The Internet has been shown to facilitate elements of internationalisation such as information accumulation and network opportunities. However, there is limited understanding of how the Internet combined with marketing capabilities drives international market growth. This study, based on a sample of 224 Australian firms, develops and tests, using structural equation modelling (SEM), a conceptual model of Internet marketing capabilities and international market growth. Results indicate that firms deploying Internet marketing capabilities will benefit due to the reduction of information uncertainty and increased capacity to develop international network capabilities. Moreover, Internet marketing capabilities indirectly lead to international market growth when the firm has a high level of international strategic orientation and international network capabilities. Overall, Internet marketing capabilities enhance the firm's ability to generate other internal capabilities within the firm, which in turn have a positive impact on the international market growth of the firm
■ This paper presents a scale to measure the stage of internationalisation of a firm which depicts export development as an innovation adoption process. A fourstage, multi-item scale ranging from export awareness, interest, trial to adoption is developed.■ The analysis is based on two independent surveys of Australian wineries. Systematic procedures of scale development are followed including the use of confirmatory factor analysis for scale validation.
Key Results■ The four stage model of internationalisation is shown to possess good psychometric proprieties. The data analysis suggests a strong negative correlation between the first stage of awareness and the other stages, and strong positive correlations among the last three stages of internationalisation.
Purpose
Enhancing firm commitment towards internationalisation is an important step towards ensuring successful international performance. However, there is limited research on this topic for emerging market firms. The purpose of this paper is to investigate the factors that influence the internationalisation commitment of emerging market firms located in two Latin American countries with different institutional environments.
Design/methodology/approach
This study proposes and tests a conceptual model that includes drivers and barriers of internationalisation commitment. Data were collected from Chilean and Brazilian firms. The model uses confirmatory factor analysis to develop the underlying multi-item constructs and structural equation modelling to test the model.
Findings
The results show that managers’ perceptions of firm resources and capabilities are significant drivers of internationalisation commitment in both countries. In addition, perceptions of internal firm-specific barriers, such as a manager’s lack of international experience and knowledge, are negatively related to internationalisation commitment in Chile, but not in Brazil. Finally, external environmental barriers are negatively related to internationalisation commitment in Brazil, but not in Chile.
Practical implications
The context for the study is Chile and Brazil. Both are important emerging markets in Latin America, with a strong focus on firm internationalisation. The research design is cross-sectional and so does not allow for any causal claims to be made. The findings have important implications for internationalisation efforts of managers and export promotion agencies of emerging markets with different institutional environments.
Originality/value
This research contributes to the relatively scant but increasing number of empirical studies which investigate emerging market internationalisation in Latin America.
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