Critical intangible factors for SME multi-location strategy in China
Borja Portero,
José Luis Hervás-Oliver and
Francisco Puig
International Journal of Transitions and Innovation Systems, 2012, vol. 2, issue 3/4, 266-282
Abstract:
This paper examines the critical intangible factors observed in the multi-location process to China by Spanish manufacturing firms. The goal of this paper is to shed light on the most significant aspects of the multi-location process which can minimise the internationalisation complexity (IC) and, consequently, improve its performance. In order to fulfil this goal, perceptions by Spanish managers doing business in China are collected, using an extensive qualitative analysis. The main findings accept the fact that the IC associated with multi-location in China is effectively reduced when decision makers understand that China is extremely diverse and complex. Thus, reducing the chances of failure requires defining in advance the strategic goal when undertaking that process. In addition, it is also evidenced that the success of the process is clearly linked with a pushing attitude (proactive), the ownership of enough intangible resources, and support coming from the governmental institutions and the effective expatriated.
Keywords: SMEs; intangible factors; SME multi-location strategy; internationalisation; manufacturing industry; China; Spain; SME location; small and medium-sized enterprises. (search for similar items in EconPapers)
Date: 2012
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Persistent link: https://EconPapers.repec.org/RePEc:ids:ijtisy:v:2:y:2012:i:3/4:p:266-282
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