Internationalization Strategies of African SMEs: The Role of Relational Governance of International Networks.

Sammanfattning: The purpose of this study was to examine the role and benefits of relational governance of international networks on the internationalization of Small and Medium-sized Enterprises in Africa. It explored the strategies used by African SMEs to scout, manage, and maintain their relationship with international networks and how these benefited their businesses. Four African SMEs were studied in this respect using qualitative methods and interviews as a means of data collection. Interviews were digitally conducted with the members of top management positions in these SMEs. Prior to this, a literature review was carried out on the subject matter to understand the context of the research. Data collected was analyzed using the qualitative content analysis method. Furthermore, the results of the study were presented followed by a discussion of findings that showed that relational governance has a positive impact on the internationalization of SMEs in Africa. Some of the SMEs started their internationalization by first exporting to neighboring countries and later to more distant markets. They also were seen to carry out some of their business transactions on a trust basis and manage their relationships in many ways to promote trust and commitment. This study further highlighted some theoretical contributions as it added to current literature and confirmed previously developed theories. Managerial contributions in terms of the availability of the knowledge on SMEs internationalization strategies to the SMEs as well as potential SMEs startups were also highlighted. Suggestions for further research is then proposed on replicating the study using bigger sample size, multiple sectors and not limiting the method of internationalization to only export.