Other publication

The Influence of Network Relationships on SME Internationalization Failure
(Conference abstract: Academy of International Business Annual Meeting 2023)





AuthorsLeis Tairi, Nummela Niina, Öim Karl Erik

Conference nameAcademy of International Business Conference

PublisherAcademy of International Business

Publication year2023

Book title Proceedings of the 65th Annual Meeting of the Academy of International Business

Web address https://www.aib.world/wp-content/uploads/2023/08/AIB-2023-Conference-Proceedings.pdf


Abstract

Internationalization is a complex process in which companies search for and exploit new opportunities in foreign markets. Although internationalization can be very lucrative, it can also pose various risks to companies, which are multiplied in the volatile, uncertain, complex, and ambiguous (VUCA) business environment. This study focuses on the influence of network relationships on internationalization failure among Estonian companies. Based on our qualitative study in three SMEs, we found that inefficient networking can increase companies’ risks, lead to a lack of information, and to wrong decisions as well as prevent them from finding good partners. Our findings suggest that companies are significantly dependent on their network, particularly on the information flows to which they have access via their network. The networks are also important enablers of internationalization, and an appropriate and effective network can prevent companies from failing. (For more information, please contact: Tairi Leis, University of Tartu, Estonia: tairi.leis@ut.ee)



Last updated on 2024-26-11 at 20:13