Internationalization and performance of Korean SMEs: the moderating role of competitive strategy
Jaeyoung Cho () and
Jangwoo Lee ()
Additional contact information
Jaeyoung Cho: Kyungpook National University
Jangwoo Lee: Kyungpook National University
Asian Business & Management, 2018, vol. 17, issue 2, 140-166
Abstract Drawing upon the liabilities of newness and smallness perspective, we explore the impact of the degree of internationalization (DOI) on the performance of small- and medium-sized enterprises (SMEs) and the moderating impact of competitive strategies. An analysis of data from Korean SMEs reveals an S-shaped relationship between DOI and performance. Moreover, SMEs emphasizing a differentiation strategy may have better performance when increasing the DOI, whereas the opposite is true for SMEs emphasizing a cost leadership strategy. The findings support a three-stage internationalization theory in the SME context and provide a contingency perspective on the performance implications of the optimal DOI.
Keywords: Degree of internationalization; Differentiation strategy; Cost leadership strategy; Liabilities of foreignness; Small- and medium-sized enterprises (SMEs); South Korea (search for similar items in EconPapers)
References: Add references at CitEc
Citations: View citations in EconPapers (1) Track citations by RSS feed
Downloads: (external link)
http://link.springer.com/10.1057/s41291-018-0036-8 Abstract (text/html)
Access to the full text of the articles in this series is restricted.
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:pal:abaman:v:17:y:2018:i:2:d:10.1057_s41291-018-0036-8
Ordering information: This journal article can be ordered from
Access Statistics for this article
Asian Business & Management is currently edited by Fabian Jintae Froese
More articles in Asian Business & Management from Palgrave Macmillan
Bibliographic data for series maintained by Sonal Shukla ().