Date of Award
Fall 11-21-2025
Document Type
Dissertation
Degree Name
Ph.D. in Business
Organizational Unit
Daniels College of Business
First Advisor
Daniel W. Baack
Second Advisor
Paul Olk
Third Advisor
Sung Soo Kim
Copyright Statement / License for Reuse
All Rights Reserved.
Keywords
Entry mode, Individual level, Overconfidence, Psychic distance, Small and medium-sized enterprise (SME), SME internationalization, Uppsala model
Abstract
This study examines the relationship between managerial overconfidence, perceived psychic distance, and entry mode choices among Canadian small and medium-sized enterprise (SME) managers. Drawing on the behavioral foundations of the Uppsala model, this study adopts an individual-level perspective to explore how cognitive biases shape strategic decision-making in foreign market entry. While existing research on entry mode decisions primarily emphasizes firm-level economic, institutional, and transactional factors, this research shifts focus to the cognitive biases of decision-makers, particularly overconfidence, and their perception of foreign market differences.
This study uses a quantitative research design, employing survey data collected from a representative sample of Canadian SME managers via Prolific. The results indicate that there is no significant association between overconfidence or perceived psychic distance and entry mode choices.
By incorporating cognitive biases and individual-level perceptions into the Uppsala model, this study addresses key theoretical gaps in the internationalization literature. The results may contribute to a more nuanced understanding of the antecedents of entry mode decisions in SMEs and offer tentative practical insights for firms navigating expansion into geographically distant markets. The findings also highlight the importance of considering context, such as SMEs or specific countries, when examining entry mode decisions and their antecedents, the need for more refined measurement approaches for variables such as overconfidence, and the role of firm capabilities and managerial position as additional antecedents influencing entry mode decisions, beyond the effect of psychic distance and overconfidence.
Copyright Date
11-2025
Publication Statement
Copyright is held by the author. User is responsible for all copyright compliance.
Rights Holder
Bashar Abu Saadeh
Provenance
Received from ProQuest
File Format
application/pdf
Language
English (eng)
Extent
124 pgs
File Size
1.1 MB
Recommended Citation
Abu Saadeh, Bashar, "Bridging the Gap: Understanding the Effects of Overconfidence and Perceived Psychic Distance on Entry Mode Decisions Among Canadian SME Managers" (2025). Electronic Theses and Dissertations. 2536.
https://digitalcommons.du.edu/etd/2536
Included in
Business Administration, Management, and Operations Commons, Entrepreneurial and Small Business Operations Commons, Industrial and Organizational Psychology Commons, International Business Commons, Management Sciences and Quantitative Methods Commons