This thesis investigates the processes and influential factors affecting the internationalisation of SMEs in manufacturing industries in Malaysia. Internationalisation of small and medium-sized enterprises (SMEs) has been widely researched but little is known of how and why internationalisation takes place in developing countries and this lack of evidence in the literature provides strong grounds for this study. Jones and Coviello (2005) suggest investigation of internationalisation should include the broad range of internationalisation theories, such as the Incremental and Rapid internationalisation models, Networking, Resource-based and International Entrepreneurship perspectives. These perspectives examine the awareness, process, driving forces and influential factors relevant to SME internationalisation. Therefore, the patterns and dimensions of internationalisation, including the modes of foreign entry, market selection, triggering factors, awareness of international opportunities were investigated, as were the problems and challenges faced by internationalising firms and the key drivers influencing the internationalisation process. A critical realism paradigm and qualitative method were employed. In-depth interviews were conducted with 16 Malaysian experts and 54 Malaysian-based CEOs, owners, and/ or key executives from SME manufacturing industries using a semi-structured interview guide. The data was analysed with the statistical package NVivo 7 and also manually to improve triangulation of the results. The results are largely inductive and interpretive and are presented in qualitative-themes as well as some basic statistical analyses. The findings indicate that interrelated factors influence the internationalisation process of Malaysian SMEs. Various paces, a myriad of entry modes and broad market scopes determine the pattern of internationalisation undertaken. A traditional internationalisation pattern is strongly evident, although some companies exhibited rapid and born global patterns, depending on their industry, products, organisational competencies, knowledge and access to information or because of a change of management. The main drivers of internationalisation centred on key personnel and firm competencies. The study also found that while domestic and global forces motivate internationalisation, aspects of Government policy, procedures and international requirements inhibit the process. More importantly, the findings suggest that networking relationships create internationalisation awareness and provide appropriate pathways to internationalisation for manufacturing SMEs in Malaysia and this is an area where strategies could be improved. The increasing emphasis on the SME sector for enhancing economic and social development in Malaysia means they can make substantial contributions to development and understanding how to improve internationalisation strategies will increase those gains. More transparent government policies and coherence among supporting agencies as well as structured and relevant networks would assist the internationalisation of Malaysian SMEs. Currently, internationalisation processes are constrained by limited resources and difficulty in accessing assistance and supports. This study provides new knowledge and important insights that will benefit manufacturing and other industries in Malaysia and other developing countries.

After a decade of reforming policy, building and developing the multi-sector market economy, Small and Medium Enterprises (SMEs) in Vietnam have developed strongly and contributed to creating employment, increasing GDP, and raising the nation’s volume of exports. However, SMEs have found difficulties on the way to development due to lack of management experience and financial resources, and due to uncertainty within the business environment. As a result, SMEs often faced obstacles during their operations. This thesis examines the relationship between financial management and profitability of SMEs to determine whether financial management practices and financial characteristics impact on SME profitability. Objectives of the thesis are (1) to investigate and describe features of financial management practices and financial characteristics of SMEs in Vietnam, (2) to develop and test a model of SME profitability, and (3) to contribute knowledge of the relationships between financial management and characteristics to improve SME profitability by using tools of efficient financial management. In terms of structure, the thesis has six chapters. The thesis begins by defining the research problem and questions, and providing a justification for the research study. Chapter one also reviews the research background, and presents definitions of terms, significance and scope of the study. Chapter two examines the economic background, business structure and the development of SMEs in Vietnam. This chapter also reviews previous research related to financial management for SMEs in Vietnam to identify gaps between financial management for SMEs in Vietnam and financial management for SMEs worldwide. Chapter three reviews financial management including financial management practices, financial characteristics and profitability of SMEs around the world, especially in the developed economies such as the United States of America (USA), the United Kingdom (UK), Australia and Canada. This review emphasizes profitability and the impact of financial management practices and financial characteristics on SME profitability. Objectives of this chapter are to review previous research related to the areas of financial management practices, financial characteristics, and profitability of SMEs and to build a model of the impact of financial management practices and financial characteristics on SME profitability. Chapter four discusses aspects of the research methodology including research design, data collection and data analysis methods, and hypothesis testing to support the model. Objectives of this chapter are: (1) to justify the research methodology of this study, (2) to explain research