The study assesses the impact of commercial diplomacy (CD) and its role in the national transformation and internationalization of small-to-medium-sized enterprises (SMEs). Quantitative analysis was used to interpret the data, and four models were formulated to assess the interconnectivity among the three main variables. A total of 123 Saudi SMEs were included based on predetermined inclusion criteria. The data collected was analyzed using the Generalized Estimating Equation (GEE). The study found SMEs had an incomplete understanding of the different roles of CD. It also illustrates that integrating CD into national transformation is critical given its positive influence on the internationalization of SMEs. It also shows that such integration positively affects the SMEs penetration of foreign countries and sets the base for establishing long-term relationships in the international market. The study concludes that CD plays an essential role in stimulating the internationalization of SMEs, most notably if it is a part of a comprehensive national transformation process. It also highlights that SMEs must capitalize on the state's interest in CD to establish a cordial relationship with foreign networks to expand growth and penetration of the international market. Contribution/ Originality: This study is the first to integrate the concept of CD into the process of national visioning and transformation for reasons pertaining to incentivizing the internationalization of SMEs. It is also the first on CD within the context of Saudi Arabia.
Saudi Arabia has formulated and enforced a new tourism law to develop its tourism sector with special emphasis to open more international activities in the hotel industry. The main objective of this study was to determine the influence of new regulations of hotel industries in Saudi Arabia on the decision making process of the hotel companies in relation to international franchising. Qualitative research design was used to investigate the connection between new regulations of hotel industry in Saudi Arabia and its cross-border franchising activities. Data was retrieved from two primary sources: governmental agencies and, the hotel and leisure companies involved in franchising. The main sectors covered were the investment in tourism lands, establishment of tourism based associations, and replacement of foreigners, price and classification. Data was generated through twelve in-depth interviews with the representatives of the sample companies, from April to September 2016. The primary data generated during interviews was complemented by data from industrial publications and the annual reports to know about the current status of Saudi hotel industry and the activities of the sample companies. Findings confirmed that the regulatory reforms of a hotel industry, by following new hotel-based regulations, added new vigor to hotel based industry and enhanced its international profile. The new tourism law authorized the Saudi Commission for Tourism and Heritage (SCTH) to identify and propose new lands for tourism investment, which may increase its importance among the global hotels' franchisors.
The purpose of this study is to explore the employability skills required in different countries/cultures and to further explore how cultural differences influence teaching/learning techniques required to equip students with required employability skills. Data were collected from 158 human resource managers working in different organizations and 169 faculty members who were engaged in teaching business graduates in four culturally different countries: Australia, China, Saudi Arabia, and Pakistan. SPSS version 20 was used to calculate the average and compute the values. Results of this study indicated that employability skills for business graduates vary among different counties/cultures but the five employability skills are common regardless of cultural differences: entry-level digital skills, problem-solving skills, organizational skills, decision making, and goal-oriented skills. In addition, the findings of this study also indicated that teaching/learning techniques such as case studies, conventional lectures, and simulations, etc., are not completely culture-sensitive and could be used in almost every country/culture. The findings of this study will be helpful for higher educational institutions, vocational training centers, and other stakeholders to use in determining the most effective teaching/learning techniques to equip the students with the employability skills required in their country/culture including common employability skills and make their graduates more employable.
Startups’ constant tendency to grow and scale up through internationalization is occasionally collided with a number of barriers in the domains of legalization and regulation, market and customer, environment and competitiveness, information and knowledge, resources and accessibility, and economy and culture. The sharpness of these barriers might intensify when it comes to startups from emerging markets. Consequently, a need for assessing the major obstacles associated with the internationalization of emerging markets’ startups is emphasized. In this regard, a correlational analysis has been used to identify and assess the role of these obstacles in restricting Saudi startup enterprises to operate internationally. A total of 103 participants were included in the data collection process of the study from Saudi startup enterprises. The findings have shown that liability of foreignness, managerial dispute and organizational distrust, and immaturity of home market were the most influential barrier towards internationalization process of SMEs. Coping implications were suggested to mitigate the impact of each barrier and possible avenues for future research in the area of startups’ internationalization were recommended.
Background: Nation branding’s role of luring foreign investments should be maximized to the extent, in which the entire dimensions of host countries are adequately harnessed in the development of their image. Geography therefore represents a dimension of a vital importance to nation branding given into account its association with a group of locational advantages. Objective: To evaluate the potential role of Saudi Arabia’s geographical branding in promoting FDI. Methods: The current study investigated foreign companies seeking to enter the Saudi markets or expand their business within the country. A total of 234 CEOs, general managers and those who hold similar positions with a direct involvement in international affairs were polled in the study. Structural Equation Modeling (SEM) was used to analyze the data collected via AMOS 20. Results: It has been revealed that the connecting location, the logistic importance of Saudi Arabia and its closes to important markets showed direct effects on geographical branding. The study has also found that geographical branding meditated the effects of its three pillars on the inward foreign direct investments of Saudi Arabia. Discussion and Conclusion: The current study added a new vigor to the literature of nation branding through its ability to shed light on the geographical aspect of it and find correlations between geography and FDI from a nation branding perspective.
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