Barriers and Drivers for Internationalization of Small and Medium-Sized Enterprises Related to Renewable Energy Industry on the Example of Spanish Companies

This work observes barriers and drivers for internationalization of small and medium-sized enterprises related to the renewable energy industry on the example of Spanish companies. The main research question of this work is how drivers and barriers that face small and medium-sized enterprises operating in the renewable energy industry during internationalization influence managerial decisions made by companies’ management. The goal of this work is to provide an understanding of what drivers and barriers at the company, industry, and country-level face small and medium-sized enterprises operating in the renewable energy industry during internationalization, what managerial decisions they make based on this information, and how to use their experience in similar cases. The object of the study is the internationalization of small and medium-sized enterprises, the subject – the internal and external barriers and drivers for internationalization of small and medium-sized renewable energy enterprises. The following hypotheses are going to be tested in this research paper: – Lack of financial support is the main internationalization barrier for Spanish renewable energy companies – Company founder’s previous international experience motivates Spanish renewable energy companies to go international This research paper includes an introduction, three chapters (theoretical aspects, analytical part, outcomes, and practical recommendations), a summary, a bibliography and an appendix. In the analytical part qualitative (case studies) and quantitative methods (surveys) are applied. The relevance of the work lies in the fact that, firstly, in connection with the global environmental agenda, the consumption of energy resources will shift from fossil fuels to renewable ones due to their lower impact on the environment and the renewable energy industry will develop more and more every year, therefore it is important to understand what are the barriers and drivers for the internationalization of companies in this industry. Secondly, the global paradigm is changing, according to which previously the primary influence on global trends was given to large companies due to their resource base, and now it is given to small companies due to their flexibility, lack of bureaucracy, innovation-driven ideas, so it is important to understand what drives small companies when entering international markets, and what barriers they face. The information about what factors influence the most will be useful not only for small and medium-sized enterprises which make a decision either to enter a new market or not but for governments of the countries that desire about increasing the involvement of small and medium-sized enterprises in international operations and investors.