methodology used in the study, and (3) to demonstrate how research design, and data collection and analysis can be utilized in this study to answer the research questions outlined in the chapter 1. Data analysis and findings are presented in chapter five. This chapter presents descriptive findings of financial management practices, financial characteristics and SME profitability and findings of the research study related to testing the model of SME profitability. Objectives of this chapter are (1) to systematically present the descriptive findings of the research study, (2) to interpret significance of these findings based on data analysis, (3) to present the results of testing the model of SME profitability, and (4) to explain how the model, developed from a literature review, was supported by data analysis. Finally, the thesis ends with chapter six where conclusions are summarized and applications of the research findings are indicated for the financial management practitioners. The thesis provides descriptive findings of financial management practices and financial characteristics and demonstrates the simultaneous impact of financial management practices and financial characteristics on SME profitability. In addition, the research study provides a model of SME profitability, in which profitability was found to be related to financial management practices and financial characteristics. With the exception of debt ratios, all other variables including current ratio, total asset turnover, working capital management and short-term planning practices, fixed asset management and long-term planning practices, and financial and accounting information systems were found to be significantly related to SME profitability. With the findings as presented above, this research study provides many implications for financial management practices and contributes to knowledge of financial management of SMEs. The model of SME profitability can be used as guidance for actions to improve the profitability of SMEs in Vietnam.

The purpose of this PhD thesis is to make a contribution to existing knowledge in the field of critical accounting by studying credit mechanisms and their link to income/wealth inequality in Sri Lankan society and the role of accounting technology in facilitating such mechanisms. The literature review revealed that: a) Global inequality is aggravated by the disparity of economic development which is possible only through state intervention; b) Unemployment is considered as a dilemma for economic development in developing countries by most politicians/administrators/researchers; c) In any country, around 60-70 percent of employment is generated by small and medium sized enterprises (SMEs) and; d) Their major problem is access to credit. This research was designed to find out how the credit system works and why certain SMEs do not have adequate access to credit to develop their businesses; to provide employment; to increase the share of national income to the lower income groups; to narrow down the gap between the rich and poor within and between countries. A case study research approach was followed to extract data on real-life experiences of the research participants. Reliability of data was ensured by using various verification techniques and maximum efforts were made to balance the two extremes of validity of the research; internal and external. The extent of representation by the cases and the bank was tested, and judged as high, with 12-14 characteristics common to the Sri Lankan credit culture and banking industry respectively. Marxian critical theories were used for theoretical guidance throughout the research. The three case studies provide empirical evidence for the existence of the discriminatory nature of credit decision-making where two credit applicants were successful but a third credit applicant failed in obtaining credit. It is contended that the two successful applicants were powerful enough to approach a more powerful bank Chairperson and to obtain credit outside the normal credit rules with the support of accounting technology and using masks such as patriotism and social responsibility. The other applicant, who was initially accommodated with credit at the lower level, could not convince the credit decision-makers at the higher level with expensive professionally prepared accounting reports. This applicant was not from an influential social network and could not reach the powerful credit decision-makers informally was rejected through strict application of credit rules. Deep analysis of these facts supports the Marxian claim that credit and exploitation mechanisms work towards concentration of wealth and sustaining income inequality. Credit decisions supply money to influential individuals and it is argued that such economic power enhances the social powerbase of those individuals, which in turn reinforces the propensity to make preferential credit decisions, thereby making them richer. In contrast, a lack of money translates into powerlessness, deprivation and exclusion from social activities for the majority of the poor. In this process opportunities are lost to disadvantaged social groups and this necessarily results in poor people’s economic status remaining stagnant. These power-driven, discriminatory decision-making systems not only restrict the availability of financial capital for feasible projects, but also deny credit to potential enterprises. Further, wasting resources on unfeasible projects, while ignoring the need for nurturing potentially viable projects, are a double blow to efforts towards employment generation and economic development and therefore, are detrimental to the economic well-being of the general population. These findings provide insight for policy formulators for more productive financial capital mobility systems in Sri Lanka. It is suggested that suitable State intervention in regulating SME financing could remove such credit-related obstacles to economic development, and work towards a fair distribution of economic benefits to the people in Sri Lanka and beyond.

