International business networks through social media : case study of a cleantech SME

Abstract

The extensive use of digital technology, especially social media have fundamentally transformed the way we communicate, collaborate, consume, create, and share information. Social media are no longer platform used by individuals and consumers but also used by big, medium- as well as small-sized companies worldwide. Social media are nowadays a part of companies internationalization strategy because it allows companies to perform several business functions. However, there is a lack of research on understanding how SMEs can utilize social media in internationalization. Thus the objective of this research is to explore the importance of SM in SMEs' internationalization process. More specifically, the objective of the thesis is to examine how social media can be used as a network building channel or tool in SME's internationalization process.

The objectives of the research will be achieved through an intensive single case study research of an international cleantech Finnish SME. The empirical research was conducted through semi-structured interviews. Altogether seven semi-structured interviews were conducted in the case company in December 2019. The interviewees consisted of managers and employees. An inductive approach was adopted in the research, and the data were analyzed based on the thematic analysis.

The study reveals that social media can be used as a supportive tool for SMEs to build and maintain international business networks. Also, the research reveals that there are three different mechanisms, which show in practical how social media enable SMEs to build new international business networks and what these, in turn, bring to the SME. Based on the findings, a model was created that combines both the micro and macro levels of a company. The results of the study, as well as the model developed, will help SMEs to use social media more effectively for maintaining and forming international network relations.