Column 15 · Global Marketing Strategy · Era 2, Planning (1970s)
Uppsala Process Model
Formulation, process · Landmark · Cluster VI, Context
Description
The Uppsala model describes internationalization as an incremental process in which experiential market knowledge and market commitment develop together, so that firms enter psychically close markets first and deepen commitment in stages.
Managerial Implications
Firms internationalize incrementally, entering familiar markets first and committing more as they learn. For managers, the lesson is that knowledge, not capital, limits foreign expansion. Sequence entries so each builds experience for the next, use partners and local hires to buy learning, and expect commitment to grow with knowledge. Skipping steps is possible but raises the odds of expensive surprises.