Beyond Borders: The Ability of FMCG Companies Leveraging their Internal Capabilities Internationally

Abstract: The advent of globalization has emphasized the importance of effective internationalization strategies for Fast-Moving Consumer Goods (FMCG) companies. This research seeks to explore the internal capabilities of FMCG firms, examining how they can be refined, developed, and utilized for more effective internationalization. The study fills a critical research gap by providing an in-depth understanding of internal capability management and its role in internationalization within the FMCG sector. The research question guiding this inquiry is: "How do FMCG companies' internal capabilities contribute to their international product expansion, and how can they be used to navigate other aspects of internationalization?" A semi-inductive, qualitative research approach was employed by conducting semi-structured interviews with employees at the chosen FMCG company. Our research underscores the importance of FMCG firms understanding and leveraging their internal resources to optimize their internationalization process. The key findings suggest that the firm's internal capabilities highly affect FMCG companies' internationalization process. Having the right attributes and capabilities is vital to develop good decision-making within an organization to align with the external environment, create products that consumers want, and generate successful internationalization strategies. This research offers valuable insights for both academia and industry by enhancing the understanding of how FMCG companies can leverage their internal capabilities in their internationalization strategy, thereby being aware of how to utilize firm-specific and management-specific capabilities. The research suggests several areas for future inquiry, which are critical for advancing knowledge in the field and developing more effective strategies for internationalizing FMCG companies.