Overcoming economic liminality: internationalization of B2B SME’s from a small emerging economy
Critical Perspectives on International Business
ISSN: 1742-2043
Article publication date: 7 August 2021
Issue publication date: 14 October 2022
Abstract
Purpose
Current research on small to medium enterprise (SME) internationalization has generated valuable insight but continues to overlook the activities of business-to-business (B2B) SMEs located in small emerging economies. This study aims to fill this gap by testing the applicability of the ownership, location and internalization (OLI) framework to understand the internationalization strategies of small B2B firms in Trinidad and Tobago, a small emerging Caribbean economy.
Design/methodology/approach
The study used a qualitative research design, which involved in-depth interviews with senior executives of three firms in the B2B sector who were knowledgeable about their firm’s internationalization process. Thematic analysis was then used to understand the motivations and strategies underpinning the internationalization approach adopted by each firm.
Findings
Contrary to the stereotype of SMEs in emerging markets as fragile enterprises, there is evidence that firms exploited the development of innovative products and processes to facilitate foreign market entry and expansion. Additionally, firms overcame resource limitations by relying on governmental ties and leveraging networking opportunities. The findings also call attention to the impact of organizational learning and the role of knowledge as a dynamic capability.
Originality/value
Both the context of the study and the application of the OLI framework contributes to the extant literature by yielding substantive insights into the internationalization strategies of B2B firms in a small emerging economy. The findings further highlight how the OLI framework can be supplemented by other theoretical perspectives to better understand internationalization by emerging market SMEs.
Keywords
Citation
Pacheco, B.G. and Akhter, S. (2022), "Overcoming economic liminality: internationalization of B2B SME’s from a small emerging economy", Critical Perspectives on International Business, Vol. 18 No. 5, pp. 617-639. https://doi.org/10.1108/cpoib-08-2020-0112
Publisher
:Emerald Publishing Limited
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