Research On International Market Entry Mode Choice For The Small And Medium Enterprises

Along with speeding up of the globalization of world economy, more and more Chinese enterprises are stepping on the road of internationalization. When talking about internationalization, the foreign market entry mode choice is critical for an enterprise to go into the international market. Unfortunately, most literatures at present are focusing on the huge multinational corporations (MNCs) from developed countries. On the contrary, the attentions on small and medium chemical enterprises (SMCEs) are seldom. Chemical Industry is a quite important assistant industry of our economy, even so, many chemical enterprises are of small scale and scattered, the degree of centralization is low, many equipments can't reach scale of economy, chemical products that exported lie at the bottom of value chain. So they can't adapt to the market easily, even worse, they compete to reduce the price, which caused a phenomenon that the frequency of export is increasing, but the total amount of increase is limited. Based on these factors, the research on SMCEs' foreign market entry mode choice is quite meaningful. Because it can help SMCEs to fully use various opportunities of the globalization, better the development of chemical industry. This thesis tried to examine the feature of entry mode choice made by Chinese SMEs, especially SMEs in chemical industry. Firstly, we give an overview of the literatures about the foreign market entry mode. analyze characteristics of entry mode choice by SMEs. Then we put forward an entry mode choosing method suitable for SMEs. After research ,we finally found out the suitable foreign market entry mode for SMCEs of Western China is Exporting.