64 Journal of Accounting, Business and Finance Research ISSN: 2521-3830 Vol. 3, No. 2, pp. 64-74, 2018 DOI: 10.20448/2002.32.64.74 Social Network and Family Business Internationalization in South Eastern Nigeria Kenneth Chukwujioke Agbim 1 Johnny Eluka 2 1 Business Administration Department, University of Agriculture, Makurdi, Nigeria 2 Department of Management, University of Nigeria, Enugu Campus, Enugu, Nigeria Abstract Social network relationships through social associations, clubs and social networking platforms are known to facilitate family business internationalization. However, this has not been empirically brought to the fore with respect to the family businesses in Nigeria. Owing to the commonplaceness of social networks and family businesses in South Eastern Nigeria and their involvement in cross border business, this study seeks to examine the effect of social network on the internationalization of family businesses in the zone. The study adopted survey design. Proportionate stratified random sampling and simple random sampling techniques were employed to determine the sample size. The generated data via questionnaire were analyzed using linear regression. The results show that the effect of social network on family business internationalization is significant and positive. The study therefore lends itself as a veritable empirical evidence and support to the Uppsala Internationalization Process Model. To promote cross border business, the researchers recommends the sensitization of family business founder/CEOs or descendant/CEOs on the need to belong to both national and international social associations. This social relationship has the potential of: fostering in founder/CEOs the use of social network platforms for communication; exposing the founder/CEOs to international business knowledge/experience; and linking founder/CEOs to foreign partners, investors, funds, facilities and markets. Keywords: Social network Family business Family business Internationalization Uppsala internationalization Process model. Licensed: This work is licensed under a Creative Commons Attribution 4.0 License. Publisher: Scientific Publishing Institute 1. Introduction Social network refers to the relationships among friends in a social club, social association or through social networking platform for mutual interest. These relationships facilitate resource sharing and exchange among participating actors. One area where these resources have been brought to bear is business, particularly family business internationalization. Family business internationalization is the process of learning and accumulating knowledge on international business in preparation to getting involved in export, investment in a foreign business, starting a foreign subsidiary or inclusion of expatriates in the top management of a family business. The establishment of networks has been generally considered essential in family business development (Hamid, 2013). This view has been explained by the Uppsala Internationalization Process Model developed by Johansson and Vahlne in 1977. This Model is based on Johansson and Wiedersheim-Paul’s “establishment chain” or “step by step” theoretical framework. The model focus on the state and change aspects that firms go through when going abroad. State aspects are the resources committed to the foreign market: market knowledge and commitment decision that would affect the firm’s opportunities and risks. Change aspects on the other hand are the results of the state aspects: market commitment and current activities (Masum & Fernandez, 2008). The Model proposes that firms incrementally internationalize their operations along an establishment chain and a psychic distance chain. This implies that increased knowledge (through experience) leads stepwise to higher commitment entry modes in psychologically more distant countries (Pukall & Calabro, 2014).