THE IMPACT EVALUATION OF INTERNATIONAL ETHNIC TIES ON INDUSTRIAL COMPANIES’ OPPORTUNITY EXPLOITATION WHEN ENTERING FOREIGN MARKETS

Abstract

The effect of international ethnic communities on international opportunity exploitation of Wenzhou industrial SMEs is examined. The following hypotheses are tested: the hypothesis on the connection between international ethnic ties and international opportunity exploitation; the hypothesis on the mitigation of “liability of foreignness” effects through the international ethnic ties; and finally, the hypothesis of the impact on export barriers. Results of the empirical study, in general, support the derived hypotheses.

Keywords

• international ethnic ties
• opportunity exploitation
• liability of foreignness
• export barriers
• wenzhou