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Today’s research in the small and medium sized enterprises (SME) sector is lacking a fitting framework of analysis to interpret recent international activities. Economic internationalization theories explain the existence of international trade and multinational enterprises, while process-related internationalization theories try to observe the transformation of organizations across borders. However they are unable to observe the internationalization processes of SMEs. Modern empirical findings show that, worldwide, SME internationalization modes are not path-dependent, not emergent, and not incremental. In spite of this, the current SME researchers still use stage models and learning-based stage models or network approaches to explain SME action patterns. But even discontinuous stage models cannot cover the range of phenomena such as “born globals” or “instant internationals” (traditional SMEs which enter the international field or are successfully operating in foreign countries), “backsourcers” (which re-concentrate their international activities back to the home base), and “born regionals” (which gain their force out of a local embeddedness and never shift capacity beyond export activities). This shows an urgent need for a further improvement of internationalization theories.
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