While diversity management is considered a crucial element of organizational performance, still little is known about the role of diversity management in the internationalization of SMEs. Relying on resource-based theory and resource orchestration, this paper provides a novel reading of the four perspectives of diversity management (i.e. resistance, discrimination, access-and-legitimacy, learning) with an emphasis on the associated management practices. Using an ordered probit model on a sample of 1,348 Luxemburgish SMEs, results show that the four perspectives of diversity management based on distinct practices have contrasting effects on SMEs scope of internationalization. In particular, only the learning perspective, which is based on general management practices at the organizational level (vs. individual), increases the likelihood of transcending European borders. This paper contributes to a better understanding of diversity management as a new organizational paradigm by highlighting the value of diversity for SMEs’ internationalization. It provides useful recommendations to SMEs and international support services on the impact of diversity management on internationalization.
