How do SMEs decide on international market entry?

Journal article


Younis, H. and Elbanna, S. (2021). How do SMEs decide on international market entry? Journal of International Management. p. 100902. https://doi.org/10.1016/j.intman.2021.100902
AuthorsYounis, H. and Elbanna, S.
Abstract

This study contributes to the scant literature that scrutinises the decision-making process preceding foreign entries, particularly in the Middle Eastern context. While considerable research has examined the content and antecedents of the internationalisation decision of firms, far less attention has been paid to how SMEs decide on international market entry. The answer to this question is important to advance our understanding of internationalisation processes and offer essential insights for first and successive market entries, particularly post political crises. Through an embedded approach to case study, the analysis of four SMEs based in Egypt and Qatar suggests that SMEs' decision-making evolves into a rational mode as SMEs progress through successive international market entries. The study also captures the co-existence of reactive and bounded rationality modes during SMEs' unplanned internationalisation and suggests that SMEs are likely to adopt a bounded rationality mode as a response to the occurrence of a political crisis in the home country.

KeywordsInternationalisation, Decision Making, SMEs
Year2021
JournalJournal of International Management
Journal citationp. 100902
PublisherElsevier
ISSN1075-4253
Digital Object Identifier (DOI)https://doi.org/10.1016/j.intman.2021.100902
Publication dates
Online28 Oct 2021
Print19 Jan 2022
Publication process dates
Accepted01 Oct 2021
Deposited08 Mar 2022
Accepted author manuscript
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File Access Level
Open
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