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Article
Publication date: 4 October 2021

Marcelo André Machado and Viviane Bischoff

This paper aimed to evaluate the differences in the use and knowledge of export promotion programs (EPPs) between Brazilian SMEs that internationalized early and SMEs that…

Abstract

Purpose

This paper aimed to evaluate the differences in the use and knowledge of export promotion programs (EPPs) between Brazilian SMEs that internationalized early and SMEs that internationalized in a gradual, traditional fashion. Additionally, it tested hypotheses that distinguish these two types of SME internationalization processes in an emerging market context.

Design/methodology/approach

The authors tested four hypotheses in a sample of 540 SME Brazilian exporters. The sample was divided into two groups according to the born global (BG) criteria: 379 SMEs with gradual or traditional internationalization (TI) and 161 SMEs with early internationalization (EI).

Findings

The results indicate that Brazilian EI SMEs operate in more countries and continents than TI SMEs. In emerging countries such as Brazil, the domestic market continues to play an important role both for SMEs that internationalize early and those whose process is slower. Even though logistic regression could not classify the sample of TI and EI SMEs according to their knowledge about EPPs, the results led to the idea that EI SMEs currently use more specific EPPs than do TI SMEs.

Practical implications

Managers of successful SMEs from emerging markets need to incorporate EPPs into their internationalization strategy. In emerging markets with large domestic markets, SME managers can meet their growth needs by exploiting opportunities in both domestic and international markets.

Originality/value

Research on the early internationalization of SMEs has long focused on SMEs from developed markets and on internal factors. Moreover, the effects of EPPs on the firm' performance of large and SME firms has also been the subject of study. The value of this paper relies on the intersection of EPPs and the early internationalization of SMEs, even for firms in developed markets.

Details

International Journal of Emerging Markets, vol. 18 no. 9
Type: Research Article
ISSN: 1746-8809

Keywords

Article
Publication date: 14 November 2023

Wensong Bai, Mikael Hilmersson, Martin Johanson and Luis Oliveira

The authors seek to advance the understanding of small- and medium-sized enterprise (SME) internationalization at the regional level and examine the role of home market…

Abstract

Purpose

The authors seek to advance the understanding of small- and medium-sized enterprise (SME) internationalization at the regional level and examine the role of home market institutions in this process.

Design/methodology/approach

The authors analyze hypotheses with data from SMEs in five country markets and from the Global Entrepreneurship Monitor. A cluster analysis establishes the regional diversification patterns (based on regional diversification scope, speed and rhythm) and a multinomial regression tests the effect of home market institutions on their adoption.

Findings

The results offer a refined picture of SME regional diversification by revealing three patterns: intra-regionally focused firms, late inter-region diversifiers and early inter-region diversifiers. They also suggest that the adoption of these patterns is determined by SMEs' home market institutions.

Originality/value

The authors develop a nuanced understanding of SME internationalization by building upon and expanding the regionalization rationale in the internationalization patterns literature. Additionally, the authors address the acknowledged, yet rarely investigated, country-level determinants of internationalization patterns.

Details

International Marketing Review, vol. 41 no. 2
Type: Research Article
ISSN: 0265-1335

Keywords

Article
Publication date: 27 July 2021

Mahfuzur Rahman, Dieu Hack-Polay, Sujana Shafique and Paul Agu Igwe

Internationalisation is considered as a key strategy for the growth of Small and Medium Enterprises (SMEs). The purpose of this paper is to examine the relationship between…

705

Abstract

Purpose

Internationalisation is considered as a key strategy for the growth of Small and Medium Enterprises (SMEs). The purpose of this paper is to examine the relationship between dynamic capability, SMEs internationalisation and firm performance in the context of emerging economies and to evaluate the impact of financial, asset and market expansion on internationalisation of SMEs.

Design/methodology/approach

Using primary data from 212 SMEs from Bangladesh, structural equation modelling and mathematical (hierarchical reflective) model, the analysis enabled the measurement of the casual relationship on the impacts of internationalisation.

