This paper aims to study the international expansion of small and medium-sized enterprises (SMEs) in an emerging economy. Mathews ' (2006: 5-27) linkage-leverage-learning (LLL) model is the framework applied to analyse the process of international expansion of SMEs. To operationalise the study of the barriers, the LLL model was linked to the work of Leonidou (2004: 279-302). The data was collected from 125 SMEs operating in Ningxia, China, and then analysed using multivariate regressions; the models used the firms' export intensity at the regional, national and international level as dependent variables. Four models were run: two analysing the internal and external barriers hindering firms' international expansion, and the other two models studying the characteristics of Chinese international companies (state funding and ownership) as independent variables. The results show that 12 of the barriers defined by Leonidou (2004) are hindering the expansion of Ningxia's SMEs, that the ownership from the state does not play an Asia Pac J Manag (2011) 28:737-759
General rightsThis document is made available in accordance with publisher policies. Please cite only the published version using the reference above. Full terms of use are available: http://www.bristol.ac.uk/pure/about/ebr-terms access to public financial resources; participation of the government in ownership; access to public procurement contracts; adverse regulatory and inconsistent legal frameworks, and public assistance on information and knowledge about markets. The main conclusion is that SMEs appear to base their international expansion on private capabilities, rather than on support from the government; in addition, the perceived barriers for the international expansion of these firms may be mainly internal, rather than institutional.
Purpose -The paper aims to critically analyse the relevant literature on the international expansion of China's small-and medium-sized enterprises with the aim of highlighting the main topics analysed by scholars and identifying areas for future research. Design/methodology/approach -The paper reviews the works on the international growth of China's SMEs published in selected peer-reviewed English-language journals vis-à -vis what has been published on Western SMEs. It does this by, first, studying the literature at both firm and industry levels and, second, by analysing the specific characteristics of small business from China along with the particularities of the Chinese business environment. Findings -The paper shows that two main areas are in need of further research: the impact of the Chinese business environment on the international expansion of SMEs, and the need to understand different elements of the process to develop a strong firm-level body of literature. Originality/value -The paper highlights the need to deepen the understanding of the process leading to SMEs' expansion beyond China's borders to conclude with the identification of areas for future research.
This study of Master of Business Administration (MBA) programs in regions with different history, background, legacies, and trajectories than those in the Global North aims at having an alternative view of how Ethics, Responsibility, and Sustainability (ERS) are incorporated in management education. To this end, the research uses case studies, analyzes in-depth interviews, and adopts an inductive stakeholder theory approach to identify and understand the motivations for the incorporation of the broad area of ERS in management education in relation to the schools’ main stakeholders, mainly students and their employers. The analysis of the data shows that individual motivations (individual level) and an articulated and embedded mission that incorporates different stakeholders (organizational/curriculum level) are strong predictors. Local regulations and legislation, along with the requirements from international accreditation agencies (institutions/environment level) are also predictors, although not that strong to go beyond the incorporation of a Corporate Social Responsibility (CSR)-related course in the curriculum of programs. Nevertheless, these CSR-related courses (organizational/curriculum level) are powerful mediators that create, as a minimum, awareness of ERS in MBA graduates who as a consequence modify their employment objectives. The data also show that the process leading to international accreditations (institutions/environment level), the expectation by employers that MBA graduates should have an ERS mindset/skills toolkit (institutions/environment level), and a hands-on, practice-based teaching methodology (organizational/curriculum level) can act as moderators. These findings show that business schools can become ERS predictors themselves, and to achieve this they need to have a better understanding of the different roles played by the different variables. This publication is based upon work from COST Action CA18215 – China in Europe Research Network, supported by COST (European Cooperation in Science and Technology), www.cost.eu.
The paper aims at extending previous research on the specific barriers experienced by emerging markets-based SMEs expanding internationally and the necessary corporate resources and capabilities to support the first stages of their expansion. Framed within resource-based theory (RBV) and liability of foreignness perspectives, the study focuses on four main areas: limited knowledge of external markets, socio-cultural differences, unfamiliarity with foreign contexts and business practices, and limited local business contacts, reliable representatives, and control systems. The data was collected from more than 500 Chinese SMEs and then analysed using multivariate and stepwise regressions. The research results show that external factors, both at the domestic level and in host markets, ranging from local regulations and distribution facilities to cultural differences and exchange rates, are perceived to be critical for the performance of business expansion. The research provides deep insights on the barriers faced by SMEs from emerging economies when doing business abroad and especially to discriminate among its different sources of liabilities. The results also suggest that the RBV approach is insufficient to analyse the barriers associated with liabilities of foreignness, newness and outsidership.
Purpose -The purpose of this article is to analyse patterns of international co-operation in economics and management research between Ibero-American countries and between these countries and the USA and Europe. Design/methodology/approach -Taking co-publications as an indicator, the analysis concentrates on articles published in the list of high-impact and high-profile journals used by The Financial Times to draw up its rankings of business schools. Findings -The results obtained show that: the number of articles published by Ibero-American countries in high-impact journals is still proportionally small but that an upward trend seems to have been developing in recent years; participation in international co-operation networks allows researchers from Ibero-American countries, particularly those countries with less scientific development, to carry out research into relevant topics and to attain the degree of excellence required to publish in the most internationally prestigious journals; and contrary to the findings of other work, geographical proximity, shared history, and common language do not seem to have a significant impact on the flow of academic co-operation in the field of business administration and economics amongst Ibero-American countries. Originality/value -The findings of this paper intend to offer relevant information for research institutions and policy makers to analyse, assess, and improve the research schemes in place.
PurposeThis study aims to understand whether business and political relations help emerging markets' SMEs to overcome the challenges posed by low institutionalization in their national and international expansion. It focuses on the role that these relations play in determining access to government funding and contracts and to market information and business-related knowledge.Design/methodology/approachThe data were collected from 828 SMEs in Brazil and China. The data analysis was developed in two stages: the first stage was based on multivariate regression analyses using the ratio of sales outside the companies' region of origin divided by total sales as a dependent variable and the survey's answers as independent variables; outward sales were taken at two different levels – national and international – to consider: (1) the different stages in the national and international expansion process, and (2) the fragmented nature of domestic markets in both Brazil and China. The second stage was based on a stepwise multiple regression as the relative importance of the variables was not known beforehand and the objective was to rank them according to the managers' perceptions.FindingsInformal institutions, in particular business and political relations, can help to reduce uncertainty and overcome some disadvantages associated with weak institutionalization. They do this by providing access to trusted distribution channels, improving the familiarity with different institutional environments and strengthening the management of supply chains and commercial strategies to serve markets outside their region. Also, SMEs in emerging markets getting access to private sources of funding, market knowledge and government contracts through business and political relations are in a better position to expand nationally and internationally.Originality/valueThe research shows that the domestic environment, in particular one with low levels of institutionalization, impacts negatively the national and international expansion of SMEs and, more importantly, how firms can use business and political relations to overcome the obstacles posed by this environment. The findings also have implications for theory, practice and policymaking.
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