Internationalisation Via Co-Operation - Strategies of SME

Abstract

DR FRIEDRICH KAUFMANN IS A is a researcher at the Institut ffir Mittelstandsforschung, Bonn, Germany. Cross-border co-operation is often the only viable form of internationalisation for SMEs. The relationships between co-operating partners and the type of co-operation are decisive for their success. Where the preconditions for a transaction cost efficient co-operation project are not fulfilled, organisation costs might easily over-compensate the benefits from expected production synergies. Based on empirical results, this paper discusses the relevant factors for success in cooperative projects. It shows that, given the basis of solid confidence, risks of cooperation can be avoided or at least can be forecast easier. Both are important for the efficiency of co-operative projects.