Findings

The results revealed that internationalisation of SMEs has significant impact on both financial and non-financial performance of SMEs in an emerging economy- Bangladesh. The paper found internationalisation impacts on two dimensions (financial and non-financial) with eight defined indicators – higher sales, higher profit, assets maximisation, market expansion, competitive advantage, better reputation, better customer service and added knowledge.

Originality/value

Despite several studies that examine the relationship between SME internationalisation and firm performance, limited research exists on emerging economies. This is contrary to the fact that SMEs are one of the main vehicles for growth in those economies such as Bangladesh. In this research, the authors use the theories of dynamic capabilities to conceptualise how internationalisation becomes a core SME capability for SMEs in an emerging economy.

Details

International Journal of Emerging Markets, vol. 18 no. 9
Type: Research Article
ISSN: 1746-8809

Keywords

Article
Publication date: 5 June 2023

Ali Daei, Seyed Mahmood Zanjirchi, Seyed Habibolah Mirghafoori and Alireza Naser Sadrabadi

The varying nature of the competitive environment of small- and medium-sized enterprises (SMEs), contributing significantly to gross domestic product in most countries, has made…

Abstract

Purpose

The varying nature of the competitive environment of small- and medium-sized enterprises (SMEs), contributing significantly to gross domestic product in most countries, has made their moving toward internationalization and global competition unavoidable in such a way that the life cycle of research in this area is experiencing a period of rapid growth. This study aims to evaluate the status of research on SME internationalization based on bibliographic records retrieved from the Web of Science Core Collection and Scopus.

Design/methodology/approach

Using a scientometric analysis, reviewing the important points and the boundaries of research on SME internationalization as well as practicing co-occurrence and burst detection analysis.

Findings

Through a rigorous examination of the crucial points and boundaries within the realm of SMEs internationalization research, coupled with an analysis of co-occurrence and burst detection techniques to detect contemporary hotbed topics, this study has uncovered that the predominant focus of current discourse centers around the areas of networks and networking, as well as internationalization models and entry into the global arena. Moreover, it gives insight that future investigations will shift toward enhancing SME internationalization performance, while simultaneously prioritizing the expeditiousness of their entrance into international markets. The insights garnered from this inquiry are expected to facilitate salient contributions to future literature in this area, thereby advancing our understanding of these complex phenomena.

Practical implications

The trend of the research in this field can be useful for enthusiasts. In this context, the life cycle of research on SME internationalization has been drawn that shows the period of research growth of publications is almost between 2005 and 2023, and the saturation will be approximately from 2023 to 2035. The top researching SME internationalization in the world have been occurred in the USA, England, Canada, Sweden countries and in Department of Management, Department of Marketing, School of Management, Faculty of Management Studies institutions. Also, most of the research has been published in Journal of International Business Studies, International Business Review and Strategic Management Journal.

Originality/value

This study accordingly provided a valuable perspective for future research in this line.

Details

Competitiveness Review: An International Business Journal , vol. 34 no. 2
Type: Research Article
ISSN: 1059-5422

Keywords

Article
Publication date: 10 July 2023

Ahmed Adel Tantawy, Joseph Amankwah-Amoah and Pushyarag Puthusserry

This paper identifies the development of and gaps in knowledge in various management disciplines, including international marketing in relation to political ties in emerging…

Abstract

Purpose

This paper identifies the development of and gaps in knowledge in various management disciplines, including international marketing in relation to political ties in emerging markets, based on a systematic review of the related literature. The paper develops a synthesized integrative framework and provides a research agenda and pathways for future research.

Design/methodology/approach

The study adopts the systematic literature review protocol to investigate the ways in which political ties have been examined in the management literature in various disciplines, such as international business, marketing, entrepreneurship, strategy, innovation, and organization. In total, 114 articles published in peer-reviewed journals from 2000 to 2022 were analyzed.

Findings

The authors believe that studying the impact of political ties on firm outcomes is timely and important as interest in this area of research is growing rapidly. The review reveals that the diverse conceptual and methodological approaches adopted in different management disciplines have resulted in inconclusive and mixed findings on the relationship between political ties and performance.

