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In the remaining chapters the structure will be as follows: Chapter 2 shall review and analyze some of the definitions of small and medium enterprises and their characteristics, referring research question Q1.

Chapter 3 will examine the theories and the process of internationalization.

Thirdly, applying the statistical definition, this allows a comparison to be made among the contributions of small firms in one country with that of other nations.

Furthermore, obtaining sales outside their own domestic market is a goal of many small and medium-sized enterprises (SMEs) and their governments (Economic Development Board, 1993).

This thesis will be concentrated on the process of internationalization of SMEs, and especially the barriers of internationalization and motivations for export activities.

To be able to answer the research questions, the research method that shall be used is the literature study.

To develop a theoretical framework, exploratory studies are used in this research.

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