The Impact of Resources on Small Firm Internationalization
Theory posits that resource type and composition determine a firm's geographic scope. To date, few studies test this premise. This article compares resource profiles of internationalized and non-internationalized small firms, then examines the impact of five types of resources on their internationalization strategies. Results show that resource profiles differ between internationalized and non-internationalized firms, and that social and financial resources are more important than human resources for small firms pursuing an internationalization strategy. For firms selling a greater variety of international products, achieved owner founder attributes need to be strong. Small firm managers should build a solid social network and develop international competencies if they plan to internationalize.