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EXPLORING THE NEXUS BETWEEN SUPPLY CHAIN INTEGRATION, EXPORT MARKETING STRATEGIES PRACTICES AND EXPORT PERFORMANCE: A CASE OF INDONESIAN FIRMS
Corresponding Author(s) : Jutamat Sutduean
Humanities & Social Sciences Reviews,
Vol. 7 No. 3 (2019): May
Abstract
Purpose: Given the internationalization of business today, it illustrates the importance of companies looking for overseas market opportunities for the capture of and sustainability of competitive advantage. Following the success of companies from newly developed nations such as the Far East Asian nations of the Republic of Korea and the Republic of China, Taiwan and South East Asian countries such as Singapore, emerging economies are shifting to external sector growth through export industries from the internal sector growth of import substitution industries. Thus, the current study is interested in exploring the nexus between supply chain integration, export marketing strategies and export performance of Indonesian manufacturing firms.
Methodology: Employing the survey-based methodology, the SEM-PLS technique is used to test the hypothesized relationships. So, the current study has used SEM-PLS as a statistical tool to answer the research questions raised in this study and research objectives envisaged in the current study.
Results: The findings of the study have provided support to the theoretical foundation and proposed hypothesis of the current study. Current study will be helpful for policymakers and practitioners in understanding the issues related to supply chain risk, supply chain integration and supply chain agility. In the author's knowledge this is among very few pioneering studies on this issue.
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- Aksoy, H., 2017. How do innovation culture, marketing innovation and product innovation affect the market performance of small and medium-sized enterprises (smes). Technology in Society, 51: 133-141.https://doi.org/10.1016/j.techsoc.2017.08.005 DOI: https://doi.org/10.1016/j.techsoc.2017.08.005
- Azar, G. and F. Ciabuschi, 2017. Organizational innovation, technological innovation, and export performance: The effects of innovation radicalness and extensiveness. International Business Review, 26(2): 324-336.https://doi.org/10.1016/j.ibusrev.2016.09.002 DOI: https://doi.org/10.1016/j.ibusrev.2016.09.002
- Basheer, M., M. Siam, A. Awn and S. Hassan, 2019. Exploring the role of tqm and supply chain practices for firm supply performance in the presence of information technology capabilities and supply chain technology adoption: A case of textile firms in pakistan. Uncertain Supply Chain Management, 7(2): 275-288.https://doi.org/10.5267/j.uscm.2018.9.001 DOI: https://doi.org/10.5267/j.uscm.2018.9.001
- Chen, J., C.M. Sousa and X. He, 2016. The determinants of export performance: A review of the literature 2006-2014. International Marketing Review, 33(5): 626-670.https://doi.org/10.1108/IMR-10-2015-0212 DOI: https://doi.org/10.1108/IMR-10-2015-0212
- Cui, A.P., M.F. Walsh and S. Zou, 2014. The importance of strategic fit between host-home country similarity and exploration exploitation strategies on small and medium-sized enterprises' performance: A contingency perspective. Journal of International Marketing, 22(4): 67-85.https://doi.org/10.1509/jim.14.0045 DOI: https://doi.org/10.1509/jim.14.0045
- Descotes, R.M. and B. Walliser, 2018. International marketing related competences and smes' export performance during the recession. Projects/Proyectica/Projectique(3): 61-82.https://doi.org/10.3917/proj.021.0061 DOI: https://doi.org/10.3917/proj.021.0061
- DurmuÅŸoÄŸlu, S.S., G. Apfelthaler, D.Z. Nayir, R. Alvarez and T. Mughan, 2012. The effect of government-designed export promotion service use on small and medium-sized enterprise goal achievement: A multidimensional view of export performance. Industrial marketing management, 41(4): 680-691.https://doi.org/10.1016/j.indmarman.2011.09.016 DOI: https://doi.org/10.1016/j.indmarman.2011.09.016
- Fernández-Mesa, A. and J. Alegre, 2015. Entrepreneurial orientation and export intensity: Examining the interplay of organizational learning and innovation. International Business Review, 24(1): 148-156.https://doi.org/10.1016/j.ibusrev.2014.07.004 DOI: https://doi.org/10.1016/j.ibusrev.2014.07.004
- Filipe Lages, L. and D.B. Montgomery, 2005. The relationship between export assistance and performance improvement in portuguese export ventures: An empirical test of the mediating role of pricing strategy adaptation. European Journal of Marketing, 39(7/8): 755-784.https://doi.org/10.1108/03090560510601752 DOI: https://doi.org/10.1108/03090560510601752
- Gkypali, A., A. Rafailidis and K. Tsekouras, 2015. Innovation and export performance: Do young and mature innovative firms differ? Eurasian Business Review, 5(2): 397-415.https://doi.org/10.1007/s40821-015-0030-4 DOI: https://doi.org/10.1007/s40821-015-0030-4
- Hafeez, M.H., M.F. Basheer, M. Rafique and S.H. Siddiqui, 2018. Exploring the links between tqm practices, business innovativeness and firm performance: An emerging market perspective. Pakistan Journal of Social Sciences (PJSS), 38(2): 485-500.
