Underlying the International Business Direction, Assessing the Role of Government Intervention and Management in Africa facilitating SMEs’ Development

Abstract

This paper aims to provide some insights for SMEs in the West African subregion to obtain human capitals and fnancing in terms of how government intervention and management facilitate SEMs’development, espe-cially to determine whether the determinants of SMEs obtaining fnancing and human capitals are the same and/or different comparing with other countries. By fully understanding these arguments better, we applied the Uppsala Model to demonstrate how a company needs and wants when they did internationalization as well as became bigger and bigger. Also, some potential theories will be discussed underlying the Uppsala model. According to our literature and framework reviews, we found that a good and positive government manage-ment and intervention can, directly and indirectly, infuence SMEs development and fnancing in West African countries; we found signifcant differences in the relevance of companies that received fnancing at the na-tional level. Alternatively, due to SMEs in Africa countries face numerous potential international issues such as human resources management, leadership approaches, fnancing management, and so on, we collected these potential issues and come up with some alternatives and implementations that SMEs may use now and in the future. Taken together, we found that government intervention and management definitely influence SMEs development in Africa. Alternatively, we make another argument regarding government intervention and managements influence SMEs’fnancing as well as development within this paper; we later found evidence from our literature and framework reviews as well as case studies to support our argument. Therefore, the fndings of this study have important implications for politics by government intervention and managements; managemental implica-tions, possible suggestions, and potential limitations will also be discussed in this paper at the end.