scholarly journals Eyes open and hands on: market knowledge and marketing capabilities in export markets

2022 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mohammad Tayeenul Hoque ◽  
Mohammad Faisal Ahammad ◽  
Nikolaos Tzokas ◽  
Shlomo Tarba ◽  
Prithwiraj Nath

PurposeDrawing on the knowledge-based view of the firm (KBV) and Dynamic Marketing Capabilities (DMC), this paper examines the role of key internationalization knowledge absorption processes as learning strategies, namely market exploitation and market exploration in enabling internationalization knowledge absorption in export-oriented firms involved in manufacturing goods or producing electrical/engineering products.Design/methodology/approachThe data were gathered via a cross-sectional survey using a questionnaire (i.e. n = 315) on a sample of Bangladeshi manufacturing firms exporting in US and European markets.FindingsThe findings suggest that an export firm's internationalization absorption strategies are positively associated with export performance. The authors also found that the mediator, DMC, strengthened the relationship between knowledge absorption and export performance. Moreover, the findings of moderated mediation model revealed that the direct and indirect effects of market exploitation on export performance are more prevalent when competitive intensity is low. While competitive intensity is high, the direct and indirect effects of market exploration on export performance are more prevalent.Practical implicationsBy introducing a higher-level dynamic marketing capability approach and linking it to ambidexterity constructs (learning though exploration and exploitation), export business professionals should appreciate the full spectrum of mid-level marketing capabilities they need to develop alongside their exploration and exploitation strategies to improve their export performance. This study directs attention to the competitive intensity conditions the exporting firm is facing. When export business professionals are faced with high-level of competitive intensity in the market, they should establish a clear focus on their exploration learning strategies if they wish to enhance their export performance.Originality/valueThe authors contribute to two broad domains of literature: organizational learning and DMC strategy. The study results show that how the two components of international ambidexterity as organizational learning constructs (i.e. market exploration and exploitation) influence knowledge management processes within firms through a firm's possession of a fine configuration of higher-level marketing capability. This study also theoretically and empirically examines how higher-level DMC strategy can mediate the consequence of international knowledge absorption mechanism on firm export performance. From a practical perspective, this study provides useful lessons for exporting firms wishing to enhance their performance.

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mohammad Tayeenul Hoque ◽  
Mohammad Faisal Ahammad ◽  
Nikolaos Tzokas ◽  
Gillie Gabay

Purpose The purpose of this paper is to develop a conceptual framework on the dimensions of dynamic marketing capability (DMC) and its relationship with export performance. The paper also proposes the mediating role of competitive hybrid strategy and the moderating role of environmental responsiveness in explaining the relationship between DMC and export performance. Design/methodology/approach By following the dynamic capability notion of the marketing and competitive strategy literature, this paper proposes a novel conceptualization of the DMC development process and the possible effect of DMC on attaining competitive advantage. Findings The paper postulates that a firm’s DMC can reflect complementary power when its higher-level marketing capabilities are bundled together to detect distributing channel members’ crucial needs, competitors’ action plans and satisfying market demand. As yet little is known about the main underlying dimensions of higher-level DMC construct, the paper contributes in proposing the key dimensions of DMC. Originality/value This research advances the knowledge-based view and resource-based views and evolves a solid foundation of DMC constructs comprising four higher-order marketing capabilities, namely, ambidextrous market orientation, customer relationship management capability, brand management capability and new product development capability. Thus, this paper contributes in DMC literature in explaining export performance.


2015 ◽  
Vol 32 (1) ◽  
pp. 78-102 ◽  
Author(s):  
Qun Tan ◽  
Carlos M.P. Sousa

Purpose – By using the dynamic capabilities (DC) theory and the theory of competitive advantage, the purpose of this paper is to develop a framework to investigate the role of marketing capabilities on the firm’s export performance. Specifically, this framework depicts the consequences of marketing capabilities and focuses on the relationships among marketing capabilities, competitive advantage, and export performance. Design/methodology/approach – The authors conduct a meta-analysis of the literature on marketing capabilities and use multivariate analyses to test the framework. Findings – The study revealed that competitive advantage has an important mediating role in the relationship between marketing capabilities and export performance. Specifically, the authors found that two types of competitive advantage (i.e. low-cost advantage and differentiation advantage) positively mediate the effect of marketing capabilities on export performance. Originality/value – Although research on marketing capabilities is still in its early infancy, the study provides a base from which future work can be developed. The authors also contribute to the literature by examining the mediating role of competitive advantage in the marketing capability-export performance relationship, thereby offering new insights into how and why marketing capabilities play a crucial role in explaining the firm’s export performance.


