Risks and SMEs’ internationalization: framework’s proposal2
Many analyses are developed in Management Science to help large corporations anticipate international risks and identify the best ways to penetrate a foreign market. Today, there are no theoretical cases or methodologies that allow small and medium-sized companies to enter these markets or predict risks correlated to their implementation. However, for SMEs, gaining knowledge on international risks and different implementation strategies is particularly important because an error can rapidly jeopardize the company’s performance. Thus, in the continuation of the research on the entry mode code depending on the degree of desired engagement and control wanted by the SME, we will integrate the risk perceived by the company’s executive. The objective of this article is to develop a global and systemic framework for analysis that would help SMEs and advise them to optimize the choice of their entry modes into foreign markets.