How Innovation Influences on Export Performance: A Configuration Approach for Emerging Economies

Authors

  • Jorge Heredia Universidad del Pacífico
  • Alejandro Flores Universidad del Pacífico
  • Walter Heredia Universidad del Pacífico
  • Rocío Arango Universidad del Pacífico
  • Lisbeth Medina Universidad del Pacífico

DOI:

https://doi.org/10.4067/S0718-27242019000400054

Keywords:

Export performance, technological capability, cost strategy, differentiation strategy, qualitative comparative analysis, emerging economy.

Abstract

This study examines innovation on export performance under competitive strategies, institutional factors and marketing capability. We collect the information from 201 firms through surveys of four countries: Brazil, Mexico, Chile, and Peru, and we use a novel method approach (qualitative comparative analysis) to analyze how these antecedents combined to lead to the export performance. We found that the technological capability degree depends on the export market. In developed markets, firms need low technological capability, contrary when firms export to developing countries firms needs to develop high degree of technological capability. Besides, the technological capability needs to configure with implementation of strategies depends on institutional factors and marketing capability.

Downloads

Download data is not yet available.

Author Biography

Alejandro Flores, Universidad del Pacífico

Jefe del Departamento Académico de Administración Profesor Principal, Facultad de Ciencias Empresariales

References

Abereijo, I. O., Adegbite, S. A., Ilori, M.O., Adeniyi, A. A. & Aderemi, H. A. (2009). Technological innovation sources and institutional supports for manufacturing small and medium enterprises in Nigeria. Journal of Technology Management & Innovation, 4(2). https://doi:10.4067/s0718-27242009000200007

Acquaah, M., & Yasai-Ardekani, M. (2008). Does the implementation of a combination competitive strategy yield incremental performance benefits? A new perspective from a transition economy in Sub-Saharan Africa. Journal of Business Research, 61 (4), 346-354. https://doi:10.1016/j.jbusres.2007.06.021

Anderson, C.R., & Zeithaml, C. P. (1984). Stage of product life cycle, business strategy, and business performance. Academy of Management Journal, 27(1), 5-24. https://doi:10.2307/255954

Athreye, S. & Kapur, S. (2015). Capital and technology flows: Changing technology acquisition strategies in developing countries. The Handbook of Global Science, Technology, and Innovation, 191–211. http://doi:10.1002/9781118739044.ch9

Aulakh, P. S., & Kotabe, M., & Teegen, H. (2000). Export strategies and performance of firms from emerging economies: Evidence from Brazil, Chile, and Mexico. Academy of management Journal, 43(3), 342-361. https://doi.org/10.5465/1556399

Awokuse, T. O. (2008). Trade openness and economic growth: is growth export-led or import-led? Applied Economics, 40(2), 161–173. http://doi:10.1080/00036840600749490

Barney, J. B. (1991). Firm resources and sustained competitive advantage. Journal of Management, 17(1), 99-120. http://doi:10.1177/014920639101700108

Bernard, A., Eaton, J., Jensen, J. B., & Kortum, S., (2003). Plants and productivity in international trade. American Economic Review, 93(4), 1268–1290. http://doi:10.1257/000282803769206296

Brenes, E. R., Ciravegna, L., & Woodside, A. G. (2017). Constructing useful models of firms’ heterogeneities in implemented strategies and performance outcomes. Industrial Marketing Management, 62, 1735. https://doi.org/10.1016/j.indmarman.2016.12.001

Buzzell, R. & Gale B. (1987). The PIMS Principles: Linking Strategy to Performance. The Free Press, New York. https://doi.org/10.1016/0024-6301(89)90028-9.

Cadogan, J.W., Diamantopoulos, A. & Siguaw, J.A. (2002). Export market-oriented activities: Their antecedents and performance consequences. Journal of International Business Studies, 33 (3), 615–626. https://doi.org/10.1057/palgrave.jibs.8491036

Carneiro, J., da Rocha, A., & Ferreira da Silva, J. (2011). Determinants of Export Performance: a Study of Large Brazilian Manufacturing Firms. Brazilian Administration Review, 8(2), 107-132. https://doi.org/10.1590/s1807-76922011000200002

Cavusgil, S., & Zou, S. (1994). Marketing Strategy-Performance Relationship: An Investigation of the Empirical Link in Export Market Ventures. Journal of Marketing, 58(1), 1-21. https://doi:10.2307/1252247

