Internationalization of Digital Innovations: A Rapidly Evolving Research Stream

This perspective paper synthesizes the burgeoning literature on internationalization of digital innovations to identify promising areas for future research. We first integrate multiple perspectives on digital innovations to offer a coherent and unified definition of digital innovations. Next, we synthesize digital innovation research into a theoretical framework that discusses the interrelationship between digital innovations and international business environment and its implications for international penetration of digital innovations. Our synthesis of literature highlights the increased research focus on demand-side perspective as an appropriate theoretical framework to explain the unique dynamics of digital internationalization. Finally, we take account of recent trends in digital economy as well as important gaps in current literature to propose promising avenues for future research. We particularly emphasize the need to integrate current institutional transitions of a digital era as well as emerging theoretical perspectives such as demand-side perspective and opportunity logic in digital internationalization research. We hope our perspective paper will contribute toward a more systematic and theoretically grounded advancement of digital internationalization research.