Coping with Risk in the Internationalization of SMEs

Although risk has received considerable attention in the internationalization literature, many aspects still remain under-researched. The aim of this study is to examine how the risk associated with internationalization is being handled in small and medium-sized enterprises as well as how managerial perceptions influence risk accommodation. Semi-structured interviews were used to explore experiences of a group of international Danish SMEs. Findings show that SMEs follow dfferent strategies of coping with risk and uncertainty in the internationalization process depending on key decision maker's subjective assessment of the risks associated with international activities and the controllability of these risks.