2019 ◽  
Vol 35 (2) ◽  
pp. 231-243 ◽  
Author(s):  
Yi Xie ◽  
Xiaoying Zheng

Purpose This paper aims to examine the role of learning orientation in building brand equity for B2B firms. The present research proposes that learning orientation contributes to the development of innovation and marketing capabilities and, in turn, leads to enhanced industrial brand equity. Furthermore, the moderating effect of firm size in these processes is investigated. Design/methodology/approach The hypotheses are tested by administering a survey with a set of managers of manufacturing firms in China. Findings Innovation capability and marketing capability serve as the mediators between learning orientation and industrial brand equity. The mediating path through innovation capability is stronger for small firms than for large firms. Research limitations/implications Learning orientation provides a cultural base for B2B firms to cultivate brand equity. Measurement of industrial brand equity and contingency of its effect requires further investigation. Practical implications To transform learning-oriented culture into brand equity, firms need to develop and manage innovation and marketing capabilities. The learning orientation–innovation capability route is more beneficial for small firms. Originality/value While a majority of prior literature ignores the impact of organizational culture in driving industrial brand equity, the present research explores learning orientation as a key cultural antecedent of industrial brand equity. A more refined industrial-brand-equity-building mechanism from learning orientation to corporate capabilities and then to brand equity is proposed and tested. The mechanism varies with firm size.


2016 ◽  
Vol 28 (5) ◽  
pp. 532-559 ◽  
Author(s):  
Aydin Kayabasi ◽  
Thandiwe Mtetwa

Purpose The purpose of this paper is to examine the relationships between marketing effectiveness, marketing capabilities, export market orientation and export performance. Design/methodology/approach The research analyses whether export market orientation, marketing effectiveness and marketing capabilities are antecedents of export performance with structural equation modelling. Data to test the model were obtained through a structured survey of 443 export companies operating in the Aegean region of Turkey. After explanatory and confirmatory factor analysis, the structural model was tested. Findings The findings suggest that export market orientation has a significant impact on marketing capabilities and marketing effectiveness, and that marketing effectiveness has a significant impact on export performance. This indicates that export market orientation is central to the development of marketing capabilities, while marketing effectiveness contributes to explaining export performance. Research limitations/implications There are several limitations of the research. The first significant limitation is that the variables had various sub-dimensions. The second limitation is about sampling of the research that it is not specific to a particular sector. Practical implications This paper provides useful insights to exporters on market orientation, focal dimensions of marketing effectiveness and marketing capabilities that would help them enhance their export performance. Originality/value Using the resource-based view, this paper contributes to the explanation for export performance by assessing the role of export market orientation behaviour on marketing capabilities and marketing effectiveness.


2019 ◽  
Vol 36 (6) ◽  
pp. 1026-1041 ◽  
Author(s):  
Vasilis Theoharakis ◽  
Yannis Angelis ◽  
Georgios Batsakis

Purpose The importance of architectural marketing capabilities (i.e. marketing planning and implementation) in exporting ventures has been recognised. However, extant literature has not taken into account the explicit roles and required synergy between the exporter and their foreign distributor in delivering these capabilities. Drawing from the resource-based theory, the purpose of this paper is to examine the complementarity of distributor implementation capability and market orientation with exporter planning capability. Design/methodology/approach The study was carried out using a survey. Data were collected from 147 Greek exporters who replied to our questionnaire and the hypotheses were tested using the full information maximum likelihood estimation procedure. Findings The results support the hypotheses about the importance of exporter planning capability on financial performance and the complementary role of distributor market orientation. Further, the authors find that the distributor’s implementation capability partially mediates the impact of the exporter’s planning capability on financial performance. Originality/value This study contributes to a better understanding about the complementarity of exporter and distributor capabilities. It demonstrates the crucial role of the distributor in the deployment of architectural capabilities for the export venture: the distributor’s market orientation and implementation capability have the final say in achieving higher levels of export performance.


