The nature of foreign markets, as well as the issues Small and Medium Enterprises (SMEs) face in terms of competitiveness, necessitates this study. The paper aims to analyze the challenges ofexport-oriented Indian SMEs for International Competitiveness. The paper explores challenges and cause-and-effect relations between them using the decision-making trial and evaluation laboratory technique (DEMATEL), and this study will assist in gaining international competitiveness for SMEs. A detailed literature review was conducted to identify various challenges to international competitiveness. Questionnaires were formed for data collection and the DEMATEL method has been employed for developing causal relationships. The findings show that "Less International Experience" and "Insufficient Information" are critical challenges for SMEs in gaining international competitiveness. Challenges were prioritized, along with the cause-and-effect correlations among them, so that decision-makers could focus on overcoming them to gain international Competitiveness. The goal of the study is to help executives recognize the challenges to international competitiveness in their respective businesses. The novelty of this paper lies in its empirical studies in the field of Indian SMEs to employ the DEMATEL method framework as a foundation for finding cause-effect connections across International Competitiveness challenges.