Originality/value

This is one of the few systematic literature reviews of political ties and firm performance in emerging markets. The authors clarify some of the ambiguities around the subject and offer a path forward for developing current understanding and insights. The study also highlights the major perspectives in management and clarify the similarities and differences in the conceptualization of political ties. In addition, the authors develop an integrative framework of the political ties–performance link in emerging markets.

Details

International Marketing Review, vol. 40 no. 6
Type: Research Article
ISSN: 0265-1335

Keywords

Article
Publication date: 24 January 2023

Godwin Mwesigye Ahimbisibwe, Muhammed Ngoma, Annet K. Nabatanzi-Muyimba and Levi Bategeka Kabagambe

The purpose of this paper is to investigate the mediating role of international networking in the relationship between entrepreneurial mindset and small- and medium-sized…

Abstract

Purpose

The purpose of this paper is to investigate the mediating role of international networking in the relationship between entrepreneurial mindset and small- and medium-sized enterprise (SME) internationalization using evidence from exporting SMEs in Uganda.

Design/methodology/approach

This study adopted a cross-sectional research design. Data were collected through a questionnaire survey of 206 exporting SMEs that are members of the Uganda Export Promotions Board. Data was analysed using SPSS and SmartPLS.

Findings

The study established that international networking mediates the relationship between entrepreneurial mindset and SME internationalization. This suggests that international networking is a conduit through which entrepreneurial mindset relates to SME internationalization.

Research limitations/implications

This study was conducted within the particular national context of Uganda. Replication of this research within other settings is needed to cross-validate the present findings. The study reveals that the entrepreneurial proclivity of managers and owners of exporting SMEs in Uganda can be enhanced through establishing networks in foreign markets to realize international expansion. SMEs should therefore initiate, build and strengthen partner relationships in foreign markets for successful international expansion.

Practical implications

The study reveals that the entrepreneurial proclivity of managers and owners of exporting SMEs in Uganda can be enhanced through establishing networks in foreign markets to realize international expansion. SMEs in Uganda should, therefore, strive to support entrepreneurial-oriented individuals to initiate and establish foreign market partnerships for successful international expansion.

Originality/value

To the best of the authors’ knowledge, this is the first study to investigate the mediating role of international networking in the relationship between entrepreneurial mindset and SME internationalization from a developing country of Uganda.

Details

Review of International Business and Strategy, vol. 33 no. 4
Type: Research Article
ISSN: 2059-6014

Keywords

Article
Publication date: 16 November 2023

Said Elbanna, Linda Hsieh, John Child, Rose Narooz, Svetla Marinova, Pushyarag Puthusserry, Joanna Karmowska, Terence Tsai and Yunlu Zhang

Drawing on an organizational learning perspective, this paper examines the effect of levels of foreign market involvement (intensity and geographic spread) on internationalization…

Abstract

Purpose

Drawing on an organizational learning perspective, this paper examines the effect of levels of foreign market involvement (intensity and geographic spread) on internationalization outcomes recognizing that the moderating influence of entry-mode learning potential is not well documented in the literature on small- and medium-sized enterprises (SMEs).

Design/methodology/approach

The sample includes 180 SMEs evenly selected from three industries: biotechnology, software and clothing (60 firms in each industry). The sampled firms employ less than 250 employees and are equally distributed between three developed economies and three emerging economies. All were engaged in foreign business.

Findings

The authors find that there is a direct relationship between levels of foreign market involvement and internationalization outcomes. Entry-mode learning potential moderates the relationship between intensity of foreign market involvement and internationalization outcomes but not the relationship between geographic spread and internationalization outcomes.

Practical implications

This study reveals several new insights that help explain the pathway through which foreign market involvement activities are translated into internationalization outcomes.

Originality/value

The authors conclude that the positive relationship between intensity of foreign market involvement and internationalization outcomes is strengthened when SMEs also use an entry mode with a higher learning potential than exporting only.

Details

Management Decision, vol. 62 no. 1
Type: Research Article
ISSN: 0025-1747

Keywords

Article
Publication date: 22 June 2023

Md. Noor Un Nabi, Benjamin Nyaoro and Fatema Tuj Zohora

The purpose of this study is to analyse the internationalisation decision-making process using causation and effectuation.