2017 ◽  
Vol 34 (5) ◽  
pp. 606-628 ◽  
Author(s):  
Thi Song Hanh Pham ◽  
Lien Le Monkhouse ◽  
Bradley R. Barnes

Purpose Drawing on the resource-based view, the purpose of this paper is to focus on the influence of relational capability and marketing capabilities on export performance. The study also examines the interaction effects of relational capability on the marketing capabilities – export performance relationships. Design/methodology/approach A stratified random sample of 1,047 exporting firms was approached. Survey data were collected from 333 Vietnamese exporting firms and analysed using hierarchical moderated regression. Findings The results reveal that a firm’s relational capability not only strengthens the efficiency of the export pricing capability – performance, marketing intelligence capability – performance, and marketing communication capability – performance relationships, but is also the strongest predictor of export performance amongst those capabilities identified. Whilst engagement in market intelligence, product development, price setting and promotional activities have a positive payoff, the findings confirm that there is less need for exporters to engage in after-sales service and distribution capabilities. Originality/value The study introduces the notion of relational capability alongside export marketing capabilities as predictors of export performance. The authors also examine the moderating influence of relational capability on the link between export marketing capabilities and export performance. By focusing on Vietnam, the study provides fresh insights surrounding the development pathway for firms in emerging markets.


2013 ◽  
Vol 9 (1) ◽  
pp. 22-46 ◽  
Author(s):  
Xina Yuan ◽  
SangYong Kim ◽  
Wanwen Dai ◽  
Jan Ketil Arnulf

Purpose – The purpose of this paper is to show that the Guanxi characteristics in Chinese business culture may add to the understanding of foreign invested enterprise's (FIE) successful marketing in China. Design/methodology/approach – The authors surveyed the entry mode of 296 FIEs in China and examined their way of adapting marketing strategy to local culture. The authors used a conceptual model hypothesizing a system of variables that the authors subsequently tested using structural equation modeling. Findings – Market orientation was insufficient to obtain marketing capability in China. FIE marketing capability in China was dependent on Guanxi and learning orientation, showing the need for contextualization of marketing approaches. Research limitations/implications – This paper enriches previous research on marketing and makes a contribution to the existing literature on practical management in China. It is also relevant for marketing in other markets in transition. Practical implications – FIEs may develop these capabilities on their own or succeed trough partnering in China. The study also points at similar mechanisms in other emerging markets and economies in transition from previous socialist economies. Originality/value – The authors attempt to explore the main factors driving the marketing capabilities of FIEs in China. Few articles have shown how foreign companies may adopt Guanxi orientation to do this, which is the object of the present study.


2015 ◽  
Vol 22 (7) ◽  
pp. 1341-1359 ◽  
Author(s):  
Wei-Shong Lin ◽  
Jing-Wen Hsu ◽  
Ming-Yih Yeh

Purpose – The purpose of this paper is to help firms to create competitiveness by developing marketing capabilities. It analyzes how the component and architectural competences affect and enhance market orientation and firm performance. Design/methodology/approach – Built on the theories of organizational capability, knowledge creation, and market orientation, this research develops the contents of marketing capabilities, including component and architectural competences that contribute to marketing capability by responding to external changes, and analyzes their influence on market orientation and firm performance. Findings – The study reveals the following effective marketing capabilities which benefit to marketing performance. First, hiring and retaining employees with higher professional, local, and specific knowledge. Second, firms with higher tacit knowledge enhance market orientation. Third, arranging employees into teamwork to implement marketing tasks. Fourth, assigning employees into small-scale experiments on creative proposals. Fifth, standardizing procedures of generation, dissemination, and response of marketing intelligence. Sixth, providing written market information and training programs to non-marketing staff. Seventh, appropriately delegating to staff. Eighth, establishing apprenticeship among the staff to deliver experiential know-how. Research limitations/implications – From a dynamic capability perspective, this research construct the two kinds of marketing competences and examine their effect on market orientation and firm performance. For further understanding the complementary effects of marketing capabilities, market orientation, and synergistic performance, a larger sample data (e.g. product, market share, sales, characteristics of staff, firm, and knowledge, etc.) and objective evaluation are encouraged. Otherwise, from the viewpoint of agency theory, the incentive system should also be discussed. Practical implications – This research has potentially significant implications for knowledge management and marketing management fields as well as managerial practice. The results suggest the importance of marketing capability for market orientation and firm performance. Originality/value – Marketing resources and marketing capabilities are significant drivers of firm performance, and their impact is greater when they are complementary to each other. This study takes the perspectives of organizational capabilities and market orientation to find out the factors which contribute to marketing capability and performance. This study provides practitioners with a framework for analyzing marketing capabilities as an object of improving firm performance by creating market orientation. Furthermore, this research empirically introduced strategic specific competence (tacit knowledge and autonomy) into the model and tests their effect of market orientation and firm performance.


