Ethnic ties, motivations, and home country entry strategy of transnational entrepreneurs

Abstract

Based on 30 in-depth interviews with Indian transnational entrepreneurs (TEs) in the USA and their corresponding India heads of operations, we explore the influence of TEs’ ethnic ties on their motivations and entry strategy in the formation of transnational ventures in their home country. Our findings show the heterogeneity of TEs’ motivations (economic and emotional) and home country entry strategy (proactive and reactive). Further, we find that TEs’ entry strategy is contingent on their (a) use of professional and personal ethnic ties and (b) prior experience of doing business with the home country. These findings contribute to the transnational and immigrant entrepreneurship literatures.