scholarly journals Internationalization of SMEs; Evidence from Mexican Leather Footwear Industry

2020 ◽  
Vol 6 ◽  
pp. 160-166
Author(s):  
Y. D. Cisneros-Reyes ◽  
D. C. Caldera-Gonzalez ◽  
M. G. Arredondo-Hidalgo

Despite Mexican leather footwear industry is traditional, it has not increased or even maintained the level of competitiveness in the global market; the export problems of SMEs (Small and Medium Enterprises) have been studied by some authors but the internationalization (beyond exports and imports and including foreign direct investment, international subcontracting and international technical cooperation) has not been deeply explored so it is not documented how the process of this economic segment is occurring and if that is evolving accordingly to the theory (E.g. Uppsala model). The objective of this study is to analyze the internationalization of SMEs of the Mexican leather footwear industry to know if accumulated knowledge and experience in foreign markets effectively leads the organization to more advanced and complex stages of international exchange. A survey composed by 47 questions was applied to a sample of 21 SMEs of the Mexican leather footwear industry, their experience was also collected by semi-structured interviews. Results show that SMEs are involved in the internationalization process strongly oriented to the development of exports and imports and only a small number of them have been able to reach the stage of foreign direct investment. These results suggest that internationalization is only conceived in terms of imports and exports and efforts are carried out only to those stages even if SMEs could obtain a great benefit from the rest of the internationalization exchange (FDI, international subcontracting and technical cooperation). This behaviour might be due to some factors as: (1) the relatively low level of competitiveness of the Mexican firms in the global industry, (2) the lack of know-how and (3) the vision of the owners and managers of the company.

2020 ◽  
Vol 24 ◽  
Author(s):  
‪M. Elfan Kaukab ◽  
Vincent Didiek Wiet Aryanto

Data on real-time marketing performance from micro, small and medium enterprises (MSMEs) selling their products in marketplace e-commerce corporations (MECCs) is a big challenge for researchers studying the performance of MECCs capital structure. This article explores the use of Google Trends to determine the impact of Foreign Direct Investment (FDI) on MECCs’ performance. The findings of the trend analysis are explained using the N-OLI framework. It is found that there was a sharp trend decrease in MECCs with partial FDI (Tokopedia and Bukalapak) and full domestic investment (Blibli).On the other hand, there was a sharp increase in MECCs full FDI (Shopee). Other MECCs with full FDI, namely Lazada, has experienced a decrease but it is not as consistent as that of partial FDI. An increase trend in Shopee has negative correlation with a decline trend in Bukalapak. However, after being grouped, partial FDI has a significantly higher mean score compared to full FDI, and MECCs without FDI has the lowest mean score. This finding shows that in the case of Indonesia, FDI plays a role in encouraging the success of MSMEs, especially in MECCs, which have a combination of FDI and domestic investment.


2018 ◽  
Vol 11 (2) ◽  
pp. 557-587 ◽  
Author(s):  
Colette M.A. van der Ven

Abstract Most Sub-Saharan African countries have adopted policies to attract foreign direct investment (FDI) and policies to stimulate the growth of small and medium enterprises (SMEs). While a significant body of literature exists analyzing how these objectives can be mutually reinforcing, the negative interplay between these policies remains relatively unexplored. This paper examines whether, and in what circumstances, investment incentives could undermine SME competitiveness and, conversely, whether policies aiming to promote SMEs through encouraging FDI-SME linkages could impede FDI. This paper demonstrates that, absent a comprehensive approach to policy making, tensions invariably arise between investment incentives and SME promotion policies.


2014 ◽  
Vol 05 (03) ◽  
pp. 1403002 ◽  
Author(s):  
Khee Giap Tan ◽  
Kong Yam Tan

There is a large literature dealing with the spillover effects of foreign direct investment (FDI) flows to emerging and developing economies at the aggregate level. Beyond the aggregate impacts, a growing number of studies also examine the impact of FDI spillovers on firms of different sizes, especially small and medium enterprises (SMEs). This special issue of the journal of International Commerce, Economics and Policy (JICEP) features seven empirical papers dedicated to exploring issues relating to the various interactions between FDI flows, productivity spillovers and SMEs in Asia and beyond.


Work ◽  
2021 ◽  
pp. 1-13
Author(s):  
Mouna Knani ◽  
Pierre-Sébastien Fournier ◽  
Caroline Biron

BACKGROUND: Presenteeism is generally viewed as a symptom of organizational or individual dysfunction and is rarely considered as a behavioral response to positive triggering factors. Our study examines this issue in small enterprises (SEs), which are an unexplored environment in terms of presenteeism. OBJECTIVE: Through in-depth analysis, this study aims to understand the positive and negative factors that impact presenteeism in the context of small and medium enterprises (SMEs), with a particular focus on SEs. METHODS: We adopt a qualitative methodological approach in which we conducted 17 semi-structured interviews with employees and owner-managers of SEs with between 20 and 49 employees. RESULTS: Our thematic analysis shows that presenteeism can be explained by factors related to pressure to attend work, by individuals’ constraints and commitment, by organizational and individual characteristics and by a congenial work environment. Presenteeism can also be a type of “therapy” which helps individuals to avoid focusing on being sick and enables them to stay active and avoid social isolation. CONCLUSIONS: Our study differs from earlier research by providing a more in-depth analysis of the positive and negative factors that trigger presenteeism. This article will help to expand the current theoretical knowledge about presenteeism and encourage a more holistic interpretation of the phenomenon.


2017 ◽  
Vol 8 (2) ◽  
pp. 907-915
Author(s):  
Khaled Mohammed Alqahtani

In China, small and medium enterprises (SMEs) play a crucial role in economic development and social wealth in terms of GDP growth, employment creation and poverty alleviation. In the age of technology and information, innovation has been regarded as one of the most significant drivers for the growth and prosperity of SMEs. Therefore, it is necessary for SMEs to implement innovation strategy, which would help them to initiate new products, adopt new processes and increase their competitiveness. From this point of view, this study attempts to identify the innovation situation of Chinese SMEs with regard to innovation type as well as innovation strategy. The research data is collected through structured questionnaires and semi-structured interviews from SMEs of manufacturing industry in Shanghai, China. According to the data results, process innovation and marketing innovation are adopted more frequently than product innovation and organizational innovation by Chinese SMEs. This study also demonstrates most SMEs in China implement free-riding strategy; some of them adopt niche strategy; and few SMEs practice cluster strategy. Although innovation is increasingly important for Chinese SMEs, their implementation of innovation strategy is not highly effective and successful.


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