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The intent is to provide a conceptual framework on internationalization of SMEs, trying to identify those factors, which affect the state of internationalization of SMEs in Pakistan. Family-owned businesses lack in sustaining their share in international markets due to lack of global mindset, utilization of organizational resources, general capabilities, management experience, dynamics of international markets, and regulatory framework while focusing on the internationalization of SMEs particularly from the developing countries like Pakistan. SMEs from Pakistan are working on the traditional patterns and still are unable to capture a significant share in the international markets, rather are losing their share in the international markets. Most of the SMEs in Pakistan are owned and operated by families for decades. With the emergence of financial integration, SMEs are moving across the borders and gaining market share in overseas markets. By selling products in international markets SMEs achieve higher returns and make a significant contribution to the economic growth of Pakistan. This framework suggests the possible factors affecting the performance of family-owned SMEs of Pakistan in international markets. SMEs need to reconsider their strategies, processes, and operations to achieve the required level of market share in international markets.

Areeba Suleman, Ijaz Hussain Bokhari, Nazlina Zakaria, Armanurah Binti Mohamad. (2018) State of Internationalization: Issues and challenges for SMEs in Pakistan, Paradigms , Vol 12, Issue 2 .
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