After a decade of reforming policy, building and developing the multi-sector market economy, Small and Medium Enterprises (SMEs) in Vietnam have developed strongly and contributed to creating employment, increasing GDP, and raising the nation’s volume of exports. However, SMEs have found difficulties on the way to development due to lack of management experience and financial resources, and due to uncertainty within the business environment. As a result, SMEs often faced obstacles during their operations. This thesis examines the relationship between financial management and profitability of SMEs to determine whether financial management practices and financial characteristics impact on SME profitability. Objectives of the thesis are (1) to investigate and describe features of financial management practices and financial characteristics of SMEs in Vietnam, (2) to develop and test a model of SME profitability, and (3) to contribute knowledge of the relationships between financial management and characteristics to improve SME profitability by using tools of efficient financial management. In terms of structure, the thesis has six chapters. The thesis begins by defining the research problem and questions, and providing a justification for the research study. Chapter one also reviews the research background, and presents definitions of terms, significance and scope of the study. Chapter two examines the economic background, business structure and the development of SMEs in Vietnam. This chapter also reviews previous research related to financial management for SMEs in Vietnam to identify gaps between financial management for SMEs in Vietnam and financial management for SMEs worldwide. Chapter three reviews financial management including financial management practices, financial characteristics and profitability of SMEs around the world, especially in the developed economies such as the United States of America (USA), the United Kingdom (UK), Australia and Canada. This review emphasizes profitability and the impact of financial management practices and financial characteristics on SME profitability. Objectives of this chapter are to review previous research related to the areas of financial management practices, financial characteristics, and profitability of SMEs and to build a model of the impact of financial management practices and financial characteristics on SME profitability. Chapter four discusses aspects of the research methodology including research design, data collection and data analysis methods, and hypothesis testing to support the model. Objectives of this chapter are: (1) to justify the research methodology of this study, (2) to explain research methodology used in the study, and (3) to demonstrate how research design, and data collection and analysis can be utilized in this study to answer the research questions outlined in the chapter 1. Data analysis and findings are presented in chapter five. This chapter presents descriptive findings of financial management practices, financial characteristics and SME profitability and findings of the research study related to testing the model of SME profitability. Objectives of this chapter are (1) to systematically present the descriptive findings of the research study, (2) to interpret significance of these findings based on data analysis, (3) to present the results of testing the model of SME profitability, and (4) to explain how the model, developed from a literature review, was supported by data analysis. Finally, the thesis ends with chapter six where conclusions are summarized and applications of the research findings are indicated for the financial management practitioners. The thesis provides descriptive findings of financial management practices and financial characteristics and demonstrates the simultaneous impact of financial management practices and financial characteristics on SME profitability. In addition, the research study provides a model of SME profitability, in which profitability was found to be related to financial management practices and financial characteristics. With the exception of debt ratios, all other variables including current ratio, total asset turnover, working capital management and short-term planning practices, fixed asset management and long-term planning practices, and financial and accounting information systems were found to be significantly related to SME profitability. With the findings as presented above, this research study provides many implications for financial management practices and contributes to knowledge of financial management of SMEs. The model of SME profitability can be used as guidance for actions to improve the profitability of SMEs in Vietnam.

