The effect of industry-specific networking behaviour on the internationalization performance of Czech SMEs

Abstract

Purpose This paper aims to develop a thorough understanding of industry-specific networking behaviour on the internationalization performance of Czech small and medium enterprises (SMEs). Design/methodology/approach The authors used a profile deviation-ideal profile methodology to explore the ideal networking behaviour profile of different industries. The authors argue that firms adhering to ideal profiles performed well in the international market, while firms deviating from the ideal profile performed poorly. Data were collected through an online questionnaire specifically targeted at Czech SME executives. The authors attempted to explore these issues by using four aspects of networking behaviour to test the ideal networking behaviour profile of five different industries (automotive, telecommunications, construction, audit and finance and transportation). Findings The authors have identified different ideal networking behaviour profile for three industries, which underpinned supported the hypothesis that each dimension of networking behaviour should be fine-tuned for each sector to achieve to attain maximum benefits and performance in the international market. Originality/value Although previous studies supported the role of networking behaviour in improving internationalization performance, multiple studies had also provided conflicting results on how networking affects different industries and it is unclear how and why networking affects these various industries differently. The authors believe that the results research provides empirical evidence in proving that different networking dimensions should be fine-tuned as per industry to achieve the highest performance in the international market. The authors believe that the findings broaden the current understanding of the role of networks in the internationalization. The authors believe that the findings extend the current understanding of the role of networks in the internationalization of SMEs.