INTERNATIONALIZING MANUFACTURING SMEs IN A DEVELOPING REGION: AN EXHAUSTIVE CDA-BASED EXPLORATORY APPROACH
Rafi Javed Qureshi* and Iftikhar Hussain**
ABSTRACT
Internationalization of Small and Medium Enterprises (SMEs) in developing economies is a hybrid strategy where reactive remedies and proactive styles of inward/outward operations is sought by innovative and risk seeking entrepreneurs. Exporting remains the dominant mode of internationalization and entry to foreign markets by SMEs in both developing and developed economies. When data on SMEs attributes and entrepreneur’s characteristic is categorical, single methodology to analyze factors influencing exporting are far from sufficient. A multi-method and exhaustive approach is necessary to explore the adequacy of factors in question. The three methods relevant to categorical data analysis (CDA) in this paper highlights the enabling role of the exploratory factors in understanding the relationship with SME’s exporting. Categorical regression overcomes the limitations of both contingency table method and binary logistic regression in exploring this relationship, and provides substantive space to experiment and investigate the contributory role of export-enabling factors when data size is small.
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December 2010
Vol 29 No 2 (2010)