Η διπλωματική αυτή εργασία έχει ως στόχο να δώσει στον αναγνώστη της μια σαφή εικόνα των μεθόδων αποθήκευσης ηλεκτρικής ενέργειας που υπάρχουν σήμερα, αναφέροντας εφαρμογές αυτών σε διάφορα Συστήματα Ηλεκτρικής Ενέργειας ανά τον κόσμο. Πιο συγκεκριμένα, στο πρώτο κεφάλαιο γίνεται μια αναφορά στους λόγους που επιβάλουν την αποθήκευση ηλεκτρικής ενέργειας, παρουσιάζοντας εν συντομία όλες τις μεθόδους αποθήκευσης που θα αναλυθούν στα επόμενα κεφάλαια. Στο δεύτερο κεφάλαιο παρουσιάζεται αρχικά η μέθοδος αποθήκευσης ηλεκτρικής ενέργειας με υπεραγώγημα πηνία και στη συνέχεια βλέπουμε τα αποτελέσματα εφαρμογής των συστημάτων αυτών τόσο σε επίπεδο εξομοίωσης όσο και σε πραγματικές περιπτώσεις. Στο τρίτο κεφάλαιο περιγράφεται η αποθήκευση ηλεκτρικής ενέργειας με μπαταρίες. Αφού αναφερθούν οι κατηγορίες τους και τα χαρακτηριστικά μεγέθη τους, γίνεται μοντελοποίηση των μπαταριών και στη συνέχεια περιγράφονται δυο πραγματικές περιπτώσεις εφαρμογής των συστημάτων αυτών αποθήκευσης στο δίκτυο της Αμερικής. Στο τέταρτο κεφάλαιο περιγράφονται τα συστήματα αποθήκευσης με στρεφόμενες μάζες. Αναφέρονται τα πλεονεκτήματα και μειονεκτήματά τους, καθώς και τα χαρακτηριστικά των συστημάτων αυτών. Τέλος περιγράφεται η εφαρμογή των συστημάτων αυτών στην ρύθμιση της συχνότητας του δικτύου. Το πέμπτο κεφάλαιο μελετάει τα συστήματα αντλησιοταμίευσης στην αποθήκευσης ενέργειας. Αφού γίνει μια αναφορά στην υδροδυναμική ενέργεια, τα φράγματα και τους υδροστρόβιλους, εξετάζεται η περίπτωση εφαρμογής ενός τέτοιου συστήματος στο αυτόνομο σύστημα ηλεκτρικής ενέργειας της Κρήτης. Στο έκτο κεφάλαιο μελετάται η χρήση των υπέρ-πυκνωτών στην αποθήκευση ηλεκτρικής ενέργειας. Υπολογίζεται η ισοδύναμη χωρητικότητα συστήματος υπέρ-πυκνωτών καθώς και η απόδοση φόρτισης και εκφόρτισής του. Στο έβδομο κεφάλαιο γίνεται περιγραφή των συστημάτων αποθήκευσης με συμπιεσμένο αέρα και αναφέρονται δυο πραγματικές εφαρμογές των μονάδων αυτών καθώς και εκτιμώμενα μελλοντικά σχέδια ανάπτυξης νέων τέτοιων μονάδων. Στο όγδοο κεφάλαιο γίνεται μια σύντομη αναφορά στην πιθανή μελλοντική χρήση των κυψέλων υδρογόνου για αποθήκευση ηλεκτρικής ενέργειας ενώ στο ένατο κεφαλαίο γίνεται μια σύντομη σύγκριση όλων των προαναφερόμενων διατάξεων αποθήκευσης βάση την ταχύτητα εκφόρτισής τους και βάση του κόστους εγκατάστασης ανά μονάδα παραγόμενης ενέργειας. Η διπλωματική εργασία κλείνει με ένα κεφάλαιο στο οποίο μελετάται η ενσωμάτωση των συστημάτων αποθήκευσης ενέργειας στους ελεγκτές FACTS στο επίπεδο μεταφοράς ηλεκτρικής ενέργειας και στις συσκευές CUSTOM POWER στο επίπεδο της διανομής. / -

The purpose of this thesis is to provide the reader with a deeper understanding of what impact external factors could have on international active Swedish SME’s. Since these factors influence the firm throughout the internationalization process we will investigate how firms mitigates the impact of external factors at later stages in the internationalization process. Furthermore, we will investigate how companies prepare themselves when it comes to external factors. To conduct this research, we have decided to use a qualitative research approach so that we as researcher can receive a deeper understanding of the international business environment. The thesis will use the abductive research approach since we match the theory regarding external factors with the empirical findings.   The Literature review has been conducted to conclude theroies regarding external factors, internationalization, export performance and finally a theory regarding divestment. This has resulted in a conceptual framework, which show how the theories are linked to each other. The conceptual framework has later been used to analyze the empirical data. The empirical data has been gathered through four case companies, which has been presented in the chapther empirical findings.   The analysis includes a discussion that compares the differnces and similarities between the theoretical framework and the empirical findings. It also includes the differences and similarities between our respondents and their experience from external factors and its impact. The final chapter concludes the thesis with results from our resource questions and further includes implications, recommendations, limitations and suggestions for further research in this subject. The main theoretical implication is the filling of the research gap regarding external factors and their impatcs for Swedish SMEs. Furthermore, the thesis concluded that it would be beneficial for companies to develop a strategy to overcome the obstacles that come from external factors when a company is internationalized. Our thesis has concluded that it is better to be proactive to external changes rather than be reactive on the international market.

