UK SMEs’ motives for internationalizing: Differences between firms employing particular overseas market servicing strategies

Abstract

A body of research exists in the area of international entrepreneurship and a number of motives for internationalizing have been identified. However, once firms commence exporting, mixed results have been found in respect of the most appropriate market servicing strategy. This paper reports on findings from a survey of UK small to medium enterprises investigating their motives for internationalizing. Multivariate quantitative analysis of survey data and subsequent findings from interviews indicate that differences exist between two groups of firms, that is, those that employ as a strategy an approach that concentrates on key overseas markets compared with those that spread their efforts over a number of markets. However, perhaps more important is the finding that managers’ commitment to overseas activities has a strong influence over and above the strategy employed and this change over time is likely to affect the market servicing strategy employed.