| Summary: | Today, the global market is a fast expanding environment. There are more and more companies that go abroad to compete with companies from all over the world. The barriers between countries have been lowered and trade is encouraged. Therefore, international expansion is an important factor for many companies. The purpose of this dissertation is to study the effect international expansion has on firm performance. Since there is limited previous research within the field of international expansion and performance done on Swedish companies this dissertation tries to fill that gap. The study is performed on listed Swedish companies. Several factors are used to measure the international expansion and performance of the companies. The relationships between international expansion and firm performance were positive when international expansion was measured as Number of Countries and Market Commitment. When international expansion was measured as Foreign Assets and as the GL-Index (Gerlofstig-Lindstrand Index), support was given to a positive relationship. The relationship between Foreign Board and firm performance as well as Foreign HR (Human Resources) and firm performance was to some extent supported. The remaining two measures of international expansion were Foreign Assets and International ownership. These measures showed no supported relationships between international expansion and firm performance. To conclude, the results of the study indicated that there are some support for a relationship between international expansion and firm performance for listed Swedish companies. This study contributes to the lack of research on the effect of international expansion on performance of Swedish companies. Swedish managers can use the conclusions drawn from the study as guidelines for international expansion.
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