IDEAS home Printed from https://ideas.repec.org/a/eee/iburev/v24y2015i5p861-873.html
   My bibliography  Save this article

SMEs and international entrepreneurship: An institutional network perspective

Author

Listed:
  • Oparaocha, Gospel Onyema

Abstract

This study examines the influence of the use of institutional networks by SMEs in the context of international entrepreneurship (IE). It provides insights into SMEs’ awareness of, access to, and actual use of the resources available through institutional networks and whether these are inducements or deterrents for entrepreneurial activities in foreign markets. A qualitative research design employing a multiple case study approach was used to investigate five internationalized SMEs from Sweden and Finland. The findings suggest that institutional network relationships have a positive effect on the internationalization process of SMEs. However, the significance of this influence is continuous and intertwined in the different stages of the internationalization process. A novel contribution of this study is the use of institutional theory combined with the network perspective to explain how SMEs’ awareness of, and access to, institutional network resources affects their international entrepreneurial activities.

Suggested Citation

  • Oparaocha, Gospel Onyema, 2015. "SMEs and international entrepreneurship: An institutional network perspective," International Business Review, Elsevier, vol. 24(5), pages 861-873.
    • Handle: RePEc:eee:iburev:v:24:y:2015:i:5:p:861-873
    DOI: 10.1016/j.ibusrev.2015.03.007
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S096959311500044X
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.ibusrev.2015.03.007?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Mike Wright & Paul Westhead & Deniz Ucbasaran, 2007. "Internationalization of Small and Medium-sized Enterprises (SMEs) and International Entrepreneurship: A Critique and Policy Implications," Regional Studies, Taylor & Francis Journals, vol. 41(7), pages 1013-1030.
    2. Jan Johanson & Jan-Erik Vahlne, 2009. "The Uppsala internationalization process model revisited: From liability of foreignness to liability of outsidership," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 40(9), pages 1411-1431, December.
    3. David Buchanan & Patrick Dawson, 2007. "Discourse and Audience: Organizational Change as Multi‐Story Process," Journal of Management Studies, Wiley Blackwell, vol. 44(5), pages 669-686, July.
    4. Josee Audet & Etienne St-Jean, 2007. "Factors Affecting The Use Of Public Support Services By Sme Owners: Evidence From A Periphery Region Of Canada," Journal of Developmental Entrepreneurship (JDE), World Scientific Publishing Co. Pte. Ltd., vol. 12(02), pages 165-180.
    5. Benjamin M. Oviatt & Patricia P. McDougall, 2005. "Defining International Entrepreneurship and Modeling the Speed of Internationalization," Entrepreneurship Theory and Practice, , vol. 29(5), pages 537-553, September.
    6. Daniel Sullivan, 1994. "Measuring the Degree of Internationalization of a Firm," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 25(2), pages 325-342, June.
    7. Szyliowicz, Dara & Galvin, Tiffany, 2010. "Applying broader strokes: Extending institutional perspectives and agendas for international entrepreneurship research," International Business Review, Elsevier, vol. 19(4), pages 317-332, August.
    8. Antonella Zucchella & Per Servais, 2012. "The internationalisation process of small- and medium-sized firms and the liability of complexity," International Journal of Entrepreneurship and Small Business, Inderscience Enterprises Ltd, vol. 15(2), pages 191-212.
    9. Jolanda Hessels & Siri Terjesen, 2010. "Resource dependency and institutional theory perspectives on direct and indirect export choices," Small Business Economics, Springer, vol. 34(2), pages 203-220, February.
    10. Vivienne Shaw & Jenny Darroch, 2004. "Barriers to Internationalisation: A Study of Entrepreneurial New Ventures in New Zealand," Journal of International Entrepreneurship, Springer, vol. 2(4), pages 327-343, December.
    11. Dirk Clercq & Harry Sapienza & Hans Crijns, 2005. "The Internationalization of Small and Medium-Sized Firms," Small Business Economics, Springer, vol. 24(4), pages 409-419, May.
    12. Garry D. Bruton & David Ahlstrom & Han–Lin Li, 2010. "Institutional Theory and Entrepreneurship: Where Are We Now and Where Do We Need to Move in the Future?," Entrepreneurship Theory and Practice, , vol. 34(3), pages 421-440, May.
    13. Daniel Sullivan, 1996. "Measuring the Degree of Internationalization of a firm: A Reply," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 27(1), pages 179-192, March.
    14. Neill, Stern & York, Jonathan L., 2012. "The entrepreneurial perceptions of strategy makers: Constructing an exploratory path in the pursuit of radical growth," Journal of Business Research, Elsevier, vol. 65(7), pages 1003-1009.
