MARIA HOL M LUND AND DR. SOREN Ko(IK ar-e botlh with the Department of Mai-keting and Corporate GCeography at the Swedish School of Economnics and BlTsiness Administration in Finland. Ijitet-iiationalisation activities cir-eate mllalnv oppo)rtiinities f'or SMEs but they also entail a i ange of difficulties. In this study the presenit business network is in f'ocuLs for tiniderstanding and describing tlhe iiiei niationialisation process of SMEs. The theoiretical framework is based on- the netxx ork approach as well as on earlieico(01 esponiding studies. Empirical findlings fr om a inail sur-vey conducted show that the initial export markets are those sittuated in couniitries nearby but that these acilso ten-d to remain important expoI-t m-iarkets. The firms were also sLubstantially affected by internationial comlpetition as they exported niot onlxl dlirectlvT bhut also acted as suppliers to buyeis operating on the global market. Agenits or own salesmen were the mn-iost imiiportauit entry modes on the initerl-national market. High quality pr)o(dlcts, a flexible organisation anid coml1petent personnel were mentioned s impolitant competitive tools. The impol-tanice of the social network was stressed as was the management, as well as per-sonal contacts and interests. Cooper ative arrangements with other domestic firms were also regarded as ways of' strengthening international colmpetitiveness and receiving infoir-nation.
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