Purpose: The aim of the study is to explore how the digitalization has affected international business relations, with a focus on Swedish and Chinese relationships. This will be studied through a qualitative study of Swedish SMEs with Chinese partners within the manufacturing industry, but also through interviews with Business Sweden and Swedish Chamber of Commerce for an objective approach. Research Questions: The main research question is: How does digitalization affect Swedish SMEs business relations with Chinese partners in the manufacturing industry? The subquestion is: Which positive and negative aspects does the digitalization bring? Methodology: This thesis is a qualitative study conducted with an abductive approach. A multi-case study design was applied, researching four Swedish SMEs and two objective organizations. Conclusions: After accomplishing this research, we were able to draw the conclusion that Swedish SMEs with Chinese business partners are affected by the digitalization on many levels. Areas mainly affected by the digital development are the communication methods and work tasks. The positive outcomes are opportunities to save money and time, as well as maintaining frequent communication which can increase trustworthiness. The negative outcomes are the decreased personal interactions and the risk of sharing sensitive information, because of the fact that information is stored on digital devices.

Due to an increase of internationalization Swedish SMEs are faced with more issues regarding ethical dilemmas when entering foreign markets than they have been in the past. The ethical dilemmas, such as bribery and corruption, affect companies’ entry strategies in regards of moral standards and becomes an issue for markets that are characterised as being unstable. A common denominator for unstable markets is political instability which usually leads to an increase of ethical dilemmas. This thesis provides a deeper understanding to how Swedish SMEs enter politically unstable markets and how CSR can be used as a tool to identify and avoid ethical dilemmas. To enable this study a qualitative research was conducted to analyse the process of already established Swedish SMEs in politically unstable markets. By doing so, practical and theoretical implications could be identified, subsequently contributing Swedish SMEs with valuable information on how to enter politically unstable markets.   The outcome of this study suggests ethical dilemmas affect Swedish SMEs’ entry to politically unstable markets. In a market where ethical dilemmas are prominent SMEs ought to do a thorough risk analysis before entering the market and also select the mode of entry. This study concludes a trade based entry mode is most suitable for Swedish SMEs when entering politically unstable markets since local contact is crucial since it reduces the risks of entering the market. Furthermore, during the course of the study it became evident that CSR can be used as a moral framework to identify and avoid ethical dilemmas in politically unstable markets. CSR strategies provide moral and ethical guidelines for Swedish SMEs and thereby affect the selection process of markets and business partners. The findings of this thesis suggest there is a linkage between business ethics, CSR and entry strategies. Therefore, the research is valuable for Swedish SMEs who seek to enter politically unstable markets.

