Navigating Turbulent Waters : Exploring SME strategies for internationalization amidst Global Bank Crisis

Abstract: The global bank crisis between 2008 and 2013 posed a great threat against many organizations globally, especially towards small-medium enterprises (SMEs), which several researchers have investigated through quantitative studies. However, few studies have explored the strategic decisions made by SMEs regarding internationalization processes and international work during this time, beyond numbers. Based on previous research, this qualitative study aims to examine and provide insights on the impact of the bank crisis on strategies and processes used by Swedish SMEs during the crisis. Through a multiple case study approach, seven semi-structured interviews with Swedish SMEs in different industries were conducted. This was followed by theories, models and frameworks related to internationalization motives and processes, risk management and crisis management. The findings revealed limited information on strategies used by SMEs during the crisis, however, much of the empirical material could be related to and identified in the presented theory. The observed SMEs demonstrated remarkable resilience, exhibiting minimal vulnerability to the crisis – an interesting discovery considering previous research. Moreover, they underscored the significance of maintaining a financial buffer and maintaining a keen awareness of global circumstances, to avoid potential future crises. Additionally, several new aspects of the initial topic emerged during the interviews; transparency, exchange rates, cost management, and business relations, which could be of interest for future research. The thesis explains the impact of the bank crisis on the examined SMEs, delving into the key strategies and processes used to sustain international operations. This research offers valuable insights to both academics and industry professionals on how to navigate turbulent waters as a Swedish SME during a global bank crisis.