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Success Evaluation Of Small And Medium-Sized Enterprises In Terms Of Their Participation In The Internationalization Process

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  • Lea, Kubíčková
  • Lenka, Procházková
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    Abstract

    In context of discussionsabout the Czech foreign trade development, questions of the Czech enterprises’ability to participate in the internationalization processare often considered. The main aim of this article is to present various points of view on the globalization and enterprise internationalization processwith a special accent on the analysis of the specifics in the internationalization process of small- and medium-sized enterprises (SMEs). Those enterprises represent a significant part of the Czech economy because they considerably contribute to the creation of vacancies and GDP; they are a source of innovation and technological progress and the factors of their successful functioning in foreign trades differ from the large-sized enterprises.For this reason, SMEshave been more frequently analysed in an effort to identify key factors, which involvetheir ability to succeed in international activities. Those factors could positively influence other SMEs in their plans to participate in the foreign trade. However, not all the enterprises have equal conditions for entering the foreign marketfield.In some business spheres, the export of SMEs is supported, which is considerably helpful, mainly in case of enterprises with insufficient funds. Some of the other spheresfacilitate access to the foreign market because of their sort ofproduction. Besides analysing the internationalization process of SMEs, this article is also focused on identification of both key factors of success and risk factors of the process.Determinants of SMEs success in the foreign market were examined using several extensive researches among Czech small and medium-sized enterprises of various business spheres. Results of the research have produced interesting information. It was discovered that all SMEs, although they operate in different business spheres, share similar problems concerning the internationalization process. Key factors, which determine success of Czech small and medium-sized enterprises in the internationalization process, are analogous in spite of diverse business spheres, but nevertheless every particular branch has a strong effect on an opportunity and willingness of SMEs to participate in the internationalization process.

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    Bibliographic Info

    Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 43759.

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    Date of creation: 2012
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    Handle: RePEc:pra:mprapa:43759

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    Keywords: SMEs; internationalization; success; keyfactors; successevaluation;

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    1. Otto Andersen, 1993. "On the Internationalization Process of Firms: A Critical Analysis," Journal of International Business Studies, Palgrave Macmillan, vol. 24(2), pages 209-231, June.
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