Internationalization

In economics, internationalization has been viewed as a process of increasing involvement of enterprises in international markets,although there is no agreed definition of internationalization or international entrepreneurship.There are several internationalization theories which try to explain why there are international activities.
Contents

1 Trade theories
1.1 Absolute cost advantage (Adam Smith, 1776)
1.2 Comparative cost advantage (David Ricardo, 1817)
1.3 Gravity model of trade (Walter Isard, 1954
1.4 Heckscher-Ohlin model (Eli Heckscher, 196 & Bertil Ohlin, 1952)
1.5 Leontief paradox (Wassily Leontief, 1954
1.6 Linder hypothesis (Staffan Burenstam Linder, 1961)
1.7 Location theory
1.8 Market imperfection theory (Stephen Hymer, 1976 & Charles P. Kindleberger, 1969 & Richard E. Caves, 1971)
1.9 New Trade Theory
1.10 Specific factors model
2 Traditional approaches
2.1 Diamond model (Michael Porter)
2.2 Diffusion of innovations (Rogers, 1962)
2.3 Eclectic paradigm (John H. Dunning)
2.4 Foreign direct investment theory (FDI)
2.5 Monopolistic advantage theory (Stephen Hymer)
2.6 Non-availability approach (Irving B. Kravis, 1956)
2.7 Technology gap theory of trade (Posner)
2.8 Uppsala model
3 Further theories
3.1 Behavioral theory of the firm (Richard M. Cyert & James G. March, 1963; Yair Aharoni, 1966)
3.2 Contingency theory
3.3 Contract theory
3.4 Economy of scale
3.5 Internalisation theory (Peter J. Buckley & Mark Casson)
3.6 Product life cycle theory (Vernon L. Smith)
3.7 Transaction cost theory
3.8 Theory of the growth of the firm (Edith Penrose, 1959)