Prospects and challenges of entrepreneurship internationalization on the competitiveness of SMEs

Purpose Global presence pursuit by Nigerian firms has increased the inquiry into internationalization. While a few implement regional presence, the pros and cons of full internationalization are evaluated. Giving the scarce empirical research, this paper aims to add to scholarly works and knowledge on internationalization and establish regional internationalization as the feasible option for Nigerian firms. Design/methodology/approach Random and stratified sampling techniques were used. Data collection was conducted with questionnaire copies and analyzed with confirmatory factor analysis and structural equation model. Findings Internationalization strategy enhances small and medium enterprises (SME’s) competitive advantage, and full internationalization seems unrealistic for Nigerian firms; however, regional internationalization is the bedrock for full internationalization. Finally, the nature of the Nigerian business environment developed an increased value creation process in SMEs through increased flexibility and problem-solving abilities. Practical implications SMEs should internationalize partially, and critically evaluate socio-cultural and institutional environmental challenges in this study, to enable them to strategize for full internationalization. Originality/value The study demonstrates that the only way to fast track the internationalization drive of SME’s in Nigeria is first to embrace regional internationalization because it is difficult to achieve full internationalization at a go. Then, apply appropriate strategies to embrace full internationalization in the nearest future.