    15. Jones, Marian V. & Coviello, Nicole & Tang, Yee Kwan, 2011. "International Entrepreneurship research (1989–2009): A domain ontology and thematic analysis," Journal of Business Venturing, Elsevier, vol. 26(6), pages 632-659.
    16. Martin, Stephen & Scott, John T., 2000. "The nature of innovation market failure and the design of public support for private innovation," Research Policy, Elsevier, vol. 29(4-5), pages 437-447, April.
    17. Kannan Ramaswamy & K Galen Kroeck & William Renforth, 1996. "Measuring the Degree of Internationalization of a firm: A Comment," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 27(1), pages 167-177, March.
    18. Wai-Sum Siu, 2005. "An institutional analysis of marketing practices of small and medium-sized enterprises (SMEs) in China, Hong Kong and Taiwan," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 17(1), pages 65-88, January.
    19. Kais Mejri & Katsuhiro Umemoto, 2010. "Small- and medium-sized enterprise internationalization: Towards the knowledge-based model," Journal of International Entrepreneurship, Springer, vol. 8(2), pages 156-167, June.
    20. Christian Schwens & Julia Eiche & Ruediger Kabst, 2011. "The Moderating Impact of Informal Institutional Distance and Formal Institutional Risk on SME Entry Mode Choice," Journal of Management Studies, Wiley Blackwell, vol. 48(2), pages 330-351, March.
    21. Jeffrey G. Covin & Danny Miller, 2014. "International Entrepreneurial Orientation: Conceptual Considerations, Research Themes, Measurement Issues, and Future Research Directions," Entrepreneurship Theory and Practice, , vol. 38(1), pages 11-44, January.
    22. Yu-Ching Chiao & Kuo-Pin Yang & Chwo-Ming Yu, 2006. "Performance, Internationalization, and Firm-specific Advantages of SMEs in a Newly-Industrialized Economy," Small Business Economics, Springer, vol. 26(5), pages 475-492, June.
    23. Yli-Renko, H. & Autio, E. & Tontti, V., 2002. "Social capital, knowledge, and the international growth of technology-based new firms," International Business Review, Elsevier, vol. 11(3), pages 279-304, June.
    24. Martin Glaum & Michael-Jörg Oesterle, 2007. "40 years of research on internationalization and firm performance: More questions than answers?," Management International Review, Springer, vol. 47(3), pages 307-317, June.
    25. Arent Greve & Janet W. Salaff, 2003. "Social Networks and Entrepreneurship," Entrepreneurship Theory and Practice, , vol. 28(1), pages 1-22, January.
    26. Lasse Torkkeli & Kaisu Puumalainen & Sami Saarenketo & Olli Kuivalainen, 2012. "The effect of network competence and environmental hostility on the internationalization of SMEs," Journal of International Entrepreneurship, Springer, vol. 10(1), pages 25-49, March.
    27. Mie Augier & David J. Teece, 2007. "Dynamic capabilities and multinational enterprise: Penrosean insights and omissions," Management International Review, Springer, vol. 47(2), pages 175-192, March.
    28. Robert Huggins & Andrew Johnston & Piers Thompson, 2012. "Network Capital, Social Capital and Knowledge Flow: How the Nature of Inter-organizational Networks Impacts on Innovation," Industry and Innovation, Taylor & Francis Journals, vol. 19(3), pages 203-232, April.
    29. Nicole Coviello & Martin Cox, 2006. "The resource dynamics of international new venture networks," Journal of International Entrepreneurship, Springer, vol. 4(2), pages 113-132, September.
    30. Shane, Scott A., 1992. "Why do some societies invent more than others?," Journal of Business Venturing, Elsevier, vol. 7(1), pages 29-46, January.
    31. Rudolf R. Sinkovics & Elfriede Penz & Pervez N. Ghauri, 2008. "Enhancing the Trustworthiness of Qualitative Research in International Business," Management International Review, Springer, vol. 48(6), pages 689-714, December.
    32. John Francis & CongCong Zheng & Ananda Mukherji, 2009. "An Institutional Perspective on Foreign Direct Investment," Management International Review, Springer, vol. 49(5), pages 565-583, October.
    33. Benjamin M Oviatt & Patricia P McDougall, 2005. "The internationalization of entrepreneurship," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 36(1), pages 2-8, January.
    34. Coviello, Nicole & Munro, Hugh, 1997. "Network relationships and the internationalisation process of small software firms," International Business Review, Elsevier, vol. 6(4), pages 361-386, August.
    35. Pia Arenius, 2005. "The Psychic Distance Postulate Revised: From Market Selection to Speed of Market Penetration," Journal of International Entrepreneurship, Springer, vol. 3(2), pages 115-131, June.
    36. Fink, Matthias & Harms, Rainer & Kraus, Sascha, 2008. "Cooperative internationalization of SMEs: Self-commitment as a success factor for International Entrepreneurship," European Management Journal, Elsevier, vol. 26(6), pages 429-440, December.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Jones, Marian V. & Coviello, Nicole & Tang, Yee Kwan, 2011. "International Entrepreneurship research (1989–2009): A domain ontology and thematic analysis," Journal of Business Venturing, Elsevier, vol. 26(6), pages 632-659.
