International Development of German Enterprises on the example of the Wielkopolska Region

Abstract

Objective: The aim of the research is to understand how German enterprises are developingtheir activities and sales in the Wielkopolska region in Poland, in particular to investigate how they perform in terms of sales volume, what the drivers of their growth on the foreign market are, what constitutes the Wielkopolska region, and what the barriers to their growth are. Research Design & Methods: The qualitative research method, in particular the multiple case study approach. The research covers 12 firms and was conducted using the direct interview method. Findings: We found that German firms functioning in Wielkopolska have extraordinary growth rates, over 20% per year, substantially higher than those achieved in Germany, that they did not follow the classical Uppsala model of internationalisation, and that their main sources of growth are their high quality, employees, and innovativeness in combination with the fast growing market of a less developed economy. Implications & Recommendations: The study suggests that in order to reduce or eradicate the barriers to growth of German firms in Wielkopolska, the appropriate authorities should care more about the higher stability and good enforcement of the law and political stability in Poland’s eastern neighbour – Ukraine. Contribution & Value Added: The research contributes to the development of knowledge on the functioning of German firms’ growths rates in Wielkopolska and factors enhancing and impeding their growth on the practical and theoretical level.

Keywords

• internationalisation
• investment
• enterprises
• growth factors
• growth barriers