The influence of internet marketing capabilities on international market performance

2020 ◽  
Vol 37 (3) ◽  
pp. 447-469
Author(s):  
Chia-Ling (Eunice) Liu ◽  
Yingying Zhang-Zhang ◽  
Pervez Nasim Ghauri

PurposeThe paper aims to explore the influential path of internet marketing capabilities impacting international market performance. The paper further investigates the mitigating roles of market- and entrepreneurial-oriented behaviors and knowledge internalization in this relationship. The effect of internet use for customer management on internet marketing capabilities is also examined.Design/methodology/approachA total of 618 firms with sales in international markets were approached to participate. Data were collected from a sample of 132 Taiwanese firms and analyzed using a structural equation model.FindingsUse of internet for customer management positively influences internet marketing capabilities. The results also support the positive impacts of internet marketing capabilities on market- and entrepreneurial-oriented behaviors. Knowledge internalization mediates the relationships between market- and entrepreneurial-oriented behaviors and international market performance.Research limitations/implicationsThis paper’s investigation of the role of internet marketing capability in international market performance contributes to online internationalization, strategic orientations and organizational learning theory.Practical implicationsManagers should focus on developing internet marketing capabilities in management culture and fostering market- and entrepreneurial-oriented behaviors to facilitate knowledge internalization for better international performance.Originality/valueThis paper contributes to the construction of an alternative and comprehensive mechanism to understand the influences of internet marketing capabilities on the firm’s international performance.

2020 ◽  
Vol 30 (1) ◽  
pp. 123-143 ◽  
Author(s):  
Cristina I.M.A.S. Fernandes ◽  
João J.M Ferreira ◽  
Carla Azevedo Lobo ◽  
Mario Raposo

Purpose A key point in the internationalisation process of companies comes with the choice of international market. Following this choice, the results companies may thereby obtain help in measuring their level of international performance. This study aims to measure the impact of internationalisation processes in keeping with company market orientations (MOs) through measuring their effect on international performance. Design/methodology/approach The authors obtained the data from a questionnaire sent out by email to a total of 8,103 exporting companies and/or with interests in exporting (the study population) registered in the AICEP-Portugal Global database that provided the email addresses of the company representatives responsible for internationalisation. The authors received a total of 320 valid responses (sample). Findings The results display a positive MO effect both on internationalisation processes and on international performance. The authors also note the importance of studying the influence of strategic orientations on internationalization processes, motivated by the particular SME’s characteristics. Originality/value The authors aim to contribute to the study of the influence of the MO, both upstream and downstream, thus seeking to verify its impact on internationalization processes.


2020 ◽  
Vol 38 (7) ◽  
pp. 829-845 ◽  
Author(s):  
Ibrahim Alnawas ◽  
Allam Abu Farha

PurposeThis study aims to: first, examine the effect of interaction orientation (IO) and brand orientation (BO) on marketing capabilities and small and medium enterprises' (SMEs') performance, and second, assess the complementarity effect of IO and BO on marketing capabilities and SMEs' performance.Design/methodology/approachA model was developed and tested using a survey methodology. Data were collected from 538 SMEs located in Qatar and analysed by structural equation modelling with AMOS.FindingsFirst, IO affects SMEs' performance only indirectly via marketing capabilities, whereas BO affects SMEs' performance both directly and indirectly. Second, contrary to expectations, the complementarity between IO and BO produced a destructive/suppressive effect, rather than a synergistic effect, on both marketing capabilities and SMEs' performance, reflecting the importance of a trade-off to enhance both marketing capabilities and SMEs' performance.Originality/valueTo the authors' knowledge, this is the first paper to examine the complementary effect of BO and IO on marketing capabilities and performance.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Anisur R. Faroque ◽  
Md Imtiaz Mostafiz ◽  
Mohammad Omar Faruq ◽  
Mohammad Fuad Bin Bashar

