CSR-Driven Entrepreneurial Internationalization: Evidence of Firm-Specific Advantages in International Performance of SMEs

Abstract

This study examines an emerging yet somewhat neglected theme in international and global marketing literature, namely the role of corporate social responsibility (CSR) and market-sensing capability in international enterprises. Specifically, we illustrate how CSR and market-sensing capability impact international performance in the context of small- and medium-sized enterprises (SMEs). The results from a sample of 85 internationalized Finnish SMEs indicate that social responsibility serves as a mediator of market-sensing capability on international performance. Moreover, market-sensing capability along with social responsibility also has a positive direct effect on an SME’s international performance. Thus, the study links global marketing, strategic management and sustainability literatures to explain the emerging paradigm of sustainable international entrepreneurship.