(2015) 'Leveraging marketing capabilities into competitive advantage and export performance.', International marketing review., 32 (1). pp. 78-102. Further information on publisher's website:http://dx.doi.org/10.1108/ IMR-12-2013-0279 Publisher's copyright statement:This article is c Emerald Group Publishing and permission has been granted for this version to appear here http://dro.dur.ac.uk/14799/. Emerald does not grant permission for this article to be further copied/distributed or hosted elsewhere without the express permission from Emerald Group Publishing Limited.
Additional information:Use policyThe full-text may be used and/or reproduced, and given to third parties in any format or medium, without prior permission or charge, for personal research or study, educational, or not-for-prot purposes provided that:• a full bibliographic reference is made to the original source • a link is made to the metadata record in DRO • the full-text is not changed in any way The full-text must not be sold in any format or medium without the formal permission of the copyright holders.Please consult the full DRO policy for further details. Originality/value: Although research on marketing capabilities is still in its early infancy, our study provides a base from which future work can be developed. We 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.
Over the past four decades, there has been a considerable number of studies that have examined the determinants and outcomes of export pricing. However, despite this large volume of studies, the knowledge of the determinants and consequences of export pricing is characterized by a fragmented, diverse, and inconsistent collection of findings that hinders scholarship and practical advancement in the field. A major reason for this absence of clear insights is the lack of synthesis and assimilation of the fragmented knowledge. To address this gap in the literature, the authors review and evaluate 98 articles published between 1971 and 2010. The results indicate that although significant progress has been made in recent years, research on export pricing is still characterized by the lack of a strong theoretical basis, the failure to agree on the relevant determinants of export pricing, and some weakness in research designs and analytical techniques, which may explain the many contradictory and confusing findings in the literature. On the basis of these findings, the authors discuss several implications, and consider directions for further research.
Research Summary
This study examines the exit behavior of emerging market MNCs in the context of the parent company (PC)‐foreign affiliate (FA) relationship. Specifically, we consider business relatedness as a moderating variable and examine its impact on the relationship between an FA’s international performance and its exit decision from a foreign market. Our results, based on data collected from multiple informants in 180 Chinese firms, indicate that product relatedness and intangible resource relatedness have different moderating impacts on the FA performance‐FA exit decision relationship. Implications of these findings, along with the limitations of the study, are discussed.
Managerial Summary
Although the research on international entry and expansion is particularly important, an aspect that has been largely ignored in the literature is the exit behavior of firms. This study examines whether the extent to which a foreign subsidiary is similar to its parent's core business may influence the firm's exit decision. The findings indicate that managers are more likely to exit a poorly performing FA if there is a high (vs. low) level of product relatedness between the FA and its PC's core business. The results also suggest that intangible resource relatedness exerts a different contingent effect on the FA performance‐FA exit relationship than does product relatedness.
Although international entry and expansion has been a particularly important topic in the literature, there has been little research effort to explain firms' exit decisions from foreign markets. Drawing on the notion of fit theory together with moderation contingent logic, this study investigates the effects of international performance and internal strategic fit as well as the moderating impact of cultural distance and international experience on the firm's exit decision. The results indicate that strategic misfit and poor international performance have a detrimental effect on the firm's survival in the foreign market. Furthermore, the results suggest that cultural distance moderates the impact of the internal strategic fit and international performance on the exit decision. In addition, the authors find a significant three-way interaction between international performance, cultural distance, and international experience. Using data collected from multiple informants in Chinese outward foreign direct investment firms, this study generates new insights for academics and practitioners.
PurposeTo help firms with their international operations, governments often create policies and support mechanisms, but its influence on the firm's exit decision has so far been ignored. Hence, the purpose of this study is to examine the impact of home-country governmental support on the firm's exit decision.Design/methodology/approachThe authors test their conceptual model using multiple informants as well as secondary data from China. The sample consists of 360 valid questionnaires from 180 firms. Binary logistics regression is used to test the conceptual framework.FindingsBy demonstrating that resource-based and institutional constructs are highly dependent, the authors show how home-country governmental support interacts with the foreign affiliate's past performance to explain the decision to remain or exit a foreign market. The results indicate that while governmental financial support reduces the likelihood of exiting a poorly performing business in the foreign market, governmental non-financial support surprisingly has an opposite effect.Originality/valueWhile there has been an increasing number of firms exiting foreign markets, this area of research is still limited. The study also contributes to the literature by focusing on home-country governmental financial and non-financial support to explain the firm's exit decision – an issue that has been ignored and is expected to be particularly relevant for firms from emerging economies.
scite is a Brooklyn-based organization that helps researchers better discover and understand research articles through Smart Citations–citations that display the context of the citation and describe whether the article provides supporting or contrasting evidence. scite is used by students and researchers from around the world and is funded in part by the National Science Foundation and the National Institute on Drug Abuse of the National Institutes of Health.