Abstract

Purpose

The purpose of this study is to analyse the internationalisation decision-making process using causation and effectuation.

Design/methodology/approach

The proposed hypotheses are tested with a survey data set of 148 Kenyan small and medium-sized enterprises (SMEs) to assess the pre-internationalisation decision-making of the firm. Multinomial logistic regression has been used to predict the categories from total effectuation to total causation.

Findings

The results of this study show that firm resources and capability provide a solid basis for firms' internationalisation. The entrepreneur becomes more effectual commence as they assess the firm's resource and capability. Entrepreneurs with a high entrepreneurial self-efficacy use both causation and effectuation with a bias towards effectuation. Increasing environmental predictability led the firms to use less effectuation, and increasing psychic distance entails high effectuation relative to high causation in the Kenyan context.

Research limitations/implications

The sample choice of the category is Kenyan SMEs which may raise some questions. This study assumed that SMEs sampled had the same level of internationalisation experience regardless of the number of years in business.

Originality/value

This study theoretically advances the field of international business by combining the Uppsala internationalisation model with effectuation; this study defines four antecedents of decision-making to form its conceptual framework to study internationalisation decision-making approach for SMEs using the effectuation logic and adds to the stream of literature that has reviewed the factors that influence the internationalisation decision-making process for SMEs in developing countries.

Details

Journal of Research in Marketing and Entrepreneurship, vol. 26 no. 1
Type: Research Article
ISSN: 1471-5201

Keywords

Article
Publication date: 13 July 2023

Ying Zhang and Cong Cheng

This study seeks to explore the relationship between performance relative to aspiration and SMEs' internationalization speed, and moderating effects of top management's policy…

Abstract

Purpose

This study seeks to explore the relationship between performance relative to aspiration and SMEs' internationalization speed, and moderating effects of top management's policy knowledge and institutional distance between the above relation.

Design/methodology/approach

This study tests the authors’ hypotheses using data on Chinese manufacturing SMEs over a 5-year period from 2013 to 2017. The authors leverage archival panel data on publicly listed companies on the SME Board, GEM and New OTC Market in the Shanghai and Shenzhen Stock Exchanges. The authors then collected data from the WIND and ZEPHYR databases.

Findings

The results confirm a U-shaped relation between performance relative to aspiration and SMEs' internationalization speed, and show that this relation is steepening by top management's policy knowledge in home country but flattening by institutional distance as environmental dynamics.

Originality/value

The study findings contribute to the international business field by exploring how a firm's risk situation in internationalization can change, thereby influencing SMEs' international expansion.

Details

International Journal of Emerging Markets, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1746-8809

Keywords

Book part
Publication date: 28 June 2023

Ali Asghar Abbassi Kamardi and Sina Sarmadi

The decision to become international is a highlighted organisational decision that affects all dimensions at all firm levels. Human resources are also among the parts of the…

Abstract

The decision to become international is a highlighted organisational decision that affects all dimensions at all firm levels. Human resources are also among the parts of the organisation affected by this decision. Paying attention to employees can speed up and facilitate this process. Organisational integrity is one of the most significant issues that must be considered. In this regard, identifying, investigating and planning to deal with the destructive effects that may influence the employees of small and medium-sized enterprise (SMEs) in internationalisation, are among the subjects that have so far received less attention and should be studied more. The present study explores the destructive influences of internationalisation on the employees of SMEs by a hybrid multi-layer decision-making model-psychological solution. First, by reviewing the literature, the destructive impacts of internationalisation on employees are extracted. In the next stage, these factors are screened according to the condition of the SMEs in an emerging economy by interval-valued intuitionistic hesitant fuzzy Delphi (IVIHF-Delphi). The impact of these factors on each other is then evaluated applying interval-valued intuitionistic hesitant fuzzy DEMATEL-based ANP (IVIHF-DANP). Consequently, the highlighted destructive impacts are determined and the psychological solutions to face them are provided.

Details

Decision-Making in International Entrepreneurship: Unveiling Cognitive Implications Towards Entrepreneurial Internationalisation
Type: Book
ISBN: 978-1-80382-234-1

Keywords

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