Preliminary Insights into SMEs Opportunities and Vulnerabilities in the European Context. A Qualitative Approach

Authors

  • Elena - Mădălina VĂTĂMĂNESCU National University of Political Studies and Public Administration
  • Elena-Alexandra GORGOS National University of Political Studies and Public Administration
  • Vlad-Andrei ALEXANDRU University of Insubria

Abstract

The current study aims to theoretically investigate the opportunities and vulnerabilities apposite for the small and medium-sized enterprises (SMEs), insisting on the internationalization conditions, and to empirically explore the European initiatives meant to support the SMEs in their various endeavors, from accessing relevant knowledge to deploying successful operations in foreign markets. To this end, a qualitative research was conducted through the case study method. Over 10 European initiatives were described and more than 20 relevant documents available on official European websites were analyzed. The underlying assumption for conducting this study resided in the fact that a better understanding of the European context describing SMEs performance would provide valuable insights to the actors interested in their future business activity, specifically in their cross-border projects and operations. Moreover, a refined outlook would enlarge their vision of the existing opportunities and thus catalyze the process of converting current challenges into positive results.

References

Baxter, P., & Jack, S. (2008). Qualitative Case Study Methodology: Study Design and Implementation for Novice Researchers. The Qualitative Report, 13(4), 544-559. Retrieved from http://nsuworks.nova.edu/tqr/vol13/iss4/2.

Bergthaler, W., Kang, K., Liu, Y, & Monaghan, D. (2015). Tackling Small and Medium Sized Enterprise Problem Loans in Europe. IMF Staff Discussion Note, March 2015, European Department, Legal Department, and Monetary and Capital Markets Department.

Çakmak, Z., & Akgün. I.H. (2018). A Theoretical Perspective on the Case Study Method. Journal of Education and Learning, 7(1), 96-102. Retrieved from http://doi.org/10.5539/jel.v7n1p96.

Cannon, J.P., & Perreault Jr., W.D. (1999). Buyer-Seller Relationships in Business Markets. Journal of Marketing Research, 36(4), 439-460.

Consiliul National al Intreprinderilor Private Mici si Mijlocii din Romania (The National Council of private SMEs in Romania) (2018). Retrieved from http://cnipmmr.ro/.

Crals, E., & Vereeck, L. (2005). The affordability of sustainable entrepreneurship certification for SMEs. International Journal of Sustainable Development and World Ecology, 12(1), 173–183.

Creswell, J.W. (2003). Research design: Qualitative, quantitative, and mixed method approaches (2nd ed.). Thousand Oaks, California: Sage Publications Inc.

Crowe, S., Cresswell, K., Robertson, A., Huby, G., Avery, A., & Sheikh, A. (2011). The case study approach. BMC Medical Research Methodology, 11, 100. Retrieved from http://www.biomedcentral.com/1471-2288/11/100.

Darke, P., Shanks, G., & Broadbent, M. (1998). Successfully completing case study research: combining rigour, relevance and pragmatism. Information Systems Journal, 8(4), 273-289.

Das, S.S., & Das, A. (2014). India shining? A two-wave study of business constraints upon micro and small manufacturing firms in India. International Small Business Journal, 32(2), 180-203.

Dimitratos, P., Johnson, J.E., Plakoyiannaki, E., & Young, S. (2016). SME Internationalization: How Does the Opportunity-Based International Entrepreneurial Culture Matter?. International Business Review, 25(6), 1211-1222.

Eisenhardt, K.M., & Graebner, M.E. (2007). Theory building from cases: Opportunities and challenges. Academy of Management Journal, 50(1), 25-32.

European Commission (2013). Study on Support Services for SMEs in International Business. Final Report, DG Enterprise and Industry Rotterdam, March 22, 2013. The European Competitiveness and Sustainable Industrial Policy Consortium. Retrieved from http://ec.europa.eu/DocsRoom/documents/9126/attachments/1/translations.

