The internationalization of small to medium-sized enterprises : do all levels in international networking matter?

Purpose: The purpose of this study was to investigate whether each level in international networking (network extension, network penetration and network integration) matters in the internationalization of small to medium-sized enterprises (SMEs). Design/methodology/approach: The study adopted a cross-sectional and correlational research design. The data were collected through a questionnaire survey of 206 exporting SMEs in Uganda. The study employed a structural equation modelling (SEM) technique using partial least square (PLS) to test the hypothesis. Findings: The findings revealed that network extension and network integration do matter in SMEs’ internationalization, while network penetration does not. Practical implications: SMEs in developing countries need to concentrate on network extension and network integration levels to successfully internationalize their operations. Originality/value: The study provides initial evidence on whether network extension, network penetration and network integration matter in SMEs’ internationalization in developing countries like Uganda.