Chang, Y. C., Chang, H. T., Chi, H. R., Chen, M. H., & Deng, L. L. (2012). How do established firms improve radical innovation performance? the organizational capabilities view. Technovation, 32(7–8), 441–451. https://doi.org/10.1016/j.technovation.2012.03.001

Chao, M. C. H., & Kumar, V. (2010). The impact of institutional distance on the international diversity-performance relationship. Journal of World Business, 45(1), 93–103. https://doi.org/10.1016/j.jwb.2009.04.005

Chen, L., Li, Y., & Fan, D. (2018). How do emerging multinationals configure political connections across institutional contexts? Global Strategy Journal, 8(3), 447–470. https://doi.org/10.1002/gsj.1187

Conant, J. S., Mokwa, M. P., & Varadarajan, P. R. (1990). Strategic Types , Distinctive Marketing Competencies and Organizational Performance : A Multiple Measures-Based Study. Strategic Management Journal, 11(5), 365–383. https://doi.org/https://doi.org/10.1002/smj.4250110504

D’Angelo, A. (2012). Innovation and export performance: A study of Italian high-tech SMEs. Journal of Management and Governance, 16(3), 393–423. https://doi.org/10.1007/s10997-010-9157-y

Day, G. S. (1994). The Capabilities of Market-Driven Organizations. Journal of Marketing, 58(4), 37. https://doi.org/10.2307/1251915

Desarbo, W. S., Di Benedetto, C. A., Song, M., & Sinha, I. (2005). Revisiting The Miles And Snow Strategic Framework: Uncovering interrelationships Between Strategic Types, Capabilities, Environmental Uncertainty, And Firm Performance. Strategic Management Journal, 26(1), 47–74. https://doi.org/10.1002/smj.431

Dess, G. G., & Davis, P. S. (1984). Porter’s (1980) Generic Strategies as Determinants of Strategic Group Membership and Organizational Performance. Academy of Management Journal, 27(3), 467–488. https://doi.org/10.5465/256040

Dhanaraj, C., & Beamish, P. W. (2003). A Resource-Based Approach to the Study of Export Performance. Journal of Small Business Management, 41(3), 242–261.

DiPietro, W. R., & Anoruo, E. (2006). Creativity, innovation, and export performance. Journal of Policy Modeling, 28(2), 133–139. https://doi.org/10.1016/j.jpolmod.2005.10.001

Dobni, C.B., Luffman, G., 2003. Determining the scope and impact of market orientation profiles on strategy implementation and performance. Strategic Management Journal,. 24(6), 577–585. https://doi.org/10.1002/smj.322

Ernst, D., Mytelka, L., & Ganiatsos, T. (1995). Technological capabilities in the context of export-led growth. Technological Capabilities and Export Success in Asia, 5. https://doi:10.4324/9780203184226_chapter_1

Faruq, H. A. (2011). How institutions affect export quality. Economic Systems, 35(4), 586–606. https://doi.org/10.1016/j.ecosys.2011.05.001

Francés, A. (2006). Estrategia y planes para la empresa: Con el cuadro de mando integral. M. F. Castillo (Ed.) México DF, México: Pearson Prentice Hall.

Gao, G. Y., Murray, J. Y., Kotabe, M., & Lu, J. (2010). A ‘“strategy tripod”’ perspective on export behaviors: Evidence from domestic and foreign firms based in an emerging economy. Journal of International Business Studies, 41(6), 1090–1091. https://doi.org/10.1057/jibs.2010.32

Gaur, A. S., & Lu, J. W. (2007). Ownership strategies and survival of foreign subsidiaries: Impacts of institutional distance and experience. Journal of Management, 33(1), 84–110. https://doi.org/10.1177/0149206306295203

Guan, J., & Ma, N. (2003). Innovative capability and export performance of Chinese firms. Technovation, 23(9), 737–747. https://doi.org/10.1016/S0166-4972(02)00013-5

Heredia Pérez, J. A., Geldes, C., & Heredia, W. (2017). Effects of informal competition on innovation performance: the case of pacific alliance. Journal of Technology Management & Innovation, 14(2), 22–28. https://doi.org/https://doi.org/10.4067/s0718-27242017000400003

Heredia Pérez, J. A., Geldes, C., Kunc, M. H., & Flores, A. (2018). New approach to the innovation process in emerging economies: The manufacturing sector case in Chile and Peru. Technovation, (February), 1–21. https://doi.org/10.1016/j.technovation.2018.02.012

