Limits of I-models Principles Application on Czech SMEs'’ Internationalization Process

Abstract

Internationalization process of small and medium sized enterprises is examined often in an effort to get detailed description of particular stages of this process. There are many authors who deal with the internationalization process theories. The most popular theory is so-called Uppsala Model (Johanson, Vahlne, 1977). Very popular is also a group of models based on theory of innovations, called I-models (Bilkey, Tesar, 1977). These models are based on the idea that the process of internationalization is gradual, sequential process built on innovative decisions relating to new company’s needs, possibilities or new resources. The aim of this paper is to apply I-models principles on the internationalization process of Czech SMEs. There were processed data from the survey conducted in 2009-2012. The data were obtained from 385 Czech SMEs operating in the field of engineering, constructing, wood processing industry, food industry and viticulture. To apply the basic principles of the I-models to internationalization process of Czech SMEs it was necessary to determine if there are so-called Born Globals which deny the I-model’s internationalization theories. It was necessary to examine motives of internationalization of Czech SMEs, to prove dependency between the number of years on the market and proactivity/reactivity of the motives for entering foreign markets. Processing obtained data did not enable to unequivocally confirm that the basic principles forming a keystone of the I-models are functional in the internationalization process of Czech SMEs.

Keywords

• I-models
• limits
• application
• SME's
• internationalization process
• internationalization