Abstract

The effects of globalization on the operations of the enterprises are inevitable. Especially SMEs in developing countries have been highly affected by the competitive environment which has been intensified in parallel with the recent trends of globalization. For this reason, it is important to consider the factors affecting/improving the operational performance of SMEs when adapting themselves to globalization. Therefore this subject has been studied in this article. Data obtained through a survey on SMEs in a developing country, Turkey, reveal the effects of globalization on the operational performances. Findings show that different aspects of globalization such as competitive intensity, technological change, cost pressure, and new opportunities, affect different aspect of operational performance, namely quality improvement, cost reduction, flexibility, speed of delivery. Managerial and further research implications are forwarded.

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