International servitization of SMEs in emerging markets: antecedents and boundary conditions
International Marketing Review
ISSN: 0265-1335
Article publication date: 14 March 2023
Issue publication date: 4 December 2023
Abstract
Purpose
Product-service innovation (i.e. servitization) is providing opportunities to small and medium-sized enterprises (SMEs) to offer services that are directly coupled to their products. Despite scholarly efforts on servitization in domestic markets, the determinants of international product-service innovation remain unclear. Therefore, this study draws insights from dynamic capability (DC) view and aims to examine the international human capital and international product-service innovation relationship. Specifically, the authors argue that the effect of international human capital on international product-service innovation is mediated by international inter-organizational marketing capability (IIMC) and moderated by international market complexity.
Design/methodology/approach
The authors test the conceptual model using structural equation modeling on a sample of 211 SMEs operating in United Arab Emirates (UAE) – an emerging market economy.
Findings
The results show that IIMC mediates the relationship between international human capital and international product-service innovation. The authors further found that the indirect relationship between international human capital and international product-service innovation is strengthened when international market complexity increases in magnitude.
Originality/value
This study advances the knowledge on international servitization by examining international human capital and IIMC as the determinants and international market complexity as a moderator. Data collection in the UAE contributes to empirical research on international servitization from emerging markets.
Keywords
Acknowledgements
The authors thank the editors, and the anonymous reviewers for their helpful and constructive comments.
Citation
Zahoor, N., Christofi, M. and Nwoba, A.C. (2023), "International servitization of SMEs in emerging markets: antecedents and boundary conditions", International Marketing Review, Vol. 40 No. 4, pp. 693-717. https://doi.org/10.1108/IMR-10-2021-0319
Publisher
:Emerald Publishing Limited
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