Uppsala model

The Uppsala model is a theory that describes how companies intensify their internationalization activities gradually. It is similar to the POM model of Reijo Luostarinen (1979).

In the Uppsala model a distinction is made between a temporal and spatial pattern. The temporal pattern describes that companies first gain experience in the home market and then start exporting. If this step is successful, followed by the foundation of foreign companies and possibly the relocation of production abroad. The local pattern describes that companies first dare on markets that are closest to them mentally. Only then follow culturally or geographically distant markets.