2019 ◽  
Vol 10 (3) ◽  
pp. 262-285 ◽  
Author(s):  
Roseline Barbara Easmon ◽  
Adelaide Naa Amerley Kastner ◽  
Charles Blankson ◽  
Mahmoud Abdulai Mahmoud

Purpose The purpose of this paper is to understand the direct impact of social capital and the influence of market-based capabilities as intervening variables on the export performance of small and medium-sized enterprises (SMEs) in Ghana. Design/methodology/approach Questionnaire-based survey was used to collect data from top executives and senior managers of exporting companies in Ghana. Data obtained were analysed using the structural equation modelling. Findings The findings revealed that social capital of SMEs exert the greatest influence on their export performance. Innovation and marketing capabilities are also key drivers of export performance among SMEs as they fully mediate the social capital–export performance relationship. Notwithstanding, marketing capabilities appear to exert a greater influence than innovation capabilities on the export performance of SMEs. Research limitations/implications The study used perceptual measures of international performance by managers of SMEs in the Ghanaian exporting sector making it difficult to determine respondent bias. Practical implications Managers of exporting firms should build stronger relationships with their customers and suppliers who contribute significantly to their export performance. SMEs would also have to hone their innovation and marketing skills as strategic components in enhancing their export performance. Social implications Market-based resources such as marketing and innovation should not be taken for granted by SMEs in the export business. Originality/value The study offers some lessons on how small firms can sharpen their marketing and innovation capabilities to derive export performance benefits from social capital. Theoretically, while the findings offer strong evidence reinforcing the DC theory, an exploration of the nexus of the theories brings to the fore the need to reassess the resource-based view and SC theories.


2018 ◽  
Vol 35 (1) ◽  
pp. 164-185 ◽  
Author(s):  
Sam Zisuh Njinyah

Purpose The purpose of this paper is to examine the significance of the direct and indirect effects (through country and firm’s specific advantages) of government policies for export promotion (GPEP) on the export performance of small and medium-size enterprise (SME) Cocoa exporters in Cameroon. Design/methodology/approach To test the proposed model, data were obtained through self-administered questionnaires using snowball sampling technique to 101 SME Cocoa exporters. This was analyzed using structural equation modeling (SEM) techniques to examine both the direct and indirect effects of GPEP on the export performance of SME Cocoa exporters in the South and Centre Regions of Cameroon. Findings The findings suggest that GPEP had both direct and indirect effects on the export performance of SME Cocoa exporters. Direct effect was on the usage of GPEP which reduces operating cost and increase performance. The indirect effects were through the provision of country and firms specific advantages. However, the only significant path was through the provision of export marketing information. Research limitations/implications The research is limited to one country, one sector, and two regions and does not take into consideration other factors that may influence the effect of GPEP, country, and firms specific advantages on export performance. Moreover, the non-significant paths should be interpreted with caution and further testing required in a different context. Practical implications Empirical findings are relevant for the government and SME Cocoa exporters. It informs the government about the effectiveness of GPEP and the need to disseminate marketing information using every possible medium best understood by the SMEs. It suggests an opportunity for engagement of both SMEs and government authorities in accessing the outcome of GPEP which will increase transparency, awareness, usage, and export performance. Originality/value The research has successfully developed and tested a model for analyzing the direct and indirect effects of GPEP on export performance based on the resource-based view and SEM in a context where there is a call for more empirical and theoretical work on export performance due to limited studies. The framework reveals positive effects of GPEP, country, and firms’ specific advantages as determinants of export performance.


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