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| Author: | Mariotti, S. Piscitello, L. |
| Title: | Localized capabilities and the internationalisation of manufacturing activities by SMEs |
| Journal: | Entrepreneurship & Regional Development
2001 : JAN-MAR, VOL. 13:1, p. 65-80 |
| Index terms: | INTERNATIONALIZATION SMALL BUSINESS MEDIUM-SIZED BUSINESSES EXTERNALITIES |
| Freeterms: | FDI SME |
| Language: | eng |
| Abstract: | In this paper it is argued that the internationalisation of production through foreign direct investment (FDI) by small and medium-sized enterprises (SMEs) is influenced by local level idiosyncracies. Although SMEs suffer from inherent constraints to international growth (due to the scarce availability of financial and managerial resources), the presence of qualified localized capabilities strengthen and complement their competitive/ownership advantages, thus favouring their internationalisation. These capabilities are related to the advanced specialized services available to the firms, the existence of a 'marshallian atmosphere', and an environment conducive to innovation and learning. |
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