Internationalization of SMEs in Bosnia and Herzegovina

Indrawati

Hambali

2019

jejak

Indonesian SMEs are less able to take advantage of foreign market opportunities than their large counterparts. This study analyses the internationalization of Indonesian SMEs, particularly the differences between exporting and non-exporting SMEs in terms of their network relationships. Primary data was obtained from survey questionnaires in Jawa, Madura and Bali regions, yielding usable responses from 271 exporting SMEs and 226 non-exporting SMEs. Our results suggest that exporters on average have twice as many frequencies of interaction with various external actors than those of their non-exporting counterparts. Exporting and non-exporting SMEs also differ in the way they interact and maintain relationships with external actors. The exporting SMEs utilize various types of interactions including regular and irregular, as well as formal and informal ones, with various external actors in the network. In contrast, non-exporting SMEs are more dependent on personal relations with key persons in various governmental and private institutions. The policy and managerial implications of the findings are discussed.

Section: Methodsmentioning

confidence: 99%

The Role of Networking in the Internationalization of Indonesian SMEs

Indrawati

Hambali

2019

jejak

“…First, the micro enterprises database is unavailable in Indonesia as they are mostly in the form of individual businesses or home industries. Second, micro enterprises are less likely to engage in international business (Pendergast et al, 2008). 5 The exchange rate is assumed at Rp14,000/USD During the pilot survey, we found that at the practical level, the identification of SMEs' assets and turnover value is difficult, laborious, and potentially inaccurate.…”

Section: Datamentioning

confidence: 99%

Factors Affecting Propensity to Export: The Case of Indonesian SMEs

GADJAH MADA INT. J. BUS.

Gan

Massie

2019

The benefits of trade liberalization are not shared equally among countries and enterprises across the globe. Small and Medium-sized Enterprises (SMEs) in developing countries are less able to participate in export markets than their larger counterparts, despite various export assistance provisions by their governments. This study aims to investigate the factors influencing Indonesian SMEs’ decisions and ability to engage in direct export activities. The evidence was collected from 271 exporting SMEs and 226 non-exporting SMEs in seven provinces in Java, Madura, and Bali. Logistic regressions were used to identify the distinct characteristics of the exporting SMEs. The findings show that the exporters differ from non-exporters in terms of their firms’ and owners’ characteristics, their perceptions toward export barriers, their participation in their national government’s export assistance program and network relationships. The academic, policy and managerial implications of the findings are discussed.

“…The database of micro enterprises in Indonesia is inaccessible as they usually take the form of individual enterprises or home industries. Furthermore, micro enterprises are less likely to engage in direct exporting activities due to their smallness and limited resources (Pendergast et al, 2008), despite the decrease in trade barriers and the advancement of information and communication technology. This research covers seven provinces in Indonesia including all provinces in Java, Madura and Bali Islands.…”

Section: Research Limitations and Future Studiesmentioning

confidence: 99%

“…First, the micro enterprises database is unavailable in Indonesia as they are mostly in the form of individual businesses or home industries. Second, micro enterprises are less likely to engage in international business(Pendergast et al, 2008). 6 The exchange rate is assumed at Rp13,000/USD.Jurnal Ekonomi Indonesia • Volume 8Number 1, 2019…”

mentioning

confidence: 99%

Policy Options to Remove Export Barriers Encountered by Indonesian SMEs

Indrawati

Massie

2019

JEI

Indonesian SMEs are less able to take advantage of free trade and globalization than their large counterparts, contributing only a small share of non-oil and gas exports. This study investigates the export barriers faced by SMEs. Primary data was obtained from survey questionnaires to SMEs in seven provinces in Java, Madura and Bali regions and central government agencies whose policies are related to SMEs and/or international trade. The survey yielded 533 usable responses, including 271 exporting SMEs, 226 non-exporting SMEs and 36 central government agencies. The findings show that the effectiveness of export assistance programs vary across types of assistance and levels of government. Further, policymakers and SMEs had different perceptions on the severities of each type of export barrier. The practical implications of the findings are provided.