How do Swedish SMEs position themselves within international business networks to become “insiders”?

Abstract

This thesis investigates how Swedish SMEs strategically position themselves to become insiders within international business networks, overcoming barriers to internationalization in a globalized market. Although SMEs constitute the majority of EU businesses, many face challenges accessing foreign markets and expanding exports. The study emphasizes the vital role of building trust at both individual and organizational levels, actively participating in international trade fairs, conducting direct outreach, and leveraging digital tools to expand networks and strengthen capabilities. Strategic acquisitions also serve as effective means to gain market entry and competitive advantages. However, challenges such as becoming overly dependent on key partners and relying too much on digital tools at the expense of personal relationships should be taken into consideration. Navigating international regulations and maintaining clear agreements with partners is also essential to avoid misunderstandings and reduce risk. To address these issues, the thesis recommends a flexible, relationship-driven approach that combines technology and cultural adaptation while carefully managing risks. Building trust and strong network ties is essential for SMEs to successfully become insiders and achieve international growth.