Multi-market industrial organizational economic models for the internationalization process by small and medium enterprise construction design service firms

Small and medium enterprises (SMEs) are critical to strategic initiatives in an economy; however, their contribution to foreign trade is not as significant. SMEs are one of the principal driving forces in economic development. One of the greatest challenges is the internationalization process for longevity rather than seeing the process as initial market entry. The internationalization process research has typically involved four key constructs: market selection, decision to enter, entry modes and factors affecting entry modes. Past research has focused on large manufacturing firms. The export of architectural, engineering and construction (AEC) firms has undergone growth, yet there is still significant opportunity for further growth. The majority of AEC firms are SMEs. Notwithstanding assistance provided through international trade missions, organized export firm support networks and information packages by a burgeoning number of government agencies, there are still perceived barriers to market entry and long-term economic sustainability for SMEs. There are a number of problems faced by SMEs acting in foreign trade. This investigation explores the successful initial internationalization process constructs and identifies unique project-oriented sector characteristics. The study identified similarities and differences between two firms that have been exporting to various localities, including Eastern Europe, Africa, Middle East, UK, Asia and South America, for more than two decades. The similarities and differences were identified within eight major constructs: purpose, firm type, market image and design philosophy, entry mode strategy, institutional arrangement, factors affecting mode of entry, market selection and firm strategy in relation to project selection. The primary reasons for internationalization were associated with the firms' motivations related to growth and financial viability. This article discusses the various internationalization processes and strategies intrinsic to each case study and establishes a detailed set of empirical observations from which to develop further a grounded theoretical model of reflexive capability for the internationalization process. This study contributes to the body of knowledge around the SME AEC design service firm's internationalization process, as a dynamic, evolving and continuously adaptable construct for project-based sectors.

Explaining the levels of innovation and R&D in New Zealand's small and medium-sized enterprises : too many small firms?

This paper is concerned with explaining the levels of innovative activity in New Zealand's SMEs. It is arguable that New Zealand provides a special case where innovation and R&D levels are comparatively low in SMEs, yet, paradoxically, it is also a nation of high rates of entrepreneurial activity. This paper seeks to examine the factors that affect innovation levels in New Zealand SMEs from an analysis of panel data set of 1500 SMEs. We test research propositions based on existing theory and literature on innovation levels in SMEs and discuss our findings. Firm size is found to be significant; we argue that New Zealand has too few growth firms rather than too many small firms and we suggest that barriers to innovation, such as access to finance, remain an issue which should be a focus for government support.

Quality methods in Australian small and medium sized enterprises: a research framework

Quality methods in Australian industry gained much attention in the late 1980s and for most of the 1990s. In particular, quality methods such as quality systems and quality system certification had prominence, as Governments and large private sector firms attempted to improve their supply-chains. The aim of this paper is to demonstrate a rigorous and holistic approach to investigating the applicability of quality methods in Australian small and medium sized enterprises (SMEs). It describes the research framework developed to further investigate the impact of quality methods on Australian SMEs, and illustrates how the framework leads to a broader exploratory study.

How do Australian small and medium enterprises communicate their corporate social responsibility activities online?

Much of the existing research on Corporate Social Responsibility (CSR) focuses on large firms, with comparatively little on Small and Medium Enterprises (SMEs). The SME research focuses on barriers and drivers to CSR and neglects how SMEs communicate their CSR activities. This paper addresses this gap by reporting on a content analysis of 443 Australian SME websites which identifies how they are using this channel to communicate their CSR activities.

Do social capital building strategies influence the financing behavior of chinese private small and medium-sized enterprises?

© 2013 Baylor University. Using data from 65,485 Chinese private small and medium-sized enterprises over the period 2000-2006, we examine the extent to which firms can improve access to debt by adopting strategies aimed at building social capital, namely entertaining and gift giving to others in their social network, and obtaining political affiliation. We find that although entertainment and gift-giving expenditure leads to higher levels of total and short-term debt, it does not enable firms to obtain greater long-term debt. In contrast, we demonstrate that obtaining political affiliation allows firms greater access to long-term debt.

Project quality management for small and medium enterprises (SMEs) in trade

Managing project quality is becoming focal issue in major enterprises as popular quality programs from International Standard Organization (ISO) such as ISO9000 certification processes gain momentum. Large organizations as well as small-medium enterprises (SMEs) seem to implement this program, albeit for varied reasons. In this paper, we have reported the findings from an action research project conducted in SMEs who are implementing quality management. The findings indicate that external pressures such as regulations, competition and perceived success - defined on their own parameters, may be the drivers and the certification does not necessarily result in better performance. We are in the process of developing a cost-effective guideline/framework - based on this research, for SMEs involved in the certification process. In addition, the results are aimed at informing academia as well as certification bodies of specific concerns with SMEs.

Fostering information security culture in small and medium size enterprises: an interpretive study in Australia

By having an effective organisational information security culture where employees intuitively protect corporate information assets, small and medium size enterprises (SMEs) could improve information security. However, previous research has largely overlooked the development of such a culture for SMEs, and the national context in which SMEs operate. The paper explores this topic and provides key findings from an interpretive Australian study based on a literature review, two focus groups and three case studies. A holistic framework is provided for fostering an information security culture in SMEs in a national setting. The paper discusses key managerial challenges for SMEs attempting to develop such a culture. The main findings suggest that Australian SME owners do not provide sufficient support for information security due to insufficient awareness of its importance and may also be affected by national attitudes to risk. The paper concludes that Australian SME owners may benefit from adopting a risk-based approach to information security and should be educated about the potential strategic role of information technology and information security. The paper also identifies the value and difficulty of promoting a behavioural and learning approach to information security to complement traditional technological and managerial approaches. Implications for theory and practice are discussed.