The increasingly significant role played by small and medium sized enterprises (SMEs) and entrepreneurship in national economies has attracted growing attention. Recent trends have increasingly emphasised the value of knowledge. The challenge within the 21st century is the importance of the productivity of service and knowledgeable workers, as well as strategic flexibility and innovation. It is suggested that high level of innovation, R&D and productivity are positively related. Technology-based SMEs are specifically selected as the object of this thesis since they exhibit most of the characteristics of the three terms, “SMEs”, “innovation” and “entrepreneurship”. SMEs may come across significant constraints because of their own limitations, such as financial constraints, human capital shortages, and weak market power. These constraints are even more serious for technology-based SMEs due to their industrial nature. As a consequence, technology-based SMEs tend to have a higher failure rate than non-tech SMEs and large firms. However, the benefits brought by them cannot be neglected. For example, the return of R&D on a social level is higher than the private level, which highlights the importance of technology-based SMEs for national development. Therefore, it motivates governments to increase support for technology-based SMEs. This thesis aims to examine the effectiveness of government policies on technology-based SMEs and entrepreneurship in Beijing, China. Some researchers have studied and examined the policies, but mainly focussed on the description of policy frameworks and policy dynamics. There is a lack of studies examining the effectiveness of policies from the perspective of entrepreneurs in this context. This thesis fills this gap. This thesis makes both a theoretical and methodological contribution to the entrepreneurship studies literature through the holistic case study approach. A mixed-method approach of document analysis, interview and a questionnaire are used to understand the interaction between policies and technology entrepreneurs. The key findings of this thesis are that policies have strong positive effects on the promotion of entrepreneurship and SMEs. But there are still some negative points when implementing policies, such as uneven filter criteria and supervision system between new and established firms.

This study addresses public sector intermediaries and their role in facilitating innovation in Small and Medium Sized Enterprises (SMEs) in South Korea. The primary aim is to understand and address the informational and relational barriers that SMEs face during the innovation process and how these are resolved through interaction. Although the government has been implementing SME support policies for several decades, the Korean National Innovation System (KNIS) has been characterised with six words: ‘strong large firms, weak small firms’. Korean Government policies for R&D have not been effective in enhancing the economic performance and innovative capabilities of SMEs and the ‘low level of competitiveness’ of SMEs obstructs knowledge interaction between firms. Policies directed at SMEs mainly focus on direct support and do not reflect the interactive nature of the innovation process. This mismatch between policy and desired outcomes has led this study to go beyond examining the informational and relational constraints. It analyses the factors influencing successful (or less successful) innovation and asks whether public intermediaries have provided an effective mechanism in resolving innovation barriers (i.e. system failures). Yet, there has been a lack of research into public intermediaries and SMEs within the National Innovation Systems (NIS) framework. The NIS approach is a loosely configured framework and the intermediary literature is fragmented and has rarely been integrated with the NIS literature. Research has tended to focus on specific functions of private intermediaries and far less on the public intermediaries, which have been playing a crucial role in facilitating innovation in Korean industry for several decades. The central focus of this study is on the knowledge interaction process between public intermediaries and SMEs occurring at multiple levels of interaction in the Korean NIS. This study therefore attempts to integrate the NIS concept and the intermediary approach to provide a robust way to explore the knowledge interaction process at meso- and micro-levels. Four functions of the intermediary are constructed to explore how they might influence SME innovation: knowledge facilitation, learning facilitation, knowledge enabling and managing interfaces. Through in-depth analysis of five case studies encompassing firms in mechatronics and IT, this study explicates the knowledge interaction process and influential factors of successful innovation. The analysis addresses a series of issues that the generic NIS concept cannot fully explain: (1) knowledge interaction at meso- and microlevels; (2) multiplicity of relationships and their evolving nature; (3) the role of public intermediaries in a specific cultural context; and (4) the heterogeneity of SMEs with their pre-existing resources and routines. Sociological perspectives especially provide insights for investigating not only the dynamic nature of interactions but also micro-level factors that determine successful interactions and innovation that are largely neglected in both NIS and intermediary studies; e.g. productive combination of competing rationalities, social learning, and the importance of reflexive individuals. Focusing on a modulated NIS concept for public sector intermediaries and SMEs in a Korean context, the study opens the ‘black box’ of knowledge interaction and learning that resolves the barriers, shapes the successful innovation environment and hence strengthens the innovation system. The findings have implications for policy, including the need to establish new policy measures aimed not simply at achieving a set goal but rather at facilitating the interaction process with a long-term view. The study recommends that public intermediaries need to focus on monitoring activities that integrate and support the knowledge interaction process by facilitating ‘associativeness’ among actors. Furthermore, the heterogeneity of the local contexts and SMEs in the innovation process need to be taken into account in designing the programmes, moving away from one-size-fits-all type services.