Cultural Intelligence

For individuals in management positions, globalization has reinforced contact with foreign cultures and provided opportunities to be assigned to projects abroad. Expatriates encounter additional challenges varying from differently-oriented work forces to building a new life in a foreign country. The organizations must ensure that employees are well selected, prepared, and supported throughout the expatriation process. An exploratory study of German project managers in Portugal is conducted to elaborate the importance of cultural intelligence in business. Current understandings of both national cultures and their potential conflict factors are portrayed and German expatriates questioned about their work environment and private adjustment to Portuguese culture. Performance-orientation and assertive culture on the managers' side and relationship-focus and high-context communication on the employees' side triggered difficulties with work tasks. Differences related to the cultural dimension collectivism versus individualism complicated the expatriates' adjustment to the local culture.

Using Main Courante and Daily Revenue Report Methods in Accounting of Daily Revenues in Touristic Accomodation Enterprises

In today's globalised world, internationalisation is an obligation beyond being a choice and it is inevitable for the small and medium-sized accommodation enterprises to take place in this process. Since utilising from global opportunities depends on the protection of themselves from threats, their incomes should be tracked daily, and their internal control mechanism must be strengthened. With this purpose, the study aims to realise the room revenues of SMEs with Main Courante and other unit revenues with DRRs. For the accounting of the revenues Main Courante offset is given place, whereas for the control accounts the daily revenue report offset is preferred. Documents related to income record that can be used in the flow of the process in SMEs have been included. With this method, it is aimed to prevent losses and leaks, provide data flow towards accounting internal control system, sustain competitive advantage and contribute to the internationalization efforts.

SME Re-Internationalization Strategy

Re-internationalization represents a research challenge for the internationalization process. Many companies withdraw from international operations go through a period of interregnum time, and then reenter in the international arena. Little is known about this process and whether re-internationalizers opt for the same entrepreneurial orientation or behave differently than they began with the first approach, allowing for faster re-entry and take-off. This chapter follows a qualitative methodological approach, based on the case study, using semi-structured interview with the top manager of the wine company. This work is intended to serve as a basis for future studies related to the internationalization of SME, based on the profile of CEO, and as a basis for reflection by company managers. This exploratory study aims to contribute to the emerging literature on entrepreneurial orientation and re-internationalization using the SME case study.

An International and Socially Responsible SME Based on Tailored Innovative Products

In view of the many studies carried out on multinational firms and, to a lesser degree, the internationalization of SMEs based on developed countries, it is surprising to find that so little attention is being paid to the internationalization process of SMEs based on developing countries. There is scarce evidence and knowledge available on the circumstances underlying these processes or the decisions made to successfully address internationalization. The case of the company Empakando, founded in the developing country of El Salvador in 2000 and successfully internationalized toward countries in Central America, allows the authors to make a contribution to this field. Based on the company's experience, the authors addressed a range of important aspects to understand this phenomena: (1) the internationalization process and the entry modes chosen and (2) two key elements in gaining access to the resources and connections needed to facilitate internationalization, that is, the commitment to corporate social responsibility (internal factor) and the support of export promotion programmes (external factor).

Predictive Strategic Factors in Export Performance in the Automotive Industry

The purpose of this chapter is to analyze the linkage between intangible resources and export performance, considering the mediating effect of innovation on it. The authors have adopted a quantitative methodological approach applied to a sample of Portuguese exporting companies from the automotive industry. The application of the structural equation model is highlighted, using partial least squares (PLS). The results allow us to conclude from the existence of a positive and direct impact of intangible resources on export performance and the mediator effect of innovation in this relationship. The main contribution of this study is the mediating effect of innovation on the relationship established between intangible resources and export performance concerning companies from the automotive industry.

Internationalization of Family Businesses

Worldwide, family businesses are one of the cornerstones of the entrepreneurial fabric, being as a consequence central to growth and development. In a globalized era, these institutions require the attention of businessmen, practitioners, and policymakers. The chapter seeks to examine if the internationalization performance does vary according to firm size, and its link to the innovative performance in multiple dimensions along with conventional characteristics such as age and turnover. Theoretical research evidences the interest in understanding the patterns and determinants of the internationalisation performance, given its importance in firm growth and survival; however, this strategical option brings advantages and problems. Empirical evidence demonstrates that the determinants do change according to firm dimension; estimations provide valuable insights about the connection between globalized operation and innovation, for the different organisations.

Assessing the Relationship Between Brand Image, Market Orientation, and Competitive Advantage

This study aims to analyze the relationship between intangible resources, namely the brand image, and competitive advantage through differentiation and market orientation. To this end, using a quantitative methodological approach, an empirical study was carried out with Portuguese companies exporting the footwear industry, to which a questionnaire survey was applied, resulting in a sample of 86 companies. Findings show that (1) the brand image has a direct, positive, and significant impact on market orientation and on competitive advantage through differentiation and that (2) market orientation has a significant impact on competitive advantage through differentiation.

International Effect on Family SME Financial Distress Prediction

Understanding the reasons of default risk is crucial to avoid the firm's bankruptcy. The purpose of this work is to analyze the impact of internationalization on firm's probability of distress. For it, this chapter aims to propose a model to predict default specific to family SMEs (small and medium enterprises). An unbalanced panel of 10,832 firms over the period from 2012-2018 is analyzed. Ex-ante criteria to classify firms in default or compliant is used. International SMEs have lower probability of default than domestic firms, and compliant firms export more. Results show that export ratio is an important determinant of the probability of default. Moreover, the ratios of liquidity, profitability, size, leverage, efficiency, cash flow, and age are also relevant. Moreover, these ratios explain default risk of both groups international and domestic SMEs. The proposed model has an accuracy of 92.9%, which increases to 95.6% if only export SMEs are analyzed.

Intermediary Interpreters in University-Industry Collaboration to Support Manufacturing SMEs

This chapter will present a series of university-industry collaboration (UIC) projects between a university industrial design research unit and various small-medium (manufacturing) enterprises (SMEs) with a focus on the facilitators role in these projects. Previous research has referred to ‘innovation intermediaries' as a term to define (service) firms that proactively facilitate collaboration between two or more parties in innovation projects. In terms of technological development these have been exemplified as research and technology organisations (RTOs). The authors suggest an adjacent term ‘intermediary interpreters' to describe the key facilitator by bringing together the term 'intermediaries' and the term ‘interpreters' as they are defined by Roberto Verganti. These individuals have specialised external expertise and ability to take part in the ‘design discourse; to support innovation. The authors argue that intermediary interpreters are an important third party in UIC projects that provide unique support that can help SMEs embrace innovation strategy and more effectively internationalise.

Resourced-Based View and Internationalisation of Social Enterprises

Due to recent economic, social, and public health drawbacks, social enterprises (SEs) play an increasingly important role in addressing a wide range of social problems, as part of their market-based approach to social value creation. Since SEs operate mainly in challenging contexts characterized by scarce resource environments, they need to develop strategies in order to effectively accomplish their missions while achieving organisational sustainability. Often, SEs expand their activity overseas within an internationalisation strategy. The purpose of this study is to examine the role of resources in the internationalisation strategy undertaken by SEs. The study applies the resource-based view (RBV) to understand how the type and nature of resources may influence the international activities pursued by these organisations. The findings highlight the important role of different key resources in the growth, sustainability and internationalisation of SEs.