Enlighten Publications

In this section

Understanding the internationalisation motivation and franchising strategy: a study of an Indonesian street food SME in Malaysia

Khansa, F., Blanes, R. and Mohaidin, Z. (2022) Understanding the internationalisation motivation and franchising strategy: a study of an Indonesian street food SME in Malaysia. Journal of Islamic, Social, Economics and Development, 7(47), pp. 1-11. (doi: 10.55573/JISED.074701)

Text
286056.pdf - Published Version
182kB

Abstract

This paper is the findings from a study that explores the internationalisation motivation and process, including models, the country selection and franchise strategy, as well as the critical success factors of Indonesian street food SME in Malaysia. The emergence of SMEs in developing countries is a contributing driver of economic development and employment. Malaysia as a neighbouring country has a very similar character of society and culture becomes the first country for an Indonesian business that wants to expand internationally. The purpose of this research is to provide a framework to create a clear understanding about the internationalisation motivation and franchising strategy of Indonesian street food SME in Malaysia. The data were collected from a single case study of Kebab Turki Baba Rafi, an Indonesian street food SME that has successfully expanded internationally to nine countries with more than 1200 outlets. The result shows that market seeking is the main motivation for Kebab Turki Baba Rafi in internationalising to Malaysia. The company adopts a network approach and chooses the franchise strategy as the entry mode strategy to Malaysia to minimise risks. The company has particular criteria in selecting the destination country for internationalisation and its master franchisee.

Item Type:	Articles
Keywords:	Internationalisation motivation, internationalisation process, franchise, international business, SME, Indonesian SME, Malaysian SME.
Status:	Published
Refereed:	Yes
Glasgow Author(s) Enlighten ID:	Blanes, Dr Ramona
Authors:	Khansa, F., Blanes, R., and Mohaidin, Z.
Subjects:	H Social Sciences > H Social Sciences (General) H Social Sciences > HF Commerce
College/School:	College of Social Sciences > Adam Smith Business School > Management
Journal Name:	Journal of Islamic, Social, Economics and Development
Journal Abbr.:	JISED
Publisher:	Academic Inspired Network
ISSN (Online):	0128-1755
Copyright Holders:	Copyright © The Author(s) 2022
First Published:	First published in Journal of Islamic, Social, Economics and Development 7(47): 1-11
Publisher Policy:	Reproduced with permission from the publisher
Related URLs:	Publisher

