Challenges and Opportunities for Chinese Manufacturing SMEs and Danish Mechanical Engineering Servicing SMEs in the Time of COVID-19
Author
Lyu, Renmin
Term
4. Term
Publication year
2021
Submitted on
2021-06-15
Pages
64
Abstract
Purpose: This thesis examines how COVID-19 affected the internationalization of small and medium-sized enterprises (SMEs)—that is, their expansion into foreign markets—in two sectors: Chinese manufacturing and Danish mechanical engineering services. It identifies key challenges and opportunities that arose during the pandemic and outlines strategic implications to reduce risks and build on new openings. Design/methodology: The study uses a qualitative, case-by-case approach with three SMEs: two manufacturing firms in Shenzhen and one mechanical engineering service firm in Skanderborg. Each case is analyzed in depth. Findings: Across cases, common challenges for internationalization during COVID-19 included disrupted goods transport, rising costs, and volatile demand. At the same time, sector-specific opportunities emerged. In China, parts of printing paper production shifted from Southeast Asia to China. In Denmark, interest grew in improving the efficiency of production machinery and investing in robotics to replace manual work. Practical implications: The findings offer actionable insight for SMEs in Chinese manufacturing and Danish mechanical engineering services on how to navigate logistics and cost shocks while leveraging new market and technology opportunities when internationalizing during COVID-19. Contribution and value added: The study adds empirical evidence from two under-researched regional contexts (Shenzhen and Skanderborg) and provides a bi-national comparison between China and Denmark. It integrates three perspectives on internationalization—networking theory (the role of relationships), the Uppsala/stage model (gradual market entry), and the resource-based view (internal resources and capabilities)—applied to manufacturing and mechanical engineering services.
Formål: Denne afhandling undersøger, hvordan COVID-19 påvirkede internationaliseringen – altså SMV’ers udvidelse til udenlandske markeder – i to brancher: kinesiske fremstillings- SMV’er og danske SMV’er inden for mekaniske ingeniørydelser. Vi kortlægger de vigtigste udfordringer og muligheder under pandemien og skitserer strategiske implikationer for at reducere udfordringerne og udnytte mulighederne. Design/metode: Undersøgelsen bygger på kvalitative casestudier af tre SMV’er: to kinesiske fremstillingsvirksomheder i Shenzhen og én dansk virksomhed inden for mekaniske ingeniørservice i Skanderborg. Hver case analyseres i dybden. Resultater: På tværs af cases fremstod fælles udfordringer for internationalisering under COVID-19: forstyrrelser i varetransport, stigende omkostninger og svingende efterspørgsel. Samtidig opstod branchespecifikke muligheder. I Kina blev en del produktion af trykpapir flyttet fra Sydøstasien til Kina. I Danmark voksede interessen for at effektivisere produktionsmaskiner og investere i robotteknologi som erstatning for manuelt arbejde. Praktiske implikationer: Resultaterne giver praktisk indsigt i, hvordan SMV’er i både kinesisk fremstilling og dansk mekanisk ingeniørservice kan håndtere logistiske og omkostningsmæssige chok og samtidig udnytte nye markeds- og teknologiåbninger ved internationalisering under COVID-19. Bidrag og værdi: Studiet tilfører empirisk viden fra to regionalt forankrede, men underbelyste kontekster (Shenzhen og Skanderborg) og giver et sammenlignende indblik på tværs af Kina og Danmark. Analysen kombinerer tre perspektiver på internationalisering: netværksteori (relationers betydning), Uppsala-/stadie-modellen (trinvis markedsudvidelse) og resource-based view (interne ressourcer og kapabiliteter), anvendt på fremstilling og mekaniske ingeniørservicesektoren.
[This apstract has been rewritten with the help of AI based on the project's original abstract]
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