European Commission (2014). How to support SME Policy from Structural Funds. Supporting the Internationalisation of SMEs. Retrieved from http://ec.europa.eu/enterprise/policies/sme/market-access/index_en.htm.

European Commission (2015). Report on the public consultation on the “New SME Policy”. Retrieved from http://ec.europa.eu/DocsRoom/documents/8986/attachments/1/translations.

European Commission (2017a). Study about administrative formalities of important procedures and administrative burdens for businesses, Final report, Ecorys Netherlands & Mazars. Directorate-General for Internal Market, Industry, Entrepreneurship and SMEs Directorate E - Modernisation of the Single Market. Retrieved from https://ec.europa.eu/growth/content/study-about-administrative-formalities-important-procedures-and-administrative-burdens-0_en.

European Commission (2017b). Overview of EU instruments contributing to the internationalisation of European Businesses. Retrieved from http://ec.europa.eu/DocsRoom/documents/21750.

European Commission (2017c). Evaluation roadmap: Interim Evaluation of the Programme for the Competitiveness of Enterprises and small and medium-sized enterprises (COSME). Retrieved from http://ec.europa.eu/smartregulation/roadmaps/docs/plan_2016_223_cosme_mid_term_ evaluation_en.pdf.

European Commission (2018a). Retrieved from https://ec.europa.eu/growth/industry/international-aspects_en.

European Commission (2018b). Retrieved from https://ec.europa.eu/growth/smes/access-to-markets/internationalisation_en.

European Commission (2018c). Retrieved from https://ec.europa.eu/growth/smes/access-to-markets_en.

European Commission (2018d). Retrieved from https://ec.europa.eu/growth/smes/support/networks_en.

European Commission (2018e). The Small Business Act for Europe. Retrieved from https://ec.europa.eu/growth/smes/business-friendly-environment/small-business-act.

European Commission (2018f). Retrieved from https://een.ec.europa.eu/about/branches/romania.

European Commission (2018g). Erasmus for Young Entrepreneurs. Retrieved from https://www.erasmus-entrepreneurs.eu/page.php?pid=057.

European Commission (2018h). Erasmus for Young Entrepreneurs. Retrieved from http://ec.europa.eu/growth/smes/support/.

European Commission (2018i). Retrieved from https://ec.europa.eu/growth/content/get-ready-eu-industry-days-2019-0_en.

European Commission (2018j). Press release database. Retrieved from http://europa.eu/rapid/press-release_IP-18-2763_en.htm.

European Commission (2018k). Retrieved from https://een.ec.europa.eu/content/international-partnerships-0.

European Commission (2018l). Retrieved from http://ec.europa.eu/programmes/horizon2020/en.

European Commission (2018m). Retrieved from https://ec.europa.eu/growth/content/european-innovation-scoreboard-2018-europe-must-deepen-its-innovation-edge_en.

European Commission (2018n). The European Innovation Scoreboard report, 2018 – European Innovation Scoreboard. Retrieved from https://ec.europa.eu/docsroom/documents/30281.

European Commission (2018o). Retrieved from http://ec.europa.eu/growth/industry/policy/cluster/internationalisation_en.

European Commission (2018p). Retrieved from https://ec.europa.eu/growth/smes/access-to-markets/internationalisation/support-tools_en.

European Investment Bank (2018). Retrieved from http://www.eib.org/en/projects/priorities/sme/index.htm.

Flyvbjerg, B. (2006). Five misunderstandings about case-study research. Qualitative Inquiry, 12(2), 219–245.

Garagorri, I. (2016). SME Vulnerability Analysis: A Tool for Business Continuity. In K. North, and G. Varvakis (Eds.), Competitive Strategies for Small and Medium Enterprises. Cham: Springer.

Giannacourou, M., Kantaraki, M., & Christopoulou, V. (2015). The Perception of Crisis by Greek SMEs and Its Impact on Managerial Practices. Procedia - Social and Behavioral Sciences, 175, 546-551.