University Staff: Request a correction | Enlighten Editors: Update this record

References

Agarwal, S., & Ramaswami, S. N. (1992). Choice of Foreign Market Entry Mode: Impact of Ownership, Location and Internalization Factors. Journal of International Business Studies, 23(1), 1-27. doi:10.1057/palgrave.jibs.8490257 Andersen, O. (1993). On the Internationalization Process of Firms: A Critical Analysis. Journal of International Business Studies, 24(2), 209-231. doi:10.1057/palgrave.jibs.8490230 Beck, T., Demirguc-Kunt, A., & Levine, R. (2005). SMEs, Growth, and Poverty: Cross Country Evidence. Journal of Economic Growth, 10(3), 199-229. doi:10.1007/s10887- 0053533-5 Brouthers, K. D., & Nakos, G. (2004). SME Entry Mode Choice and Performance: A Transaction Cost Perspective. Entrepreneurship Theory and Practice, 28(3), 229-247. doi:10.1111/j.1540-6520.2004.00041.x Buchan, J. (2014). Deconstructing the Franchise as a Legal Entity: Practice and Research in International Franchise Law. Journal of Marketing Channels, 21(3), 143-158. doi:10.1080/1046669x.2014.917015 Calof, J. L., & Beamish, P. W. (1995). Adapting to Foreign Markets: Explaining Internationalization. International Business Review, 4(2), 115-131. doi:10.1016/09695931(95)00001-g Coviello, N. E., & Munro, H. J. (1995). Growing the Entrepreneurial Firm. European Journal of Marketing, 29(7), 49-61. doi:10.1108/03090569510095008 Fletcher, R. (2008). The Internationalisation from a Network Perspective: A Longitudinal Study. Industrial Marketing Management, 37(8), 953-964. doi:10.1016/j.indmarman.2007.09.008 Frels, R. K., & Onwuegbuzie, A. J. (2013). Administering Quantitative Instruments with Qualitative Interviews: A Mixed Research Approach. Journal of Counseling & Development, 91(2), 184-194. doi:10.1002/j.1556-6676.2013.00085.x Hill, C. W., Hwang, P., & Kim, W. C. (1990). An Eclectic Theory of the Choice of International Entry Mode. Strategic Management Journal, 11(2), 117-128. doi:10.1002/smj.4250110204 Jones, M., Young, S., Dimitratos, P., & Fletcher, M. (2009). Internationalization, Entrepreneurship and the Smaller Firm. doi:10.4337/9781848447363 Laufs, K., & Schwens, C. (2014). Foreign Market Entry Mode Choice of Small and MediumSized Enterprises: A Systematic Review and Future Research Agenda. International Business Review, 23(6), 1109-1126. doi:10.1016/j.ibusrev.2014.03.006 Noy, C. (2008). Sampling Knowledge: The Hermeneutics of Snowball Sampling in Qualitative Research. International Journal of Social Research Methodology, 11(4), 327344. doi:10.1080/13645570701401305 Pangarkar, N. (2008). Internationalization and Performance of Small- and Medium-Sized Enterprises. Journal of World Business, 43(4), 475-485. doi:10.1016/j.jwb.2007.11.009 Phillips McDougall, P., Shane, S., & Oviatt, B. M. (1994). Explaining the Formation of International New Ventures: The Limits of Theories from International Business Research. Journal of Business Venturing, 9(6), 469-487. doi:10.1016/0883-9026(94)90017-5 Pissarides, F. (1999). Is Lack of Funds the Main Obstacle to Growth? EBRD's Experience with Small- and Medium-Sized Businesses in Central and Eastern Europe. Journal of Business Venturing, 14(5-6), 519-539. doi:10.1016/s0883-9026(98)00027-5 Rosado-Serrano, A., Paul, J., & Dikova, D. (2018). International Franchising: A Literature Review and Research Agenda. Journal of Business Research, 85, 238-257. 11 Volume: 7 Issues: 47 [September, 2022] pp. 1 - 11 Journal of Islamic, Social, Economics and Development (JISED) eISSN: 0128-1755 Journal website: www.jised.com DOI: 10.55573/JISED.074701 Ruzzier, M., Hisrich, R. D., & Antoncic, B. (2006). SME Internationalization Research: Past, Present, and Future. Journal of Small Business and Enterprise Development, 13(4), 476- 497. Tambunan, T. (2007). Entrepreneurship Development: SMEs in Indonesia. Journal of Developmental Entrepreneurship, 12(01), 95-118. Thomas, D. R. (2006). A General Inductive Approach for Analyzing Qualitative Evaluation Data. American Journal of Evaluation, 27(2), 237-246. Wang, Y. (2016). What are the Biggest Obstacles to Growth of SMEs in Developing Countries? – An Empirical Evidence from an Enterprise Survey. Borsa Istanbul Review, 16(3), 167- 176. Welch, L. S. (1992). The Use of Alliances by Small Firms in Achieving Internationalization. Scandinavian International Business Review, 1(2), 2. Zain, M., & Ng, S. I. (2006). The Impacts of Network Relationships on SMEs' Internationalization Process. Thunderbird International Business Review, 48(2), 183-205. Zhou, L., Wu, W., & Luo, X. (2007). Internationalization and the Performance of BornGlobal SMEs: The Mediating Role of Social Networks. Journal of International Business Studies, 38(4), 673-690.

Deposit and Record Details

ID Code:	286056
Depositing User:	Dr Ramona Blanes
Datestamp:	28 Nov 2022 11:48
Last Modified:	29 Nov 2022 09:39
Date of acceptance:	3 June 2022
Date of first online publication:	1 September 2022
Date Deposited:	27 November 2022
Data Availability Statement:	No