The effect of sub-national institutions and international entrepreneurial capability on international performance of export-focused SMEs: Evidence from China and South Korea

Zhang, Man; Gao, Qian; Cho, Hyuksoo

doi:10.1007/s10843-016-0196-6

Cited by 30 publications

(38 citation statements)

References 85 publications

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“…Performance outcomes Antecedents Faroque, 2015;Gruber-Muecke & Hofer (2015); He, Brouthers, & Filatotchev, 2018;Yayla, Yeniyurt, Uslay, & Cavusgil, 2018 (International) Entrepreneurial capability research Internationalization EMO Karra, Phillips, & Tracey (2008); Zhang, Gao, & Cho (2017); Zhang, Tansuhaj, & McCullough (2009) Table 2a Exploratory factor analysis with (Deshpande & Farley, 1999…”

Section: List Of Tablesmentioning

confidence: 99%

Revisiting entrepreneurial capabilities and export market orientation: a multi-scale investigation in an emerging economy

Faroque

Mostafiz

Faruq

et al. 2020

IJOEM

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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.

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Section: List Of Tablesmentioning

confidence: 99%

Revisiting entrepreneurial capabilities and export market orientation: a multi-scale investigation in an emerging economy

Faroque

Mostafiz

Faruq

et al. 2020

IJOEM

View full text Add to dashboard Cite

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“…Certain institutional aspects, such as stable political environments; simplified business laws; reduced bureaucratic requirements; fewer entry procedures; and modernized, efficient business registration, are seen as supportive for entrepreneurship and entrepreneurial opportunities (Klapper et al 2004). Likewise, government support, government transparency, and legal rules positively affect international entrepreneurial capacity (Zhang et al 2017).…”

Section: Institutional and Cultural Contextsmentioning

confidence: 99%

Transnational entrepreneurship: opportunity identification and venture creation

Lundberg

Rehnfors

2018

J Int Entrep

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The present case study focuses on entrepreneurs who have migrated from one developed economy (Sweden or Finland) to another developed economy (Hong Kong Special Administrative Region (HKSAR)). In contrast to the dominating understanding, we find that the transnational entrepreneurial incentives were opportunity driven rather than necessity based. The opportunity types identified varied, but indicate the importance of service opportunities, a type often left out of studies and classifications. A prevalent characteristic of transnational entrepreneurship is opportunity recognition based on introducing processes or products to the country of residence, familiar from the country of origin or based on use of the entrepreneurs' contacts in the home country. This study showed, however, that although this was the case for two entrepreneurs, some identified opportunities for acting in the opposite direction, or did both import and export. Notably, there was also a fourth category, offering businessfacilitating services, bridging differing cultural contexts in relationshipmiddlemen positions. For these entrepreneurs, there was thus no obvious Bdomestic market^from the start as assumed in traditional internationalization theories. Furthermore, although their businesses started on a limited scale between two countries, they quickly grew and entered other country markets. These transnational businesses thus represent forms of born globals not included in the high-tech business models often associated with such firms. Our findings finally lend support to arguments that a business-favorable institutional environment facilitates and encourages entrepreneurship.

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“…Firms that nurture an IEC are equipped with the strategic processes needed for international growth. While empirical studies are limited, IEC generally supports the performance of emerging market INVs (Baimai and Mukherji, 2015;Zhang et al, 2009Zhang et al, , 2017). An IEC underlies the ability of these INVs to conduct learning essential to successfully identify and exploit international opportunities.…”

Section: Iec and International Performancementioning

confidence: 99%

“…Conducting empirical research in emerging markets can be challenging as publicly available data are often limited or deficient (Prashantham and Birkinshaw, 2015;Varma and Budhwar, 2012). In response to distrust and unwillingness of managers to respond, we collaborated with a market research firm to administer surveys in India (Hoskisson et al, 2000;Zhang et al, 2017). We employed Qualtrics to collect responses from 286 high-tech Indian INVs via an online survey in 2017.…”

Section: Samplementioning

confidence: 99%

“…This is where emerging market INVs capitalise on IEC. While there is evidence that IEC distinguishes emerging market INV behaviour as compared with traditional SME exporters (Zhang et al, 2009), research examining this perspective is still in its infancy (Zhang et al, 2017). Therefore, further study of entrepreneurship within emerging market INVs is necessary for theory development (Paul and Rosado-Serrano, 2019).…”

Section: Introductionmentioning

confidence: 99%

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Dynamic capabilities and performance of emerging market international new ventures: Does international entrepreneurial culture matter?

Buccieri

Javalgi

Jancenelle

2020

International Small Business Journal: Researching Entrepreneurs

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This article examines the phenomenon of dynamic capabilities in international new ventures (INVs) from emerging markets. While this research stream is gaining traction, the literature is fragmented as to how INVs from emerging markets develop dynamic capabilities to overcome resource constraints and legitimacy issues. The authors highlight the importance of a comprehensive international entrepreneurial culture (IEC) to better understand how these INVs develop dynamic capabilities and foster international performance. This study draws on organisational learning and the knowledge-based view (KBV) to examine the role of IEC in shaping dynamic capabilities and international performance under various levels of market turbulence. To conduct our analyses, this study uses a sample of INVs from India – a key emerging market. The results indicate that IEC shapes dynamic capabilities and both support superior international performance. The findings also confirm the utility of IEC towards dynamic capabilities and international performance when operating in turbulent markets.

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The effect of sub-national institutions and international entrepreneurial capability on international performance of export-focused SMEs: Evidence from China and South Korea

Cited by 30 publications

References 85 publications

Revisiting entrepreneurial capabilities and export market orientation: a multi-scale investigation in an emerging economy

Revisiting entrepreneurial capabilities and export market orientation: a multi-scale investigation in an emerging economy

Transnational entrepreneurship: opportunity identification and venture creation

Dynamic capabilities and performance of emerging market international new ventures: Does international entrepreneurial culture matter?

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