Hampton, A., & Rowell, J. (2010). Leveraging Integrated Partnerships as a Means of Developing International Capability: An SME Case Study. International Journal of Knowledge, Culture and Change Management, 10(6), 19-30.

Hampton, A., & Rowell, J. (2013). An Evolution in Research Practice for Investigating International Business Relationships. Management Dynamics in the Knowledge Economy, 1(2), 161-178.

Hapenciuc, C.V., Pînzaru, F., Vătămănescu, E.-M., & Stanciu, P. (2015). Converging Sustainable Entrepreneurship and the Contemporary Marketing Practices. An Insight into Romanian Start-Ups. Amfiteatru Economic, 17(40), 938-954.

Harrison, H., Birks, M., Franklin. R., & Mills, J. (2017). Case Study Research: Foundations and Methodological Orientations. Forum: Qualitative Social Research, 18(1), Art. 19. Retrieved from http://nbn-resolving.de/urn:nbn:de:0114-fqs1701195.

Harvie, C. (2008). The role and contribution of SMEs to economic growth, development and integration in East Asia. Murdoch Business School Seminar at Murdoch University, South Street, Western Australia.

Herried, C.F. (2005). Using Case Studies to Teach Science. American Institute for Biological Sciences, Electronic Journal Website.

Hilmersson, M., & Papaioannou, S. (2015). SME international opportunity scouting - empirical insights on its determinants and outcomes. Journal of International Entrepreneurship, 13(3), 186-211.

Humphrey, J. (1995). Special issue on industrial organization and manufacturing competitiveness in developing countries. World Development, 23(1), 1-7.

Humphrey J., & Schmitz H. (2002). How does insertion in global value chains affect upgrading industrial clusters?. Regional Studies, 36(9), 1017-1027.

Hyett, N., Kenny, A., & Dickson-Swift, V. (2014). Methodology or method? A critical review of qualitative case study reports. International Journal of Qualitative Studies on Health and Well-being, 9(1), 23606.

Kadlec, P., & Mareš, M. (2003). B2B eCommerce Opportunity for SMEs. Systems Integration, 537-544. Retrieved from https://www.researchgate.net/publication/228594721.

Karadag, H. (2016). The Role of SMEs and Entrepreneurship on Economic Growth in Emerging Economies within the Post-Crisis Era: An Analysis from Turkey. Journal of Small Business and Entrepreneurship Development, 4(1), 22-31.

Klapper, L., & Love, I. (2011). The impact of business environment reforms on new firm registration. Retrieved from http://siteresources.worldbank.org/INTFR/Resources/Klapper_Love_Feb14_12.pdf.

Kwaak, T., Clarke, M., Mikolajun, I., & Raga Abril, C. (2017). Survey on the access to finance of enterprises (SAFE). Directorate-General for Internal Market, Industry, Entrepreneurship and SMEs. Luxembourg: Publications Office of the European Union, 2017.

Le Ray, J. (2006). Gérer les risques – Pourquoi? Comment?. La Plaine Saint Denis Cedex: Afnor Editions.

Majocchi, A., & Zucchella, A. (2003). Internationalisation and Performance – findings from a Set of Italian SMEs. International Small Business Journal, 21(3), 249-268.

McDonough, J., & McDonough, S. (1997). Research Methods for English Language Teachers. London: Arnold.

McLeod, J. (2010) Case Study Research in Counselling and Psychotherapy. London: Sage.

Miles, R. (2015). Complexity, representation and practice: Case study as method and methodology. Issues in Educational Research, 25(3), 309-318.

Navas-Aleman, L., & Guerrero, T. (2016). Procurement practices and SMEs in global supply chains: what do we know so far?. A literature review. Geneva, Switzerland, International Labour Organization 2016. Retrieved from https://www.ilo.org/wcmsp5/groups/public/---ed_emp/---emp_ent/---ifp_seed/documents/publication/wcms_486227.pdf.