- He, X., K.D. Brouthers and I. Filatotchev, 2013. Resource-based and institutional perspectives on export channel selection and export performance. Journal of Management, 39(1): 27-47.https://doi.org/10.1177/0149206312445926 DOI: https://doi.org/10.1177/0149206312445926
- Helleiner, E. and J. Kirshner, 2014. The great wall of money: Power and politics in China's international monetary relations. Cornell University Press.
- Hiremath, G.S. and J. Kumari, 2014. Stock returns predictability and the adaptive market hypothesis in emerging markets: Evidence from india. SpringerPlus, 3(1): 428.https://doi.org/10.1186/2193-1801-3-428 DOI: https://doi.org/10.1186/2193-1801-3-428
- Julian, C.C., 2018. The theoretical underpinnings of government policy, turbulence and performance in the service sector: A conceptual framework. Journal of Financial Services Marketing, 23(1): 1-11.https://doi.org/10.1057/s41264-018-0041-1 DOI: https://doi.org/10.1057/s41264-018-0041-1
- Julian, C.C. and A. O'Cass, 2004. The antecedents of export marketing performance: An australian perspective. Journal of Asia Pacific Marketing, 3(2): 99.https://doi.org/10.1300/J098v05n01_02 DOI: https://doi.org/10.1300/J098v05n01_02
- Lee, C. and D.A. Griffith, 2004. The marketing strategy-performance relationship in an export-driven developing economy: A korean illustration. International Marketing Review, 21(3): 321-334.https://doi.org/10.1108/02651330410539648 DOI: https://doi.org/10.1108/02651330410539648
- Lengler, J.F., C.M. Sousa and C. Marques, 2013. Exploring the linear and quadratic effects of customer and competitor orientation on export performance. International Marketing Review, 30(5): 440-468.https://doi.org/10.1108/IMR-03-2011-0087 DOI: https://doi.org/10.1108/IMR-03-2011-0087
- Magnusson, P., S.A. Westjohn, A.V. Semenov, A.A. Randrianasolo and S. Zdravkovic, 2013. The role of cultural intelligence in marketing adaptation and export performance. Journal of International Marketing, 21(4): 44-61.https://doi.org/10.1509/jim.13.0055 DOI: https://doi.org/10.1509/jim.13.0055
- Martin, S.L., R.G. Javalgi and E. Cavusgil, 2017. Marketing capabilities, positional advantage, and performance of born global firms: Contingent effect of ambidextrous innovation. International business review, 26(3): 527-543.https://doi.org/10.1016/j.ibusrev.2016.11.006 DOI: https://doi.org/10.1016/j.ibusrev.2016.11.006
- Morgan, N.A., C.S. Katsikeas and D.W. Vorhies, 2012. Export marketing strategy implementation, export marketing capabilities, and export venture performance. Journal of the Academy of Marketing Science, 40(2): 271-289.https://doi.org/10.1007/s11747-011-0275-0 DOI: https://doi.org/10.1007/s11747-011-0275-0
- Moussa, A., 2018. Does the agricultural sector contribute to the economic growth in case of the republic of benin? Journal of Social Economics Research, 5(2): 85-93.https://doi.org/10.18488/journal.35.2018.52.85.93 DOI: https://doi.org/10.18488/journal.35.2018.52.85.93
- Mungwari, T., 2018. Media framing of zanu pf internal succession struggles: Mnangagwa and the military factor. American Journal of Social Sciences and Humanities, 3(1): 1-21.https://doi.org/10.20448/801.31.1.21 DOI: https://doi.org/10.20448/801.31.1.21
- Myeni, S.L. and B.Y. Mvuyana, 2018. Participatory processes in planning for self-help housing provision in south africa: Policies and challenges. International Journal of Public Policy and Administration Research, 5(1): 24-36.
