Chinese Internationalization in Sweden : A Multiple Case Study of Greenworks Tools and Silex Microsystems

Abstract: Background: Companies from developed economies have pursued various outward foreign direct investment strategies for as long as there has been trade. Research on the topic has been covering most available aspects of the phenomenon. In recent decades, however, firms from emerging economies have started to find their way to the international market, and the traditional theories of internationalization have appeared to be not as comprehensive as they were thought to be.   Purpose: This thesis will explore the internationalization of Chinese firms into Sweden. It will more specifically look at the internationalization, as well as the differences and the connection with Chinese parent companies.   Method: By using a qualitative method and an abductive approach, the empirical data for this thesis was collected and interpreted. In this multiple case study, semi-structured interviews were performed with three managers at two Chinese companies in Sweden.   Conclusion: Chinese internationalization into Sweden is influenced by both push factors, such as government subsidies, and pull factors, such as market knowledge and technology. However, the observed Chinese firms in Sweden have different connection with their parent companies but the level of involvement is equally limited. The findings in this paper suggests that this is linked to the ownership structure and the mode of entry.