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Deconstructed entrepreneurial orientation and export performance: mediating role of differentiation and cost leadership strategy from the developing country context

Kamal Hossain (University of Malaya, Kuala Lumpur, Malaysia)
Mohammad Nurul Alam (Department of Management, Tabuk University, Tabuk, Saudi Arabia)
Mohd Rizal Muwazir (Department of Shariah and Management, Universiti Malaya, Kuala Lumpur, Malaysia)
Ali Alsiehemy (Department of Marketing, University of Tabuk, Tabuk, Saudi Arabia)
Noor Azlinna Azizan (SolBridge International School of Business, Daejeon, South Korea)

International Journal of Emerging Markets

ISSN: 1746-8809

Article publication date: 26 September 2023

528

Abstract

Purpose

The aim of this study is to examine the effects of innovativeness (INN), proactiveness, (PRC) and risk-taking (RIT) on the export performance of apparel small and medium-sized enterprises (SMEs) and the role of differentiation and low-cost leadership (LCL) strategies as mediating effects between entrepreneurial orientation (EO) dimensions and the performance of exporting firms. INN, RIT and PRC are considered EO dimensions.

Design/methodology/approach

A cross-sectional survey was carried out by providing a questionnaire to the owners, directors and senior managers of the apparel SMEs – the primary data of 550 treated by structural equation modeling (SEM) technique for final data analysis.

Findings

The study has revealed the positive dimensional effect of EO on export performance. For the mediation effects of differentiation and LCL, differentiation strategy (DS) positively mediates between INN, PRC and export performance. However, no mediation has been found between RIT and export performance. On the other hand, LCL has found positive effects between INN, RIT and export performance. However, the mediation effect was absent between PRC and export performance.

Research limitations/implications

Limitations/implications- This study has been conducted on only Muslim owners, senior export managers and directors of apparel SMEs in Bangladesh. It has examined the two main competitive strategies as a mediator between EO dimensions and export performance. The findings of this study are based on one country data analysis.

Practical implications

EO, differentiation and low-cost leadership (LCL) strategy are resources and capabilities of an organization to create a competitive advantage to enhance performance. The factors of this research are helpful for SME practitioners.

Originality/value

The direct and indirect effects (differentiation and LCL strategy) of EO dimensions on export performance in an emerging country, i.e. the South-Asia region, is a pioneer study. Therefore, current research has theoretical and managerial implications for the international business and strategic management literature.

Keywords

Acknowledgements

Since acceptance of this article, the following author have updated their affiliations: Kamal Hossain is at the Department of Business Administration, World School of Business, World University of Bangladesh, Dhaka, Bangladesh.

The authors of this study acknowledged the top-level executives of the apparel industry in Dhaka, Bangladesh as well as the support from the Solbridge International School of Business, South Korea.

Citation

Hossain, K., Alam, M.N., Muwazir, M.R., Alsiehemy, A. and Azizan, N.A. (2023), "Deconstructed entrepreneurial orientation and export performance: mediating role of differentiation and cost leadership strategy from the developing country context", International Journal of Emerging Markets, Vol. ahead-of-print No. ahead-of-print. https://doi.org/10.1108/IJOEM-08-2021-1209

Publisher

:

Emerald Publishing Limited

Copyright © 2023, Emerald Publishing Limited

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