The influence of international networks on internationalization speed and performance: A study of Czech SMEs

Martina Musteen, John Francis and Deepak K. Datta

Journal of World Business, 2010, vol. 45, issue 3, 197-205

Abstract: Drawing on social capital theory and the international entrepreneurship literature, we develop hypotheses relating the structural, cognitive and relational aspects of the international network of SME CEOs to two internationalization outcomes - speed and performance. The study is based on a sample of 155 Czech SMEs covering a broad range of manufacturing industries. Our findings indicate that firms sharing a common language with their international ties are able to internationalize faster than firms that do not share a common language. Moreover, we observe that geographically diverse networks contribute to superior performance. Extensive reliance on personal contacts hinders the performance of the first international venture.

Keywords: International; networks; SMEs; internationalization; Social; capital (search for similar items in EconPapers)
Date: 2010
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Citations: View citations in EconPapers (155)

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