PurposeThe study aims to bridge entrepreneurial capability, export market orientation and the international performance of international new ventures (INVs). Thus, multi-scale entrepreneurial capabilities have been adopted to provide more profound insights into the literature on early internationalisation. Since little is known about the antecedents of export market orientation, the performance outcome of this is ambiguous. This study aims to enhance knowledge in this pressing research area.Design/methodology/approachThe sample of this study consists of data (354 firms) from INVs operating in the apparel industry of an emerging economy, namely, Bangladesh. Structural equation modelling has been used to investigate the hypothesised relationships.FindingsFor the Deshpandé and Farley (1999) scale, the effect of general entrepreneurial capability on intelligence dissemination and responsiveness is positively significant. Similarly, the effects of international entrepreneurial capability on customer orientation, intelligence generation, dissemination and responsiveness are positively significant. However, general entrepreneurial capability has non-significant effects on customer orientation and intelligence generation. The results also showed that export market orientation positively mediates the relationship between international entrepreneurial capability and firm performance. For the Morris and Paul (1987) scale, the hypothesised relationships between capabilities and market orientation are positively significant and, therefore, support the mediating relationships for both general entrepreneurial capability and international entrepreneurial capability.Originality/valueMerely having capabilities without acknowledging the firm's strategic orientations is not sufficient to secure superior performance. The authors urge entrepreneurs to capitalise on their entrepreneurial capabilities to leverage organisation-wide export-market-oriented behaviour to achieve superior international performance in emerging economies.


2015 ◽  
Vol 30 (5) ◽  
pp. 511-520 ◽  
Author(s):  
Hanna Salojärvi ◽  
Paavo Ritala ◽  
Liisa-Maija Sainio ◽  
Sami Saarenketo

Purpose – This study aims to examine the effect of firm-specific customer relationship orientation, technology orientation and the marketing–R & D cooperation on market performance. Although the importance of customer focus in R & D has been widely recognized in the literature, less attention has been paid to customer relationship orientation and the simultaneous effect of the three constructs on market performance. Design/methodology/approach – The hypotheses are tested on a multi-industry survey study of 209 R & D-intensive firms in Finland using hierarchical regression analyses, including both direct and interactional effects. Findings – The findings show that customer relationship orientation has a direct positive effect on market performance and that technology orientation also has a positive, yet non-significant effect. In addition, the effect of both of these strategic orientations is accentuated when collaboration between marketing and R & D departments is high, providing evidence on the significant moderating effects of these types of processes. Research limitations/implications – The implications of the research can be interpreted as being generalizable at least to some extent due to the multi-industry nature of the sample. However, the research is bound to a certain type of firm (R & D-intensive) and to a certain national context (Finland), which poses limitations to the study. Practical implications – The results suggest specific benefits for integrating specialist, complementary knowledge into a firm in terms of R & D and marketing knowledge. Practicing managers across departments should thus consider not only focusing on their specialist areas in markets (e.g. customers or technology) but also utilizing complementary insights within the firm to reap benefits in their fields. Originality/value – The study focuses on the less-researched concept of customer relationship orientation in parallel with the more established technology orientation. It also provides novel evidence on how the effectiveness of these orientations benefits from firm-internal knowledge transfer between the marketing and R & D departments.


2019 ◽  
Vol 31 (4) ◽  
pp. 1042-1057 ◽  
Author(s):  
So Won Jeong ◽  
Byoungho Ellie Jin ◽  
Sojin Jung

