Get digitalized or die trying : A qualitative study of how digitalization affect Swedish SMEs with Chinese business partners

Abstract: Purpose: The aim of the study is to explore how the digitalization has affected international business relations, with a focus on Swedish and Chinese relationships. This will be studied through a qualitative study of Swedish SMEs with Chinese partners within the manufacturing industry, but also through interviews with Business Sweden and Swedish Chamber of Commerce for an objective approach. Research Questions: The main research question is: How does digitalization affect Swedish SMEs business relations with Chinese partners in the manufacturing industry? The subquestion is: Which positive and negative aspects does the digitalization bring? Methodology: This thesis is a qualitative study conducted with an abductive approach. A multi-case study design was applied, researching four Swedish SMEs and two objective organizations. Conclusions: After accomplishing this research, we were able to draw the conclusion that Swedish SMEs with Chinese business partners are affected by the digitalization on many levels. Areas mainly affected by the digital development are the communication methods and work tasks. The positive outcomes are opportunities to save money and time, as well as maintaining frequent communication which can increase trustworthiness. The negative outcomes are the decreased personal interactions and the risk of sharing sensitive information, because of the fact that information is stored on digital devices.