Developing a Theoretical Framework of Export-Oriented Small Enterprises: A Multiple Case Study in an Emerging Country

Evy Rachmawati Chaldun (), Gatot Yudoko and Eko Agus Prasetio
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Evy Rachmawati Chaldun: School of Business and Management, Bandung Institute of Technology, Ganesa 10, Bandung 40132, Indonesia
Gatot Yudoko: School of Business and Management, Bandung Institute of Technology, Ganesa 10, Bandung 40132, Indonesia
Eko Agus Prasetio: School of Business and Management, Bandung Institute of Technology, Ganesa 10, Bandung 40132, Indonesia

Sustainability, 2024, vol. 16, issue 24, 1-38

Abstract: Small enterprises are essential in supporting economic growth, particularly in emerging countries. Due to their constrained resources and capacities, many small businesses in developing nations encounter intricate obstacles when trying to enter the global market rapidly. The study is intended to develop a theoretical framework that can reveal the essential and integrated resources, and capabilities in the internationalization process. Instead of literature investigations, multiple case studies were adopted to explore the process of achieving the international success of Indonesia’s export-oriented small enterprises. In-depth interviews with twelve small enterprises across the culinary, fashion, and craft sectors were conducted to collect qualitative data. A content analysis followed the input–process–output–outcome structure as the basis for developing the robust framework. Based on the Resource-Based View (RBV), this study reveals the synergistic role of production, networks, marketing, learning, and legal capabilities in creating competitive advantages that support business continuity and sustainability. Research findings reveal that successful internationalization is not achieved by a single capability but through an integrated bundle of capabilities that can serve market needs. This study contributes to the literature by offering a comprehensive framework that maps the input–process–output–outcome structure of the internationalization process and offers practical insights for policymakers and practitioners aiming to enhance SME competitiveness. The results underscore the importance of capability development and government support in facilitating SME global expansion. Ultimately, this study provides a basis for further investigation into the dynamic capabilities that SMEs need to thrive in international markets.

Keywords: business continuity; business sustainability; capability; competitive advantage; creative sector; export-oriented small enterprise; internationalization; resource-based view (RBV) (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2024
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