The effects of cultural differences on SMEs entry mode selection: Evidence from the Southeast Asian SMEs

Ripin, Ummu Aiman (2022) The effects of cultural differences on SMEs entry mode selection: Evidence from the Southeast Asian SMEs. [Dissertation (University of Nottingham only)]

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Abstract

Increased globalisation around the world has created a globalised market and integrated world economy across different industries and firms, eventually increasing competition. As a survival strategy, SMEs start to be more active in their local market and expand their activities into international market. Going international also suggest the additional elements that SMEs need to overcome which is the cultural differences between home and host country. When moving to a foreign market, firms must understand the market’s culture before making decision on entry mode strategy. This can mean its language, religion, norms and so on.

This dissertation identify to what extent does cultural differences influence the entry mode strategy of SMEs from Southeast Asia. This is done through obtaining primary data from interviews with the SMEs and secondary data from literature regarding the topic. Although the topic has been studied over the past years, no specific study has been performed on the specific region of Southeast Asia(Nohria and Eccles, 1993; Hickman and Haxhi, 2014; Decker, 2019). The Uppsala model and Network approach were used to observe the internationalisation process of SMEs which is compared to Hofstede’s cultural dimension that were used as predictor of cultural distance. The aim is to identify how cultural differences have affected the entry mode decision making of the SME and their willingness to take risks.

Item Type: Dissertation (University of Nottingham only)
Depositing User: Ripin, Ummu
Date Deposited: 28 Apr 2023 09:21
Last Modified: 28 Apr 2023 09:21
URI: https://eprints.nottingham.ac.uk/id/eprint/68137

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