Internationalization Preparation of Small Medium Enterprises (SMEs) in Medan

Abstract

The aim of this research is to analyze the key success factors in promoting the internationalization preparation of Small Medium Enterprises (SMEs) and the restraining factors for SME in internationalization preparation of SMEs. This study uses qualitative research method. Primary Data for qualitative is collected through depth interview on important actors as informants, consist of the five representatives as the adaption of Penta-Helix Model. Supporting factors for internationalization preparation are product uniqueness and high international demand of product. While, the barrier factors are insufficient business network and high competition from other countries. The most suitable recommendation for business owner of SMEs is by optimizing the innovation through local values to produce unique product which can compete with other countries. Moreover, the other recommendation is by establishing a wider and stronger business network in order to address the international demand.