The paper aims to study the influence of the institutional environment on the international expansion of SMEs from China; the study is based on 134 SMEs operating in Jiangsu Province, China. Data from these companies were analysed using multivariate regressions, and the models used the firms’ export intensity as dependent variables. Seven models were run for the following variables, limited access to financial resources, inefficiencies in logistics and distribution in the home market, transport and insurance costs and payment collection methods, assistance from the government, adverse regulatory framework, state ownership, and public procurement. The results show that access to financial resources, distribution inefficiencies, payment methods, and exchange rates influence the internationalisation of Jiangsu’s SMEs. The paper concludes with an analysis of these findings compared with those in previous works.

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IE Business School
Incae Business School

Cardoza, G, Fornes, G., & Xu, N. (2013). Institutional Factors of SMEs’ Internationalization in Transition Economies. IE Business School.