AI and cloud computing are changing the way international companies operate - or do they, quite yet? A single case study on how digital tools within a digital company’s value chain has affected its internationalization process

Abstract

Artificial Intelligence and cloud computing services are increasing in popularity among international companies within the ICT industry. Research shows that in order to maintain competitive advantages, companies need to keep up with technological development and implement digital tools in their value chains. There is a research gap regarding how the implementation of digital tools in digital companies’ value chains affect their internationalization processes. This thesis addresses this research gap by connecting three theoretical fields; digitalization, digital value chains and internationalization, and explaining with a help of a single-case study, how using AI and cloud computing services throughout a company’s value chain affect its internationalization process. This exploratory study is qualitative in nature. Twelve in-depth interviews were conducted with managers of the case company and three industry experts. The empirical results were analyzed with the help of a conceptual framework created by the authors of this thesis, and the authors’ own interpretation. The results show that AI and cloud computing services acted as facilitators rather than primary factors affecting the company’s internationalization process. Cloud computing was analyzed to directly facilitate the case company’s internationalization process. AI in turn was used as an automation tool streamlining the case company’s operations. Finally, it was concluded that there were three primary factors that affected the case company’s internationalization process: networks, national geographical factors and rising occasional opportunities. These findings can be used as inspiration for managers of international digital firms in the ICT industry.