Internationalization is a topic of high actuality, and in this study the spotlights is on how small and medium-sized enterprises (SMEs) access foreign market opportunities and go international. There are a large numbers of studies of internationalization processes but most of them mainly focus on multinational enterprises. There is a need for studies on how SMEs internationalize, what barriers they face and what role immigrants play in the process of internationalization. In this study the purpose is to investigate the internationalization process of Swedish SMEs and the contributions of social networks in the process. Immigrants are introduced as a social network. Drawing on the Uppsala internationalization process model with the network approach, the literature on social network with a knowledge-based view, this study aims to fulfil the above mentioned purpose.

For the empirical study, a qualitative method has been used and semi-structured interviews have been performed in six Swedish SMEs.

The results of our study illustrate that the Swedish SMEs experience several barriers in the internationalization process due to the lack of financial resources and knowledge-related resources. They also gradually start the internationalization process in their neighbour countries. Moreover, the study shows that the immigrants contribute in the process of internationalization by providing the SMEs with market knowledge and through offering experiential learning.