Internal and External Factors Affecting Exporting SMEs in Rwanda

Abstract

Small and medium-sized enterprises (SMEs) in Rwanda are struggling to be successful in the export market. Drawing on a qualitative study, this chapter focuses on internal and external factors that influence SMEs in the country. It shows that Rwandan exporting SMEs lack sufficient funds to invest in export activities which are major internal factors hindering exports. The study also identified other internal factors such as lack of knowledge about foreign markets and meeting the quality and quantities demanded by foreign markets as hindrances. External factors relate to internal ones where competition in the global market hinders SMEs’ exports. Networking and lack of foreign market representation also impede the success of exporting SMEs in Rwanda.