The role of corporate entrepreneurship in internationalization of Small and Medium Manufacturing Enterprises (SMEs)

Many researchers and practitioners from the industry would agree on the importance of corporate entrepreneurship as an effective means for rejuvenating companies and improving their financial performance. In the era of intense global competition, Small and Medium Enterprises (SMEs) realize that a gr...

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Main Authors: Chelliah, Shankar, Sulaiman, Mohamed, Munusamy, Jayaraman
Format: Article
Language:English
Published: Common Ground 2010
Subjects:
Online Access:http://irep.iium.edu.my/22360/
http://irep.iium.edu.my/22360/
http://irep.iium.edu.my/22360/1/The_Role_of_Corporate_Entrepreneurship.pdf
id iium-22360
recordtype eprints
spelling iium-223602012-04-24T00:14:04Z http://irep.iium.edu.my/22360/ The role of corporate entrepreneurship in internationalization of Small and Medium Manufacturing Enterprises (SMEs) Chelliah, Shankar Sulaiman, Mohamed Munusamy, Jayaraman HC Economic History and Conditions Many researchers and practitioners from the industry would agree on the importance of corporate entrepreneurship as an effective means for rejuvenating companies and improving their financial performance. In the era of intense global competition, Small and Medium Enterprises (SMEs) realize that a greater focus is required in entrepreneurial behaviors in identifying foreign market opportunities, seeking partnerships with foreign firms, and building organizational capabilities in order to enhance their competitive advantage. But, what do we really know about the role of corporate entrepreneurship on internationalization among the SMEs? Most of the studies focus on corporate entrepreneurship among established companies who have strengths in both resources and reputations in the market. Within this context, this article describes a study of corporate entrepreneurship and its role in SMEs internationalization. Data were collected from 300 internationalized SMEs in Malaysia, from manufacturing industry representing consumer and industrial products. Regression analysis was then used to analyze the data. The study also examines the impact of size as a moderating variable between corporate entrepreneurship and internationalization. The results suggest that corporate entrepreneurship has a positive impact on internationalization when size functions as moderating factor in relatively smaller firms. This effect on the internationalization, indicates that corporate entrepreneurship is particularly effective practice among SMEs when the companies are small. This study poses two implications for practicing managers and policy makers. First, the study encourages SMEs to nurture corporate entrepreneurship from the beginning or at inception as it pave path for firm internationalization. Second, the study suggests a need to use a long term horizon to judge entrepreneurial actions and its impacts on the firm internationalization. Common Ground 2010 Article PeerReviewed application/pdf en http://irep.iium.edu.my/22360/1/The_Role_of_Corporate_Entrepreneurship.pdf Chelliah, Shankar and Sulaiman, Mohamed and Munusamy, Jayaraman (2010) The role of corporate entrepreneurship in internationalization of Small and Medium Manufacturing Enterprises (SMEs). The International Journal of Interdiciplinary Social Sciences, 5 (9). pp. 505-516. ISSN 1833-1882 http://iji.cgpublisher.com/product/pub.88/prod.1264
repository_type Digital Repository
institution_category Local University
institution International Islamic University Malaysia
building IIUM Repository
collection Online Access
language English
topic HC Economic History and Conditions
spellingShingle HC Economic History and Conditions
Chelliah, Shankar
Sulaiman, Mohamed
Munusamy, Jayaraman
The role of corporate entrepreneurship in internationalization of Small and Medium Manufacturing Enterprises (SMEs)
description Many researchers and practitioners from the industry would agree on the importance of corporate entrepreneurship as an effective means for rejuvenating companies and improving their financial performance. In the era of intense global competition, Small and Medium Enterprises (SMEs) realize that a greater focus is required in entrepreneurial behaviors in identifying foreign market opportunities, seeking partnerships with foreign firms, and building organizational capabilities in order to enhance their competitive advantage. But, what do we really know about the role of corporate entrepreneurship on internationalization among the SMEs? Most of the studies focus on corporate entrepreneurship among established companies who have strengths in both resources and reputations in the market. Within this context, this article describes a study of corporate entrepreneurship and its role in SMEs internationalization. Data were collected from 300 internationalized SMEs in Malaysia, from manufacturing industry representing consumer and industrial products. Regression analysis was then used to analyze the data. The study also examines the impact of size as a moderating variable between corporate entrepreneurship and internationalization. The results suggest that corporate entrepreneurship has a positive impact on internationalization when size functions as moderating factor in relatively smaller firms. This effect on the internationalization, indicates that corporate entrepreneurship is particularly effective practice among SMEs when the companies are small. This study poses two implications for practicing managers and policy makers. First, the study encourages SMEs to nurture corporate entrepreneurship from the beginning or at inception as it pave path for firm internationalization. Second, the study suggests a need to use a long term horizon to judge entrepreneurial actions and its impacts on the firm internationalization.
format Article
author Chelliah, Shankar
Sulaiman, Mohamed
Munusamy, Jayaraman
author_facet Chelliah, Shankar
Sulaiman, Mohamed
Munusamy, Jayaraman
author_sort Chelliah, Shankar
title The role of corporate entrepreneurship in internationalization of Small and Medium Manufacturing Enterprises (SMEs)
title_short The role of corporate entrepreneurship in internationalization of Small and Medium Manufacturing Enterprises (SMEs)
title_full The role of corporate entrepreneurship in internationalization of Small and Medium Manufacturing Enterprises (SMEs)
title_fullStr The role of corporate entrepreneurship in internationalization of Small and Medium Manufacturing Enterprises (SMEs)
title_full_unstemmed The role of corporate entrepreneurship in internationalization of Small and Medium Manufacturing Enterprises (SMEs)
title_sort role of corporate entrepreneurship in internationalization of small and medium manufacturing enterprises (smes)
publisher Common Ground
publishDate 2010
url http://irep.iium.edu.my/22360/
http://irep.iium.edu.my/22360/
http://irep.iium.edu.my/22360/1/The_Role_of_Corporate_Entrepreneurship.pdf
first_indexed 2023-09-18T20:34:05Z
last_indexed 2023-09-18T20:34:05Z
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