Strategies Adopted by Small and Medium Enterprises in Kenya to Cope With Foreign Market Challenges

Abstract

This master dissertation focuses on the challenges faced by small and medium enterprises while accessing international markets and the appropriate strategies adopted to cope with these challenges. Particularly it focuses on challenges from the management point of view focusing on exporting SMEs that already have firms in international markets. The study seeks to find out about the major challenges facing them and those firms that have overcome these challenges how they did overcome by finding out what strategies were adopted or what measures were taken so as to avoid facing such challenges in future. Challenges faced by SMEs when starting to venture into the international markets are more in developing countries where they face challenges face due to the less educated managerial staff for strategic formation and external support for internationalization process. Further, the growth of SMEs in any country also depends upon the availability of resources and support of external organizations. SMEs are not big enough like large organizations, nor do they have enough resources to survive in the international market. In developing countries, SMEs face more challenges because of less availability of resources and external support for their internationalization process. At the initial stage, SMEs need more financial resources to make investment in capital-intensive projects and educated management for strategic formation. They require financial resources on low interest rates and guidance to find representatives in the international market. The external organizations in both markets should support SMEs to meet challenges in the foreign markets and how to cope with the challenges