuals unable to attend in person, due to legitimate reasons will be provided a Teams link on request. Non-IBS staff are welcome to attend. If you have not received the email invite please email Angie Clark

Please join us in Room 108, Henley Business School.

Please make sure you let me know in advance if you intend to attend in person so that the correct amount of catering is booked.

Date: Wednesday18th March 2026, HBS Room 108

Time: 13.00 - 14.30

Abstract:

We extend the liability of foreignness (LOF) and outsidership (LOO) literature to consider the role of home country incumbents on export pricing decisions. Employing a longitudinal dataset from French customs over the period 2000-2017 and narrowing down the analysis at firm-product-country-buyer (f-p-c-b) level, we aim at disentangling the export price differences between home-based competitors abroad and different types of export entrants according to their export experience. Furthermore, we investigate the role played by innovation and market leadership by export incumbents as key internal and external moderating factors. This paper provides three key findings. First, export entrants follow an initial lower export price strategy compared to incumbents, regardless the type of export experience. However, having some country-specific experience marginally helps export entrants with the initial export price strategy. Second, innovation allows all types of export entrants to follow an export price strategy at or near that of incumbents. Third, market leadership, i.e. the concentration of incumbent exporters from the same home country and selling the same product, allows export entrants to overcome LOF/LOO and follow an export price strategy at or near that of incumbents. However, this greatly depends on their export experience.

Authors: Alfredo D'Angelo; Marco Grazzi, Le Li, Jim Love, Daniele Moschella