Heredia Pérez, J. A., Kunc, M. H., Durst, S., Flores, A., & Geldes, C. (2018). Impact of competition from unregistered firms on R&D investment by industrial sectors in emerging economies. Technological Forecasting and Social Change, (March), 1–12. https://doi.org/10.1016/j.techfore.2018.03.028

Homburg, C., Krohmer, H., & Workman, J. P. (2004). A strategy implementation perspective of market orientation. Journal of Business Research, 57, 1331–1340. https://doi.org/10.1016/S0148-2963(03)00069-9

Hoskisson, R. E., Eden, L., Lau, C. M., & Wright, M. (2000). Strategy in emerging economies. Academy of Management Journal. Academy of Management Journal, 43(3), 249–267. https://doi.org/https://doi.org/10.5465/1556394

Hulland, J., Todiño, H. S., & Lecraw, D. J. (1996). Country-of-Origin Effects on Sellers’ Price Premiums in Competitive Philippine Markets. Journal of International Marketing, 4(1), 57–79. https://doi.org/10.1177/1069031x9600400105

Illescas, J., & Jaramillo, C. (2011). Export growth and diversification: the case of Peru. Policy Research Working Paper, (November). Retrieved from https://openknowledge.worldbank.org/handle/10986/3634

Katsikeas, C. S., Leonidou, L. C., & Morgan, N. A. (2000). Firm-level export performance assessment: Review, evaluation, and development. Journal of the Academy of Marketing Science, 28(4), 493–511. https://doi.org/10.1177/0092070300284003

Khanna, T., K. G. Palepu, and Sinha J. (2005). Strategies that fit emerging markets. Harvard Business Review, 83 (6): 63–76.

Krammer, S. M. S. (2016). The role of diversification profiles and dyadic characteristics in the formation of technological alliances: Differences between exploitation and exploration in a low-tech industry. Research Policy, 45(2), 517–532. https://doi.org/10.1016/j.respol.2015.10.014

Leonidou, L. C., Katsikeas, C. S., & Coudounaris, D. N. (2010). Five decades of business research into exporting: A bibliographic analysis. Journal of International Management, 16(1), 78–91. https://doi.org/10.1016/j.intman.2009.06.001

Love, J. H., & Roper, S. (2015). SME innovation, exporting and growth: A review of existing evidence. International Small Business Journal: Researching Entrepreneurship, 33(1), 28–48. https://doi.org/10.1177/0266242614550190

Macmillan, I. C., Hambrick, D. C., & Day, D. L. (1982). The product portfolio and profitability: a PIMS-based analysis of industrial-product businesses. Academy of Management Journal, 25(4), 733–755. https://doi.org/https://doi.org/10.5465/256096

Murray, J. Y., Gao, G. Y., & Kotabe, M. (2011). Market orientation and performance of export ventures: The process through marketing capabilities and competitive advantages. Journal of the Academy of Marketing Science, 39(2), 252–269. https://doi.org/10.1007/s11747-010-0195-4

Parnell, J. A. (2008). Strategy execution in emerging economies: Assessing strategic diffusion in Mexico and Peru. Management Decision, 46(9), 1277–1298. https://doi.org/10.1108/00251740810911948

Parnell, J. A. (2010). Competitive Strategy and Performance in Mexico, Peru, and the United States. Journal of CENTRUM Cathedra: The Business and Economics Research Journal, 3(2), 150–165. https://doi.org/10.7835/jcc-berj-2010-0044

Parnell, J. A. (2011). Strategic capabilities, competitive strategy, and performance among retailers in Argentina, Peru and the United States. Management Decision, 49(1), 139–155. https://doi.org/10.1108/00251741111094482

Peng, M., Sun, S., Pinkham, B., & Chen, H. (2009). The Institution-Based View as a Third Leg for a Strategy Tripod. Academy of Management Perspectives, 23(3), 63–81. https://doi.org/10.5465/AMP.2009.43479264

Peng, M., Wang, D., & Jiang, Y. (2008). An institution-based view of international business strategy: A focus on emerging economies. Journal of International Business Studies, 39(5), 920–936. https://doi.org/10.1057/palgrave.jibs.8400377

Pertusa-Ortega, E. M., Molina-Azorín, J. F., & Claver-Cortés, E. (2010). Competitive strategy, structure and firm performance: A comparison of the resource-based view and the contingency approach. Management Decision, 48(8), 1282–1303. https://doi.org/10.1108/00251741011076799

Piercy, N. F., Kaleka, A., & Katsikeas, C. S. (1998). Sources of competitive advantage in high performing exporting companies. Journal of World Business, 33(4), 378–393. https://doi.org/10.1016/S1090-9516(99)80081-9

