Digital dampening and internationalization of digital firms
成果类型：
Article
署名作者：
Natarajan, Siddharth; Li, Qingwei; Park, Seung Ho
署名单位：
Nanyang Technological University; Hang Seng University of Hong Kong
刊物名称：
JOURNAL OF INTERNATIONAL BUSINESS STUDIES
ISSN/ISSBN：
0047-2506
DOI：
10.1057/s41267-025-00835-6
发表日期：
2026
关键词：
products
摘要：
To examine heterogeneity in the internationalization of digital firms, we introduce the concept of digital dampening, which refers to the extent to which non-digital elements are integrated into a digital firm. We argue that digital dampening inhibits internationalization. We develop testable hypotheses about the international multihoming of smartphone apps from China and analyze rich data on 33,878 smartphone apps from 25,233 Chinese vendors on the Tencent app market. Our methodology leverages generative artificial intelligence (GenAI) in conjunction with latent Dirichlet allocation (LDA) to investigate how the digital dampening of Tencent apps influences their presence on Google Play, a foreign app market. The findings indicate that the digital dampening of Tencent apps is negatively associated with their presence on Google Play, particularly for apps that face weaker downloads compared to their rivals. Supplementary analyses shed light on post-internationalization metrics on Google Play and vendor-level extensive and intensive margins of internationalization. Further tests rule out plausible alternative explanations and verify sensitivity for GenAI usage. Overall, the study presents an alternative to the prevailing view of born-digital firms as inherently global, emphasizing that non-digital complementarities in the business model can hinder internationalization, particularly in those firms facing a weak domestic competitive position. Digital firms, which rely heavily on digital assets like software and databases, are often seen as naturally suited for international growth. However, not all digital firms expand internationally at the same rate. This article explores why some digital firms are more inclined to internationalize than others, developing the concept of digital dampening. Digital dampening refers to the integration of non-digital elements into a digital firm's business model. The study examines this phenomenon in the context of smartphone apps, particularly those on the Tencent app market in China, and investigates how digital dampening affects their presence on Google Play, a foreign platform. The presence of Tencent apps on Google Play can be considered as internationalization, as these apps engage in multihoming across digital platforms in different countries.This article adopts a novel empirical approach combining generative artificial intelligence (GenAI) and a machine learning technique called latent Dirichlet allocation (LDA) to analyze the digital dampening of 33,878 apps from 25,233 Chinese vendors. LDA is a method used to identify themes in large-scale text data. The study leverages GenAI in conjunction with the LDA. The study finds that apps with higher digital dampening are less likely to be present on Google Play, especially those with weak download performance compared to their competitors on Tencent. These findings suggest that digital dampening can create barriers to international expansion.The results suggest that digital dampening could negatively impact the internationalization of digital firms. The study concludes that while integrating non-digital elements can improve competitiveness in local markets, it may also reduce a digital firm's ability to expand internationally. Overall, this research advances the understanding of digital firm internationalization by highlighting the role of business model heterogeneity and the strategic implications of digital dampening. Future research could explore how digital firms balance local competitiveness with international growth and examine the impact of digital dampening in other contexts.This text was initially drafted using artificial intelligence, then reviewed by the author(s) to ensure accuracy. Pour examiner l'h & eacute;t & eacute;rog & eacute;n & eacute;it & eacute; dans l'internationalisation des entreprises num & eacute;riques, nous introduisons le concept d'att & eacute;nuation num & eacute;rique (Digital Dampening), qui fait r & eacute;f & eacute;rence au degr & eacute; auquel des & eacute;l & eacute;ments non num & eacute;riques sont int & eacute;gr & eacute;s dans une entreprise num & eacute;rique. Nous argumentons que l'att & eacute;nuation num & eacute;rique freine l'internationalisation. Nous d & eacute;veloppons des hypoth & egrave;ses testables sur le multih & eacute;bergement international des applications pour smartphones en provenance de Chine, et analysons de riches donn & eacute;es sur 33 878 applications pour smartphones issues de 25233 vendeurs chinois sur le march & eacute; d'applications Tencent. Notre m & eacute;thodologie s'appuie conjointement sur l'intelligence artificielle g & eacute;n & eacute;rative (GenAI) et l'Allocation Latente de Dirichlet (latent Dirichlet allocation - LDA) pour examiner comment l'att & eacute;nuation num & eacute;rique des applications Tencent influence leur pr & eacute;sence sur Google Play, un march & eacute; d'applications & eacute;tranger. Les r & eacute;sultats indiquent que l'att & eacute;nuation num & eacute;rique des applications Tencent est n & eacute;gativement associ & eacute;e & agrave; leur pr & eacute;sence sur Google Play, en particulier pour les applications qui enregistrent des t & eacute;l & eacute;chargements plus faibles par rapport & agrave; leurs concurrents. Des analyses compl & eacute;mentaires mettent en lumi & egrave;re des indicateurs post-internationalisation sur Google Play, ainsi que les marges extensives et intensives de l'internationalisation au niveau des vendeurs. Des tests suppl & eacute;mentaires & eacute;cartent des explications alternatives plausibles, et v & eacute;rifient la sensibilit & eacute; li & eacute;e & agrave; l'utilisation de la GenAI. Dans l'ensemble, la recherche propose une alternative & agrave; la vision dominante des entreprises << n & eacute;es num & eacute;riques >> (Born-Digital Firms) comme & eacute;tant intrins & egrave;quement globales, en soulignant que les compl & eacute;mentarit & eacute;s non num & eacute;riques dans le mod & egrave;le & eacute;conomique peuvent freiner l'internationalisation, en particulier pour les entreprises confront & eacute;es & agrave; une position concurrentielle domestique faible. Para examinar la heterogeneidad en la internacionalizaci & oacute;n de las empresas digitales, introducimos el concepto de amortiguaci & oacute;n digital, que se refiere al grado en que los elementos no digitales est & aacute;n integrados en una empresa digital. Argumentamos que la amortiguaci & oacute;n digital inhibe la internacionalizaci & oacute;n. Desarrollamos hip & oacute;tesis comprobables sobre el multihoming internacional de aplicaciones m & oacute;viles de China y analizamos datos detallados de 33.878 aplicaciones m & oacute;viles de 25.233 proveedores chinos en el mercado de aplicaciones de Tencent. Nuestra metodolog & iacute;a aprovecha la inteligencia artificial generativa (GenAI) junto con latent Dirichlet allocation (LDA) para investigar c & oacute;mo la amortiguaci & oacute;n digital de las aplicaciones de Tencent influye en su presencia en Google Play, un mercado de aplicaciones extranjero. Los hallazgos indican que la amortiguaci & oacute;n digital de las aplicaciones de Tencent est & aacute; negativamente asociada con su presencia en Google Play, particularmente en el caso de aplicaciones que registran menos descargas en comparaci & oacute;n con sus rivales. An & aacute;lisis complementarios arrojan luz sobre m & eacute;tricas posteriores a la internacionalizaci & oacute;n en Google Play y sobre los m & aacute;rgenes extensivos e intensivos de internacionalizaci & oacute;n a nivel de proveedor. Pruebas adicionales descartan explicaciones alternativas plausibles y verifican la sensibilidad en el uso de GenAI. En general, el estudio presenta una alternativa a la visi & oacute;n predominante de las empresas nativas digitales como inherentemente globales, enfatizando que las complementariedades no digitales en el modelo de negocio pueden obstaculizar la internacionalizaci & oacute;n, particularmente en aquellas empresas que enfrentan una posici & oacute;n competitiva d & eacute;bil en el mercado dom & eacute;stico. Para examinar a heterogeneidade na internacionaliza & ccedil;& atilde;o de empresas digitais, introduzimos o conceito de amortecimento digital, que se refere ao grau em que elementos n & atilde;o digitais s & atilde;o integrados a uma empresa digital. Argumentamos que o amortecimento digital inibe a internacionaliza & ccedil;& atilde;o. Desenvolvemos hip & oacute;teses test & aacute;veis sobre o multihoming internacional de aplicativos de smartphone da China e analisamos dados abrangentes de 33.878 aplicativos de smartphone de 25.233 fornecedores chineses no mercado de aplicativos da Tencent. Nossa metodologia utiliza intelig & ecirc;ncia artificial generativa (GenAI) em conjunto com a Aloca & ccedil;& atilde;o Latente de Dirichlet (LDA) para investigar como o amortecimento digital dos aplicativos da Tencent influencia sua presen & ccedil;a no Google Play, um mercado de aplicativos estrangeiro. Os resultados indicam que o amortecimento digital dos aplicativos da Tencent est & aacute; negativamente associado & agrave; sua presen & ccedil;a no Google Play, particularmente para aplicativos que enfrentam downloads mais an & ecirc;micos em compara & ccedil;& atilde;o com seus concorrentes. An & aacute;lises suplementares esclarecem m & eacute;tricas p & oacute;s-internacionaliza & ccedil;& atilde;o no Google Play e margens extensivas e intensivas de internacionaliza & ccedil;& atilde;o no n & iacute;vel de fornecedores. Testes adicionais descartam explica & ccedil;& otilde;es alternativas plaus & iacute;veis e verificam a sensibilidade do uso de GenAI. De forma geral, o estudo apresenta uma alternativa & agrave; vis & atilde;o predominante de empresas nascidas digitais como inerentemente globais, enfatizando que complementaridades n & atilde;o digitais no modelo de neg & oacute;cios podem dificultar a internacionaliza & ccedil;& atilde;o, especialmente em empresas que enfrentam uma posi & ccedil;& atilde;o competitiva dom & eacute;stica fraca. 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