1887

Transnational Corporations

This journal takes a fresh look at major legal, sectorial, regional and environmental issues facing corporations operating internationally. Released three times a year, it provides in-depth policy-oriented research findings on significant issues relating to the activities of transnational corporations.

English

Why do western SMEs internationalize through springboarding? Evidence from French manufacturing SMEs

This study applies both the internationalization and regulatory focus theories to understand what motivates SMEs to implement springboard strategies – i.e. to invest in a country to re-export to third countries. While some academics emphasize the importance of free trade agreements and cost differentials, others highlight the role played by the individual and network dimensions. We conducted 66 in-depth interviews and five days of non-participant observations with five French manufacturing SMEs and ten investment promotion agencies. Our analysis revealed the existence of firm, network and country-related motivations – springboard strategies being mainly firm-driven – as well as common, partially-shared and specific motivations. Public policy to promote and/or attract springboard-oriented foreign direct investment (FDI) should look at developing dedicated support and educational programmes for SMEs, offering better access to promising markets by removing barriers and enforcing transparency and trade agreements.

English

This is a required field
Please enter a valid email address
Approval was a Success
Invalid data
An Error Occurred
Approval was partially successful, following selected items could not be processed due to error