What is Microfoundations of Routines and Capabilities

Video game studios are an example of born global firms, companies that operate in international markets from the moment they are created. After providing an overview of the video game industry and a description of the video games business model, the Barcelona ecosystem is presented. A multiple case study is the chosen methodology and primary and secondary qualitative data are collected and analyzed. The purpose of the research is twofold: On the one hand, using the context of the effectuation theory to examine how video game developers transform means into effects. The first outcome of this study is a process model describing the mentioned transformation. On the other hand, the research explores the connection between microfoundations of routines and capabilities and international entrepreneurship (IE) to increase the understanding of how startups with scarce resources achieve launching games that have an international reach and, hence, become international entrepreneurs. The second outcome of this research is a model that sheds light on how microfoundations affect IE.