Understanding Relationship among Overseas Market Orientation, Dynamic Internationalization Capability and International Performance: A case of Information Service Industry

Author(s):  
Michael Yao-Ping Peng
2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mohammad Falahat ◽  
Pedro Soto-Acosta ◽  
T. Ramayah

PurposeThis study argues that having an entrepreneurial culture and market orientation are critical for young enterprises to gain competitive advantage and superior international performance. We investigate how young entrepreneurial companies despite their limited resources and experience expand rapidly in foreign markets almost from their inception.Design/methodology/approachThis investigation uses a mixed-methods approach, combining in-depth interviews and survey data. In-depth interviews lead us to conceptualise a model highlighting the importance of international knowledge, international orientation, international networking and international commitment as entrepreneurial culture and market orientation for gaining competitive advantage and, in return, superior performance in the international market. Then, the derived conceptual model is empirically tested on a sample of Malaysian Small and Medium Enterprises (SMEs).FindingsResults show that entrepreneurial culture is positively associated with competitive advantage and international performance, while market orientation is positively related to competitive advantage but not to international performance. In addition, government support strengthens the positive effect of competitive advantage on international performance.Originality/valueThis study investigation analyses the importance of entrepreneurial culture and market orientation in contributing to competitive advantage and superior performance. In addition, this study examines the critical role of government support in the relationships between entrepreneurial culture and competitive advantage and between competitive advantage and international 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.


Sign in / Sign up

Export Citation Format

Share Document