1. Many entrepreneurial SME’s do not follow a planned, strategic approach to the issue of internationalisation. Most do so by means of an evolutionary strategy based on a combination of methods and options. Using relevant illustrative example for each approach, review the various options that can be used, the advantages and disadvantages these options and how the probability of success can be maximised. (60 marks)
2. The OECD suggests that SME’s have a tendency to move to markets that are geographically or psychologically close to them. Again, using relevant illustrative example for each approach, address the following two questions
a) What are the advantages of this approach? (25 marks)
b) What are challenges that are presented by moving to markets that are geographically or psychologically distant and are these more of an issue for the service or the manufacturing sector? (15 marks)

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