Drawing on case study evidence, this article explores the reasons small specialist retailers internationalize and the facilitating factors that help them overcome the obstacles to internationalization. The authors employ qualitative research techniques and, to build theory from an unexplored area of research, adopt a multiple-case approach. The findings suggest that though a strong company brand identity is the most significant motive for expansion, other internal and external factors facilitate the international decision-making process.
Purpose -The internationalisation of large multinational retailers is well documented and much research attention has been given to their motives and strategies for expansion. Yet, no research in this field has specifically addressed the internationalisation of small-to medium-sized companies (SMEs) operating in the retail industry. The theoretical insights from the literature revealed important gaps in extant research, which relate to the barriers, stimulants, drivers, facilitators, process, and market entry strategy of retail SME internationalisation. Design/methodology/approach -This paper aims to fill these gaps. Since the intention of this study was not to describe, but rather to build theory from an unexplored area of research, an in-depth case approach was deemed most appropriate. Therefore, the paper presents the findings from a number of case studies of SME retail internationalisation operating from the UK. Findings -Key findings from this study not only confirm that smaller British retailers have both the potential and capability to enter international markets successfully, but provides initial insights into how they overcome the constraints of size and establish an international market strategy. The findings from this study also offer insights into the SME sector of the retail industry in the UK in terms of their experience and adoption of government exporting programmes, and details the main implications for managers of small international firms. Originality/value -Although knowledge on SME retailer internationalisation, as it stands, is at a very early stage of development, this analysis of actual company activity in the UK retail industry provides important insights into a neglected area of international retail study and should help to develop the body of knowledge on SME internationalisation in general.
PurposeThis paper is the result of empirical research funded by The British Academy. The overall purpose of the study is to investigate the initial barriers to internationalization experienced and perceived by small retailers based in the UK and the role of government support in addressing such obstacles.Design/methodology/approachA qualitative, multiple case research design is adopted. This involves semi‐structured in‐depth interviews with the senior manager/decision‐maker in six retail SMEs based in the UK and the analysis of company documentation and information from a range of secondary sources.FindingsThe findings from the case study data highlight internal and external barriers to internationalization relating to management: lack of vision, fear of losing control, lack of knowledge; the company: transfer of retail concept overseas, lack of resources, lack of consolidation in domestic market; and the external environment: legislation, currency, cultural differences and logistics. The findings also highlight an overall negative experience and perception of government support in assisting smaller retailers to overcome these barriers and aid expansion outside the UK.Originality/valueThe findings of this study provide important insight into the perceived and actual barriers encountered by retail SMEs. On one hand, the focus on SMEs provides fresh evidence to the retail internationalization literature, which has focused primarily on the barriers faced by large multinational retailers. On the other hand, the context of this study, yields new insight into research conducted in the field of SME internationalization, which has to date ignored smaller firms in the retail industry. The findings of this study also allow for recommendations to be made to both owner‐managers and government organizations.
PurposeThe purpose of this research is to specifically explore the role of management characteristics in the international development of SMEs.Design/methodology/approachSince the intention of this study was to build theory from an unexplored area of research, a multiple case approach was deemed most appropriate. In doing so, this paper responds to recent calls in the literature for in‐depth case research (e.g. Westhead et al., 2002; Doherty, 2003).FindingsThis paper highlights the importance of objective and subjective characteristics as factors which impact not only the initial decision to expand and the support of overseas operations, but the subsequent path and pace of international development.Research limitations/implicationsWhile this paper confirms the pivotal role of the owner manager in the international decision‐making of retail SMEs, it is recommended that future research examines the role of management characteristics in SMEs based in other industries.Practical implicationsThe findings from this empirical study have important implications for both managers of SMEs and private and public sector organisations, and these recommendations are discussed in the conclusions of this paper.Originality/valueWhile the effect of management decisions upon the internationalisation of SMEs is at a relatively developed stage in the literature, one of the less studied aspects is the role of decision‐maker characteristics. Given the manufacturing focus of research contributions in the field, this paper yields new insights into SME foreign development and the role of management in the context of the retail sector and the broader service industry.
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