Management Summary Research Study “Navigating Global Markets: The Role of Enterprise Risk Management and Human Resource Management in SME International Expansions”

Because SMEs lack the financial and human resources needed for internationalization, they face more obstacles than large enterprises. In this respect, their internal risk management capabilities based on the Resource-based View (RBV) theory could help them overcome the barriers to internationalization.

The aim of this study is to investigate the positive impact of internal/controllable risk management capabilities, such as strategic, operational and HR risk management capabilities, on SMEs’ export intention.

The research uses random sampling method and shares an online questionnaire with the survey respondents. It includes research samples of Czech, Slovak and Hungarian SMEs. The effect of enterprise risk management capabilities on export performance was analyzed using binary logistic regression analysis.

While personnel risk management does not affect SMEs’ export plans, strategic risk management and operational risk management positively affect their export intentions depending on the countries where they are located. Therefore, there are international differences in the impact of strategic and operational risk management capabilities on SME export plans. This paper provides a more comprehensive approach to internal/controllable risk management and examines the impact of this construct on internationalization. A comparison of countries in this specific influence has been made only in this study. In addition, the construct of managing internal/controllable risk factors is also associated with the dynamic capability of RBV only in this paper.

Target groups of stakeholders: managers, entrepreneurs, academics

Citation: Kuděj, M., Civelek, M., Erben, M., Masárová, J., & Kubálek, J. (2023). Navigating global markets: The role of enterprise risk management and human resource management in SME international expansions. Equilibrium. Quarterly Journal of Economics and Economic Policy, 18(4), Article 4. https://doi.org/10.24136/eq.2023.034

Source: https://journals.economic-research.pl/eq/article/view/2735/2169