THEORETICAL APPROACHES TO INTERNATIONALIZATION OF SMES

Abstract

In the field of internationalization small and medium-sized enterprises (SMEs) are often characterized by the lack of opportunities, market power and scarcity of resources when compared to large enterprises. Hence, greater challenges are posed by such deficiencies to the internationalization of SMEs. In this light, it may be assumed that the approaches of internationalization undertaken by SMEs differ from these of large enterprises. The PURPOSE of this research paper is to explore and expose the approaches to internationalization which are most commonly undertaken by SMEs. In terms of research METHODS, the author uses a descriptive research approach with secondary sources of data. A detailed examination of the literature reduces the RESULTS in internationalization approaches to the economic approach, stage approach, network approach and born-global approach as dominant. As CONCLUSIONS, it is highlighted the evolution in the discussed approaches – from a resource-based view to unilateral, multilateral and entrepreneurial viewpoints.