- Navarro, A. and A. Boveris, 2009. Brain mitochondrial dysfunction and oxidative damage in parkinson's disease. Journal of Bioenergetics and Biomembranes, 41(6): 517-521.https://doi.org/10.1007/s10863-009-9250-6 DOI: https://doi.org/10.1007/s10863-009-9250-6
- Navarro, A., F. Losada, E. Ruzo and J.A. Diez, 2010. Implications of perceived competitive advantages, adaptation of marketing tactics and export commitment on export performance. Journal of world business, 45(1): 49-58.https://doi.org/10.1016/j.jwb.2009.04.004 DOI: https://doi.org/10.1016/j.jwb.2009.04.004
- Nazal, A.I., 2017. Financial tables reports gaps in jordanian islamic banks. The Economics and Finance Letters, 4(2): 9-15.https://doi.org/10.18488/journal.29.2017.42.9.15 DOI: https://doi.org/10.18488/journal.29.2017.42.9.15
- Nazmi, N.F.M., R. Ab Rashid, N.A.M. Zani, N.F.A. Jabar and M.F. Aziz, 2018. Discourse analysis on international online news reports of Manchester bombing. International Journal of Asian Social Science, 8(9): 660-668.https://doi.org/10.18488/journal.1.2018.89.660.668 DOI: https://doi.org/10.18488/journal.1.2018.89.660.668
- Nejad, M.A.R.S., F.N.J. Agha and Y.F. Zadeh, 2017. Qspm usage in swot analysis as a tool for strategic management of caspian sea coasts (case study: Tourism development in caspian eastern coast at gilan province). Journal of Tourism Management Research, 4(1): 1-11.https://doi.org/10.18488/journal.31.2017.41.1.11 DOI: https://doi.org/10.18488/journal.31.2017.41.1.11
- Ruskowski, I. and P. Pauwels, 2016. A dynamic perspective on internet capabilities and export marketing performance. In: 42nd Annual Conference of the European International Business Academy (EIBA) Vienna, Austria.
- Ruzo, E., F. Losada, A. Navarro and J.A. DÃez, 2011. Resources and international marketing strategy in export firms: Implications for export performance. Management Research Review, 34(5): 496-518.https://doi.org/10.1108/01409171111128698 DOI: https://doi.org/10.1108/01409171111128698
- Singh, H., R. Jamil, M.B. Baroto, M. Hussin, Y. Boyi and S. Singh, 2017. Impact of financial and non-financial incentives on employee performance. Advanced Science Letters, 23(1): 146-150.https://doi.org/10.1166/asl.2017.7181 DOI: https://doi.org/10.1166/asl.2017.7181
- Singh, H. and R. Mahmood, 2014. Aligning manufacturing strategy to export performance of manufacturing small and medium enterprises in malaysia. Procedia-Social and Behavioral Sciences, 130: 85-95.https://doi.org/10.1016/j.sbspro.2014.04.011 DOI: https://doi.org/10.1016/j.sbspro.2014.04.011
- Sousa, C.M. and J. Lengler, 2009. Psychic distance, marketing strategy and performance in export ventures of brazilian firms. Journal of Marketing Management, 25(5-6): 591-610.https://doi.org/10.1362/026725709X461876 DOI: https://doi.org/10.1362/026725709X461876
- Sousa, C.M., F.J. MartÃnezâ€López and F. Coelho, 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 DOI: https://doi.org/10.1111/j.1468-2370.2008.00232.x
- Stoian, M.-C., A. Rialp and J. Rialp, 2011. Export performance under the microscope: A glance through spanish lenses. International Business Review, 20(2): 117-135.https://doi.org/10.1016/j.ibusrev.2010.07.002 DOI: https://doi.org/10.1016/j.ibusrev.2010.07.002
