TITLE

Networks, SMEs, and International Diversification

AUTHOR(S)
Zimmerman, Monica A.; Barsky, David; Brouthers, Keith D.
PUB. DATE
December 2009
SOURCE
Multinational Business Review (St. Louis University);Winter2009, Vol. 17 Issue 4, p143
SOURCE TYPE
Academic Journal
DOC. TYPE
Article
ABSTRACT
Despite changes in international trade agreements and the introduction of new technologies that facilitate international business, many firms, especially SMEs, still do not diversify into international markets. In this paper, we suggest that an important factor that can influence the international diversification decision is social networks. We hypothesize that both the strength of the ties to international firms and the size of a SME's international network influence its decision to diversify internationally. Our analysis suggests that the strength of international network ties significantly influences SME international diversification, but that the size of the international network does not. These results have important implications for researchers, managers, and public policy makers.
ACCESSION #
48017764

 

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