Prasad, V. K., Ramamurthy, K., & Naidu, G. M. (2001). The influence of internet – marketing integration on marketing competencies. Journal of International Marketing, 9(4), 82–110. https://doi.org/https://doi.org/10.1509/jimk.9.4.82.19944

Ragin, C. C. (2008). Redesigning social inquiry: Fuzzy sets and beyond. Chicago: University of Chicago Press. https://doi.org/10.7208/chicago/9780226702797.001.0001

Reichert, F. M., & Zawislak, P. A. (2014). Technological capability and firm performance. Journal of Technology Management and Innovation, 9(4), 20–35. https://doi.org/10.4067/S0718-27242014000400002

Rihoux, B., and Ragin, C. C. (2009). Configurational comparative methods: Qualitative comparative analysis (QCA) and related techniques. Applied social research methods series. 51. Thousand Oaks, CA: Sage.

Rodrik, D. (1995). Getting interventions right: how South Korea and Taiwan grew rich. Economic Policy, 20, 53–97. https://doi.org/https://doi.org/10.3386/w4964

Roper, S., & Love, J. H. (2002). Innovation and export performance: Evidence from the UK and German manufacturing plants. Research Policy, 31(7), 1087–1102. https://doi.org/10.1016/S0048-7333(01)00175-5

Schneider, C. Q., & Wagemann, C. (2012). Set-theoretic methods for the social sciences: A guide to qualitative comparative analysis. Cambridge University Press. http://dx.doi.org/10.1017/CBO9781139004244

Sousa, C. M. P., Martínez-López, F. J., & Coelho, F. (2008). The determinants of export performance: A review of the research in the literature between 1998 and 2005. International Journal of Management Reviews, 10(4), 343–374. https://doi.org/10.1111/j.1468-2370.2008.00232.x

Spanos, Y. E., Zaralis, G., & Lioukas, S. (2004). Strategy and industry effects on profitability: Evidence from Greece. Strategic Management Journal, 25(2), 139–165. https://doi.org/10.1002/smj.369

Stoian, M. C., Rialp, A., & Rialp, J. (2010). Export performance under the microscope: A glance through Spanish lenses. International Business Review, 20(2), 117–135. https://doi.org/https://doi.org/10.1016/j.ibusrev.2010.07.002

Subramaniam, M., Ernst, H., & Dubiel, A. (2015). From the special issue editors: Innovations for and from emerging markets. Journal of Product Innovation Management, 32(1), 5–11. https://doi.org/10.1111/jpim.12167

Tookson, P., and Mohamad, O. (2010). Marketing Capability and Export Performance: the Moderating Effect of Export Dependence. The South East Asian Journal of Management, 4(1), 39-52. https://doi/org/10.21002/seam.v4i1.5630

Tulet, J. C. (2010). Peru as a new major actor in latin American coffee production. Latin American Perspectives, 37(2), 133–141. https://doi.org/10.1177/0094582X09356962

Voola, R., & O’Cass, A. (2010). Implementing competitive strategies: The role of responsive and proactive market orientations. European Journal of Marketing, 44(1–2), 245–266. https://doi.org/10.1108/03090561011008691

Wang, Y., Cao, W., Zhou, Z., & Ning, L. (2013). Does external technology acquisition determine export performance? Evidence from Chinese manufacturing firms. International Business Review, 22(6), 1079–1091. https://doi.org/10.1016/j.ibusrev.2013.02.009

Zahra, S. A., & Covin, J. G. (1993). Business Strategy, Technology Policy and Firm Performance. Strategic Management Journal, 14, 451–478. https://doi.org/https://doi.org/10.1002/smj.4250140605

Zawislak, P. A., Alves, A. C., Tello-Gamarra, J., Barbieux, D., & Reichert, F. M. (2012). Innovation capability: From technology development to transaction capability. Journal of Technology Management and Innovation, 7(2), 14–25. https://doi.org/10.4067/s0718-27242012000200002

Downloads

Additional Files

Published

2019-12-12

How to Cite

Heredia, J., Flores, A., Heredia, W., Arango, R., & Medina, L. (2019). How Innovation Influences on Export Performance: A Configuration Approach for Emerging Economies. Journal of Technology Management & Innovation, 14(4), 54–65. https://doi.org/10.4067/S0718-27242019000400054

Issue

Section

Research Articles

Similar Articles

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 > >> 

You may also start an advanced similarity search for this article.