The purpose of this study is to empirically examine the inter‐related relationships among various branding issues such as brand orientation, brand re‐positioning, brand performance and international marketing issues in terms of international marketing strategy, financial performance, control of international marketing activities, international commitment and macro‐marketing environment.
A mail survey with 315 useful samples drawn from the Austrade database was conducted. The steps suggested by Churchill, Cheng and Andersen and Gerbing were rigorously followed to purify the constructs and measurement models. Finally, structural equation modelling using partial disaggregation method was performed to test the whole structured model.
The results from structural equation modelling method confirm significant relationships between the constructs in the model. All major fit indices from structural equation modelling analysis show satisfactory results for both the measurement models and the structural model.
The findings provide insight to international marketers with regard to deploying resources, establishing strategy and adapting the strategy to the culture within overseas markets. Judicious investments in finance and personnel are required for overseas expansion. International branding strategy can be used to enhance a firm's brand and financial performances abroad.
The major values of this study are the establishment of the role of branding in international business. Both brand orientation and brand repositioning have significant impacts on international marketing strategy, which in turn positively affects a firm's performance. Developments of new constructs such as brand orientation, brand repositioning, brand performance and cultural aspects are statistically validated.
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