The impact of the human and social capital of the board of directors on the internationalization of small and medium-sized enterprises

Abstract

Fragmented studies analyze SME internationalization from perspectives of international entrepreneurship and resource-based view, considering the role of the board and the board’s capital (Bjørnåli & Aspelund, 2012; Barroso et al., 2011; Fernhaber et al., 2009; Oxelheim et al., 2013; Athanassiou & Nigh, 2002; Calabro et al., 2017; Volonté & Gantenbein, 2016; Calabrò & Mussolino, 2013; Calabrò et al., 2009; Johannisson & Huse, 2000; Bauweraerts et al., 2019; Jermias & Gani, 2014); thus, the phenomenon requires a deeper inquiry. This doctoral thesis investigates the board of directors as a formal or informal intermediate link between SME owners and managers by considering the human and social capital of the board as a basis for effectively conducting the board’s tasks in different development stages of SMEs, impacting international performance. The object of this study is the impact of a board’s human and social capital on the internationalization of SMEs, which is potentially affected by the effectiveness of the board’s tasks and the SME’s development stage in small and open economy countries, such as Lithuania. The doctoral thesis consists of an introduction, three chapters, conclusions, and 14 annexes. Chapter 1 introduces the development of the theoretical framework for the relationships between the board’s human and social capital, and SME internationalization. The chapter seeks to define the main concepts and approaches, resulting in a theoretical model with hypothesized relationships. Chapter 2 presents the methodology applied for the research of the influence made by the boards’ human and social capital on internationalization. The following quantitative research techniques were used: a survey for CEOs, including such research analysis methods as hierarchical linear modeling/ordinary least squares (OLS) regression, structural equation modeling, and generalized linear modeling (GLM) for moderated mediation analysis. Chapter 3 overviews the main findings of the empirical research on the influence made by the board’s human and social capital on SME internationalization, including validity and reliability analysis, exploratory factor analysis (EFA), confirmatory factor analysis (CFA), and hypothesis testing through various models. The chapter is concluded with a discussion and practical implications of the present study. The results of the doctoral thesis have been disseminated in nine scientific articles (four papers in the reviewed scientific journals, three in the proceedings of international conferences, one in the proceedings of national conferences), and one chapter of a book published by an international publisher abroad.