engleski

Internationalization of SMEs in ICT industry: business model perspective

The internationalization of small and medium enterprises can be defined as a process in which a firm conducts some or all of its business activities across national borders. That process is an important step for every firm’s development. Firms can ensure sustainability and growth through the process of internationalization, what is important especially for firms situated in smaller economies. However, internationalization is related to new, uncertain situations, challenges and decisions. Business model of the firm needs to be congruent with that process and the fact that firms become part of global value chains. Business model can show motives and patterns of internationalization, but also to what extent is the firm committed to doing business on international markets. Firms need to ensure competitiveness in order to be able to successfully participate in business activities on the global level. Taking into account the importance of internationalization and business model development for small firms, it is necessary to get a deeper understanding of the relationship between these two processes and their connection to the firm’s competitiveness. This paper aims to analyze and present cases of three small firms from the ICT industry in Croatia that developed a successful business model for internationalization. The study is based on qualitative research. Data was collected through in-depth semi-structured interviews with owners and publicly accessible information about firms. Conclusions from this study can contribute to the knowledge about motives and patterns of internationalization of small firms and the role of business model development for international business.

Business model, Competitiveness, Internationalization, Patterns, Value chain

nije evidentirano