Nicolescu, L., & Nicolescu, C. (2016). The Evolution of the Romanian SMEs' Perceptions Over the Last Decade. In Nicolescu, O., & Lloyd-Reason, L. (Eds.). Challenges, Performances and Tendencies in Organisation Management (pp.261-271). Singapore: World Scientific Publishing.

Pauw, W.P., & Chan, S. (2018). Multistakeholder partnerships for adaptation: the role of micro, small and medium enterprises. Retrieved from https://www.researchgate.net/publication/324747626.

Păduraru, T., Vătămănescu, E.-M., Andrei, A.G., Pînzaru, F., Zbuchea, A., Maha, L.G., & Boldureanu, G. (2016). Sustainability in Relationship Marketing: An Exploratory Model for the Industrial Field. Environmental Engineering and Management Journal, 15(7), 1635-1647.

Saoudi, L., & Foliard, S. (2017). Entrepreneurial Approach in SMEs: Specificities, Vulnerabilities and Risks. In C. Bérard, and C. Teyssier (Eds.), Risk Management: Lever for SME Development and Stakeholder Value Creation (pp.211-232). Retrieved from https://onlinelibrary.wiley.com/doi/abs/10.1002/9781119475002.ch11.

Senik, Z.C., Isa, R.M., Sham, R.M., & Ayob, A.H. (2014). A Model for Understanding SMEs Internationalization in Emerging Economies. Journal Pengurusan, 41(2014), 25-42.

Smallbone, D., Welter, F., & Ateljevic, J. (2013). Entrepreneurship in emerging market economies: Contemporary issues and perspectives. International Small Business Journal. Retrieved from

http://citeseerx.ist.psu.edu/viewdoc/download?doi=10.1.1.913.1566&rep=rep1&type=pdf.

Soto-Acosta, P., Cismaru, D.-M., Vătămănescu, E.-M., & Ciochină, R.S. (2016). Sustainable Entrepreneurship in SMEs: A Business Performance Perspective. Sustainability, 8(4), 342.

Starman, A.B. (2013). The case study as a type of qualitative research. Journal of Contemporary Educational Studies, 1(1), 28-43.

Stake, R.E. (2006). Multiple case study analysis. New York: Guilford.

Vătămănescu, E.-M., Pînzaru, F., Andrei, A.-G., & Alexandru, V.-A. (2014). Going International Versus Going Global. The Case of the European Steel Pipe SMEs. Review of International Comparative Management, 15(3), 360-379.

Vătămănescu, E.-M., Alexandru, V.-A., & Gorgos, E.-A. (2014). The Five Cs Model of Business Internationalization (CMBI) – a preliminary theoretical insight into today’s business internationalization challenges. In Brătianu, C., Zbuchea, A., Pînzaru, F., & Vătămănescu, E.-M. (Eds.), Strategica. Management, Finance, and Ethics (pp.537-558). Bucharest: Tritonic.

Vătămănescu E.-M., Alexandru, V.-A., & Andrei A.G. (2015). The relational leader. A preliminary framework for corporate intercultural accommodation. In Brătianu, C., Zbuchea, A., Pînzaru, F., Vătămănescu, E.-M., & Leon, R.D. (Eds.), Strategica. Local versus Global (pp.303-312). Bucharest: Tritonic.

Vătămănescu, E.-M., Andrei, A.-G., Leovaridis, C., & Dumitriu, L.-D. (2015). Exploring network-based intellectual capital as a competitive advantage. An insight into European universities from developing economies. In Cegarra Navarro, J.G. (Ed.), Proceedings of the 7th European Conference on Intellectual Capital ECIC 2015 (pp.350-358). Reading, UK: Academic Conferences and Publishing International Limited.

Vătămănescu E.-M., Alexandru, V.-A., & Treapăt, L.-M. (2016a). A five Dimension Framework for International Business Relationships the B2B Approach. In K.S. Soliman (Ed.), Proceedings of the 28th International Business Information Management Association Conference. Vision 2020: Innovation Management, Development Sustainability, and Competitive Economic Growth (pp.385-395). Norristown: International Business Information Management Association.

