Internationalisering med entry mode i fokus – en fallstudie av Zero Belysningar

Title: Internationalization with entry mode in focus ‐ a case study of Zero Belysningar Course/course code: 2FE03E ‐15 hp. Bachelor thesis Authors: David Gustafsson 870926, Emmie Thurn 880909, Jasenko Arsenovic 890119 Purpose: The purpose with this study is to examine various factors that affect small businesses in the choice of entry mode. In order to answer the problem formulation, the authors have chosen to use an case company, where its situation will be used to investigate a Swedish small firms' choice of entry mode for expansion into Norway. Method: This qualitative study was based upon hermeneutical assumptions and carried out by an inductive research approach. Various interviews and reviews of documents have been used to collect data. Conclusion: The investigation revealed that several factors influence the choice of entry mode. The authors have found that factors of attractiveness, external pressures and cultural differences, politics and laws, past experience, target market and target audience, competition and new entrants, substitutes, customers' and suppliers' power, its size and expertise and resources have an impact on Swedish small firms' choice of entry mode. Which entry mode a Swedish small business should choose depends largely on the resources and competences it holds and how the host‐country’ structure looks like. The authors find that there is no general entry mode for all small businesses. The survey also reveals that significant strengths for a small business is high service quality, differentiated quality products, unique internal competence and flexibility. Its major weakness is that they are not developed in LED technology, distorted picture of the market, high prices and long delivery times. Possible opportunities are submarkets growth potential, small cultural differences and legal restrictions and development in LED technology. There are threats from new entrants, small player, price sensitive market and the difference in language and consumer behavior. Keywords: Entry mode, SME, Porters Five Forces, Resource Based View, SWOT‐analysis.