Strategic Partnerships and the Internationalisation Process of Software SMEs

This research investigates the strategic partnering activities of software SMEs (small to medium sized enterprises), their motivations to engage in strategic partnerships as part of the internationalisation process, the key benefits achieved and the main challenges encountered. A qualitative research methodology focusing on Irish indigenous firms is used. Findings suggest that strategic partnerships were initiated to take advantage of firm synergy, reputation and credibility advantages. Partnerships also served as an important foreign market entry mechanism allowing firms to accelerate sales cycles and reduce risk in overseas markets. Challenges facing firms included partner selection and issues of control. Directions for further research are highlighted.