    2. Indujeeva Peiris & Michèle Akoorie & Paresha Sinha, 2012. "International entrepreneurship: A critical analysis of studies in the past two decades and future directions for research," Journal of International Entrepreneurship, Springer, vol. 10(4), pages 279-324, December.
    3. Gonçalo Rodrigues Brás & Miguel Torres Preto, 2021. "The consequences of intrapreneurship in exporting firms: a structural-model approach," CeBER Working Papers 2021-06, Centre for Business and Economics Research (CeBER), University of Coimbra.
    4. Sascha Kraus & Alexander Brem & Miriam Schuessler & Felix Schuessler & Thomas Niemand, 2019. "Innovative Born Globals: Investigating the Influence of Their Business Models on International Performance," World Scientific Book Chapters, in: Alexander Brem & Joe Tidd & Tugrul Daim (ed.), Managing Innovation Internationalization of Innovation, chapter 11, pages 275-328, World Scientific Publishing Co. Pte. Ltd..
    5. Symeonidou, Noni & Bruneel, Johan & Autio, Erkko, 2017. "Commercialization strategy and internationalization outcomes in technology-based new ventures," Journal of Business Venturing, Elsevier, vol. 32(3), pages 302-317.
    6. Khan, Zaheer & Lew, Yong Kyu, 2018. "Post-entry survival of developing economy international new ventures: A dynamic capability perspective," International Business Review, Elsevier, vol. 27(1), pages 149-160.
    7. Nowinski, Witold & Rialp, Alex, 2013. "Drivers and strategies of international new ventures from a Central European transition economy," Journal of East European Management Studies, Rainer Hampp Verlag, vol. 18(2), pages 191-231.
    8. Gerschewski, Stephan & Rose, Elizabeth L. & Lindsay, Valerie J., 2015. "Understanding the drivers of international performance for born global firms: An integrated perspective," Journal of World Business, Elsevier, vol. 50(3), pages 558-575.
    9. Ethiopia Segaro, 2012. "Internationalization of family SMEs: the impact of ownership, governance, and top management team," Journal of Management & Governance, Springer;Accademia Italiana di Economia Aziendale (AIDEA), vol. 16(1), pages 147-169, February.
    10. Saras Sarasvathy & K. Kumar & Jeffrey G. York & Suresh Bhagavatula, 2014. "An Effectual Approach to International Entrepreneurship: Overlaps, Challenges, and Provocative Possibilities," Entrepreneurship Theory and Practice, , vol. 38(1), pages 71-93, January.
    11. Knight, Gary A. & Liesch, Peter W., 2016. "Internationalization: From incremental to born global," Journal of World Business, Elsevier, vol. 51(1), pages 93-102.
    12. Morais, Flávio & Ferreira, João J., 2020. "SME internationalisation process: Key issues and contributions, existing gaps and the future research agenda," European Management Journal, Elsevier, vol. 38(1), pages 62-77.
    13. Ojala, Arto, 2015. "Geographic, cultural, and psychic distance to foreign markets in the context of small and new ventures," International Business Review, Elsevier, vol. 24(5), pages 825-835.
    14. Mariluz Fernández-Alles & Dara Hernández-Roque & Mercedes Villanueva-Flores & Mirta Díaz-Fernández, 2022. "The impact of human, social, and psychological capital on academic spin-off internationalization," Journal of International Entrepreneurship, Springer, vol. 20(3), pages 433-473, September.
    15. Nataliya Galan & Ellinor Torsein, 2021. "Identification of international opportunities: A study of mature firms in mature industries," Journal of International Entrepreneurship, Springer, vol. 19(1), pages 53-103, March.
    16. Jiang, Guohua & Kotabe, Masaaki & Zhang, Feng & Hao, Andy W. & Paul, Justin & Wang, Cheng Lu, 2020. "The determinants and performance of early internationalizing firms: A literature review and research agenda," International Business Review, Elsevier, vol. 29(4).
    17. Marina Dabić & Jane Maley & Leo-Paul Dana & Ivan Novak & Massimiliano M. Pellegrini & Andrea Caputo, 2020. "Pathways of SME internationalization: a bibliometric and systematic review," Small Business Economics, Springer, vol. 55(3), pages 705-725, October.
    18. Li, Haiyan, 2020. "Role of overseas ethnic and non-ethnic ties and firm activity in the home country in the internationalization of returnee entrepreneurial firms," Journal of International Management, Elsevier, vol. 26(1).
    19. Anika Laperrière & Martine Spence, 2015. "Enacting international opportunities: The role of organizational learning in knowledge-intensive business services," Journal of International Entrepreneurship, Springer, vol. 13(3), pages 212-241, September.
    20. Seyed Meysam Zolfaghari Ejlal Manesh & Alex Rialp-Criado, 2019. "International ecopreneurs: The case of eco-entrepreneurial new ventures in the renewable energy industry," Journal of International Entrepreneurship, Springer, vol. 17(1), pages 103-126, March.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:iburev:v:24:y:2015:i:5:p:861-873. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/133/description#description .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.