Digitalization as a tool in advanced business services’ SMEs’ internationalization

Abstract: This thesis focuses on the manner digital technologies integrated in ABS SMEs enable internationalization and further, their influence on the choice of a cross-border entry mode of the firm. Aiming better understanding of the subject, a research question related to the ABS SMEs’ usage of digital technologies and triggers to internationalization, cross-border entry modes and factors related was formulated. The empirical data consist of eight case studies of ABS SMEs operating in Europe among which seven SMEs are established in Sweden and one in Estonia. The findings show that the usage of digital technologies and higher digital maturity trigger internationalization. Thus, the inexpensive solutions enabled by the usage of digital technologies together with the SMEs limited resources related to their small size encourages the ABS SMEs to adopt less expensive and uncomplicating entry modes, most often some form of non-equity cross-border mode.