Vătămănescu, E.-M., Andrei, A.G., Dumitriu, D.-L., & Leovaridis, C. (2016b). Harnessing network-based intellectual capital in online academic networks. From the organizational policies and practices towards competitiveness. Journal of Knowledge Management, 20(3), 594-619.

Vătămănescu E.-M., Zbuchea, A., Pînzaru, F., & Andrei, A.G. (2016c). The Impact of Relational Capital on SME Internationalization. Leveraging Online Versus Offline Business Networking. In Moffett, S., & Galbraith, B. (Eds.), Proceedings of the 17th European Conference on Knowledge Management (pp.926-935). Reading, UK: Academic Conferences and Publishing International Limited.

Vătămănescu, E.-M., Pînzaru, F., Andrei, A.G., & Zbuchea, A. (2016). Investigating SMEs sustainability with partial least squares structural equation modeling. Transformations in Business & Economics (TIBE), 15(3), 259-273.

Vătămănescu, E.-M., Andrei, A.G., Nicolescu, L., Pînzaru, F., & Zbuchea, A. (2017). The Influence of Competitiveness on SMEs Internationalization Effectiveness. Online versus Offline Business Networking. Information Systems Management, 34(3), 205-219.

Vătămănescu E.-M., & Alexandru, V.-A. (2018). Beyond Innovation: The Crazy New World of Industrial Mash-ups. In Vătămănescu, E.-M., & Pînzaru, F. (Eds.), Knowledge Management in the Sharing Economy - Cross-Sectoral Insights into the Future of Competitive Advantage (pp.271-285). Cham: Springer International Publishing.

Vătămănescu, E.-M., Andrei, A.G., Gazzola, P., & Dominici, G. (2018). Online Academic Networks as Knowledge Brokers: The Mediating Role of Organizational Support. Systems, 6, 11.

Vissak, T. (2010). Recommendations for Using the Case Study Method in International Business Research. The Qualitative Report, 15(2), 370-388. Retrieved from http://www.nova.edu/ssss/QR/QR15-2/vissak.pdf.

Vlajic, J.V. (2015). Vulnerability and robustness of SME supply chains: An empirical study of risk and disturbance management of fresh food processors in a developing market. In R. Bhamra (Ed.), Organisational Resilience: Concepts, Integration, and Practice (pp.85-102). CRC press, Taylor and Francis.

Wedawatta, G., Ingirige, B., Jones, K., & Proverbs, D. (2011). Extreme Weather Events and Construction SMEs: Vulnerability, Impacts and Responses. Structural Survey, 29(2), 106-119.

Welch, C., Piekkari, R., Plakoyiannaki, E., & Paavilainen-Mäntymäk, E. (2011). Theorising from case studies: Towards a pluralist future for international business research. Journal of International Business Studies, 42(5), 740-762.

Widdowson, M. (2011). Case Study Research Methodology. International Journal of Transactional Analysis Research, 2(1), 25-34.

Wyer, P., & Smallbone, D. (1999). Export activity in SMEs: a framework for strategic analysis. Journal of Academy of Business Administration, 4(2), 9-24.

Yin, R. K. (1994). Case study research design and methods. London: Sage.

Yin, R. K. (2003). Case study research: Design and methods (3rd ed.). Thousand Oaks, CA: Sage.

Zainal, Z. (2007). Case study as a research method. Jurnal Kemanusiaan, 9, 1-6. Retrieved from

http://psyking.net/htmlobj

Downloads

Published

2018-09-29

How to Cite

VĂTĂMĂNESCU, E. .-. M., GORGOS, E.-A., & ALEXANDRU, V.-A. (2018). Preliminary Insights into SMEs Opportunities and Vulnerabilities in the European Context. A Qualitative Approach. Management Dynamics in the Knowledge Economy, 6(3), 385–404. Retrieved from https://www.managementdynamics.ro/index.php/journal/article/view/274

Issue

Section

Articles