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• Erecting barriers to entry (the strength of the brand, uniqueness of the
product, superior service and production or processes)
• Making cost savings from on-line communications
• Providing on-line support
• The establishment of company websites for marketing, sales and
promotion
Moreover, many smaller organisations do not just use the Internet for
providing on-line support and the establishment of company websites but
conduct their entire business through on-line and e-commerce activities.
These companies are ‘born global’.
11.5 Born global organisations
Born global companies aim at international marketing right from the start.
The phrase ‘born global’ is used to describe companies that commence
operations with a focus on global marketing rather than on the domestic
market (Burca et al. 2004, p. 272). In other words, companies that start
their involvement overseas through foreign direct investment at the initial
stage are known in the literature as ‘born global’ companies (Doole and
Lowe, 2008). They are characterised by being small – typically fewer than
500 employees and annual sales under $100 million – and rely on cutting-
edge technology in the development of a relatively unique product or
process innovation. But the most distinguishing feature of born global
companies is that they tend to be managed by entrepreneurial visionaries
who view the world as a single, borderless marketplace from the time of
the company’s founding (Knight and Cavusgil, 1996, p. 12).
According to Burca et al. (2004, p. 272), this sort of company offers
products and services to small, niche markets, and the size of that niche
in the domestic market is insufficient to ensure the viability of the concept
underlining the product. The background of the owner of the company has
a very strong influence on the creation of born global companies. It could
include personal networking, market knowledge and skills, international
contacts and international experience. Previous experience and