Purpose Drawing on the resource-based view, the purpose of this paper is to investigate the link between resource capabilities and performance by incorporating two network dimensions (i.e. social and business networks), a moderator (i.e. international experience) and a mediator (i.e. marketing capabilities). Design/methodology/approach SME data were collected via surveys. A sampling frame of 3,000 exporting manufactures was developed based on a database sourced from the Korea Chamber of Commerce and Industry. The authors first contacted the managers of each firm in the sampling frame through e-mail or phone to receive permission, and then sent a paper questionnaire. The authors analyzed 392 valid cases using a path analysis. Findings The findings largely confirmed the hypotheses in the proposed framework based on the RBV. While social networks only enhanced marketing capabilities and did not directly lead to international performance, business networks enhanced both. Also, unlike social networks, the influence of SME business networks on international performance was weakened as international experience increased. This study found that marketing capabilities mediated the path from business networks to international performance. Research limitations/implications The study explained the distinctive roles played by social and business networks in international performance, extending our knowledge of the RBV by showing how firm resources can turn into sustainable competitive advantages. More importantly, the integration of time into the discussion on networks and international performance extended the business network internationalization process model. Practical implications The authors suggest that Korean SMEs focus on developing their own marketing capabilities by capitalizing on their social and business networks, which could directly enhance international performance. Governments can also offer assistance to SMEs for developing their own marketing capabilities during the initial stages of internationalization, since the benefit of business networks diminishes as international experience increases. Originality/value By testing the proposed link between resource capabilities and performance, this study suggested how SME networks can contribute to international performance, extending our understanding of RBV. This study further confirmed the dynamic impact of business networks on international performance, such that it changes over the course of the internationalization process.


2016 ◽  
Vol 50 (12) ◽  
pp. 2216-2248 ◽  
Author(s):  
Emir Agic ◽  
Merima Cinjarevic ◽  
Emir Kurtovic ◽  
Muris Cicic

Purpose The purpose of this study is to create the taxonomy of firms based on the nature of the relationship between market-based resources and marketing capabilities. Anchored in the configuration theory, the present study aims to explore simultaneous roles of market-based resources, i.e. customer orientation and competitor orientation, and marketing capabilities, i.e. the execution of marketing practices and activities within a firm, on firm performance. Design/methodology/approach A self-administrated questionnaire was used to collect data from chief executive officers or top managers of 220 firms in Bosnia and Herzegovina, a transitional economy in South Eastern Europe. Findings Drawing on a configuration approach via the latent class analysis, the authors empirically derive four distinct strategic marketing patterns, namely, marketing super achievers, marketing-focused virtuosi, marketing drifters and marketing mass pushers. The findings also highlight how business performance outcomes differ as a function of a class membership. Research limitations/implications Cross-sectional research design and focus on a single country are main limitations of the present study. Thus, longitudinal studies in the context of developed and fast-reforming transition economies are advisable for future work. Practical implications This study enhances the knowledge on how a firm can configure or bundle its market-based resources and marketing capabilities to produce desired outcomes. Findings suggest that joint attention to building market-oriented culture and developing marketing capabilities seems to pay off. However, the authors found that a lack of market knowledge can be substituted by the firms’ ability to build effective promotional and branding capabilities. Thus, the present study adds to the emerging dialog on the relative importance of alternative strategic orientations in achieving superior business performance. Originality/value This study contributes to the strategic marketing literature by examining the synergistic effect of market-based resources and marketing capabilities on firm performance using a configurational approach. It also provides support for the equifinality proposition, suggesting that different “bundles” of market-based resources and marketing capabilities can lead to similar level of performance outcomes.


2019 ◽  
Vol 36 (2) ◽  
pp. 289-315 ◽  
Author(s):  
Yoel Asseraf ◽  
Luis Filipe Lages ◽  
Aviv Shoham

Purpose The purpose of this paper is to develop and empirically test a new conceptualization of international marketing agility (IMA). Importantly, the empirical test includes agility’s drivers, outcomes and boundary conditions for its impact on international market performance. Design/methodology/approach The authors draw on the resource-based view and dynamic capabilities theories to develop a model and test it quantitatively via structural equation modeling with survey data from 195 Israeli exporters. In addition, the authors seek insights into the findings through post hoc in-depth interviews. Findings The results indicate that IMA enhances international market performance directly as well as indirectly through exporter’s new products advantage. Interestingly, while promotion adaptation strengthens the positive effect of IMA on new products advantage, product adaptation does not. Research limitations/implications Managers need to develop and improve marketing planning and flexibility maintenance capabilities. Furthermore, while maintaining an emphasis on marketing planning, they need to guard against inertia by embracing outside views, a wider range of solutions and a greater awareness of others’ decision-making styles to develop flexibility maintenance capability and achieve superior IMA. Originality/value A new conceptualization and operationalization of agility specific to an international marketing context is tested empirically. The complementary role of marketing planning capability and flexibility maintenance capability is demonstrated. Importantly, the vital role of new products advantage as a mediator between agility and performance is examined and the moderating role of international marketing strategy adaptation is investigated.


