International Entry-Mode Choice: Theory, Research and a Case-Study

Foreign market entry mode choice is believed to be a key strategic decision for firms willing to expand abroad. Past research in this area has tended to concentrate on large multinational enterprises while the entry-mode behavior of SMEs has gone relatively under-explored. In recent years, though, SME entry-mode research has gained momentum with an increasing number of theoretical and empirical works devoted to this topic. This paper, based on a case-study, aims to contribute to this research agenda by examining the entry-mode behavior of an Italian small firm that has succeeded in international markets, particularly though not solely in Central and Eastern Europe. Specifically, the purposes of this study are: 1) to review the relevant literature on SME entry-mode selection; 2) to contrast the case-study findings with theoretical and empirical insights gained from literature review.