2020 ◽  
Vol 35 (10) ◽  
pp. 1527-1537
Author(s):  
Dale A. Cake ◽  
Vikas Agrawal ◽  
George Gresham ◽  
Douglas Johansen ◽  
Anthony Di Benedetto

Purpose The purpose of this paper is to develop a radical innovation launch model that shows the relationship of the market, entrepreneurial and learning orientations with each other, with radical innovation launch marketing capabilities and the subsequent effect on radical innovation launch success. It will provide practitioners with best practices and add to current marketing theory. Design/methodology/approach An online survey was done, resulting in a usable sample of 176 radical innovation launch practitioners from a cross-section of US companies, namely, small to large, business-to-business and business-to-consumer firms offering a variety of products and services. A partial least squares structural equation modeling technique was used to test construct relationships and the effect on each other. Findings An organizational learning orientation has a direct effect on the market and entrepreneurial orientations. Learning and marketing orientations are critical links to having radical innovation launch marketing capabilities. While an entrepreneurial orientation has a direct effect on radical innovation launch success, proper, dynamic marketing capabilities are a significant driver. Over 40% of the variance in radical innovation launch success is directly or indirectly affected by the three studied strategic orientations and radical innovation launch marketing capabilities. Research limitations/implications This study was conducted only in the USA. A cross-cultural study could be undertaken. Type and size of firm, type of external environment, radical innovation department structure, transformational leadership strength and competitive intensity effect could be studied. New, up-to-date adaptable marketing capabilities should be researched and validated. Practical implications For radical innovation launch success, it is critical that a firm develop the market, entrepreneurial and learning orientations and have specific, dynamic marketing capabilities in place. Existing managers should be trained, or new talent hired, to give the firm the capability to develop unique, radical innovation launch strategic, brand identity and new target market plans, to select and manage new downstream partners, and to have quick, customer launch feedback mechanisms in place. Originality/value An empirical study of the effect of all three strategic orientations on radical innovation launch marketing capabilities and subsequent radical innovation launch success has not been previously addressed.


2016 ◽  
Vol 25 (4) ◽  
pp. 820-830 ◽  
Author(s):  
Shane Mathews ◽  
Constanza Bianchi ◽  
Keith J. Perks ◽  
Marilyn Healy ◽  
Rumintha Wickramasekera

2019 ◽  
Vol 36 (3) ◽  
pp. 318-341 ◽  
Author(s):  
Itzhak Gnizy

Purpose One of the major trends in today’s businesses is big data (BD). While research on various aspects of BD is flourishing, little is empirically known about its impact on firms’ strategies. Furthermore, research on the use of BD and its effects in international firms is in its embryonic stage. The purpose of this paper is to explore the BD and international intelligence use relatedness and examine the impact of BD usage on firms’ strategic orientations en route its implications on business performance. Design/methodology/approach The study proposes BD usage as a key driver of strategic orientations and accounts for a mediated relationship of BD usage with international performance through orientations. Based on data from international firms, a conceptual framework is tested using regressions, path analyses, and additional robustness checks. Findings BD appears as having a decidedly strategic focus, and its usage enhances international performance through strategic orientations. The influence of BD is stronger than the influence of any subset of studied orientations. Notably, this influence is strongest when the orientations are treated individually. Research limitations/implications This study furthers contemporary understanding of the international intelligence use system. Notably, it challenges traditional management perceptions that suggest a chosen strategy determines the selection of data, and instead provides evidence that modern firms have altered this approach by embracing opportunities for new strategic value creation presented by BD. Managers should emphasize BD usage throughout strategic orientations. Originality/value The study is the first to provide theoretical and practical reflections on the use of BD in firms’ strategies. Its contributions face up established literature of the causal direction of strategy choices and data applicability in international settings.


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