- Tan, Q. and C.M. Sousa, 2015. Leveraging marketing capabilities into competitive advantage and export performance. International Marketing Review, 32(1): 78-102.https://doi.org/10.1108/IMR-12-2013-0279 DOI: https://doi.org/10.1108/IMR-12-2013-0279
References
Aksoy, H., 2017. How do innovation culture, marketing innovation and product innovation affect the market performance of small and medium-sized enterprises (smes). Technology in Society, 51: 133-141.https://doi.org/10.1016/j.techsoc.2017.08.005 DOI: https://doi.org/10.1016/j.techsoc.2017.08.005
Azar, G. and F. Ciabuschi, 2017. Organizational innovation, technological innovation, and export performance: The effects of innovation radicalness and extensiveness. International Business Review, 26(2): 324-336.https://doi.org/10.1016/j.ibusrev.2016.09.002 DOI: https://doi.org/10.1016/j.ibusrev.2016.09.002
Basheer, M., M. Siam, A. Awn and S. Hassan, 2019. Exploring the role of tqm and supply chain practices for firm supply performance in the presence of information technology capabilities and supply chain technology adoption: A case of textile firms in pakistan. Uncertain Supply Chain Management, 7(2): 275-288.https://doi.org/10.5267/j.uscm.2018.9.001 DOI: https://doi.org/10.5267/j.uscm.2018.9.001
Chen, J., C.M. Sousa and X. He, 2016. The determinants of export performance: A review of the literature 2006-2014. International Marketing Review, 33(5): 626-670.https://doi.org/10.1108/IMR-10-2015-0212 DOI: https://doi.org/10.1108/IMR-10-2015-0212
Cui, A.P., M.F. Walsh and S. Zou, 2014. The importance of strategic fit between host-home country similarity and exploration exploitation strategies on small and medium-sized enterprises' performance: A contingency perspective. Journal of International Marketing, 22(4): 67-85.https://doi.org/10.1509/jim.14.0045 DOI: https://doi.org/10.1509/jim.14.0045
Descotes, R.M. and B. Walliser, 2018. International marketing related competences and smes' export performance during the recession. Projects/Proyectica/Projectique(3): 61-82.https://doi.org/10.3917/proj.021.0061 DOI: https://doi.org/10.3917/proj.021.0061
DurmuÅŸoÄŸlu, S.S., G. Apfelthaler, D.Z. Nayir, R. Alvarez and T. Mughan, 2012. The effect of government-designed export promotion service use on small and medium-sized enterprise goal achievement: A multidimensional view of export performance. Industrial marketing management, 41(4): 680-691.https://doi.org/10.1016/j.indmarman.2011.09.016 DOI: https://doi.org/10.1016/j.indmarman.2011.09.016
Fernández-Mesa, A. and J. Alegre, 2015. Entrepreneurial orientation and export intensity: Examining the interplay of organizational learning and innovation. International Business Review, 24(1): 148-156.https://doi.org/10.1016/j.ibusrev.2014.07.004 DOI: https://doi.org/10.1016/j.ibusrev.2014.07.004
Filipe Lages, L. and D.B. Montgomery, 2005. The relationship between export assistance and performance improvement in portuguese export ventures: An empirical test of the mediating role of pricing strategy adaptation. European Journal of Marketing, 39(7/8): 755-784.https://doi.org/10.1108/03090560510601752 DOI: https://doi.org/10.1108/03090560510601752
Gkypali, A., A. Rafailidis and K. Tsekouras, 2015. Innovation and export performance: Do young and mature innovative firms differ? Eurasian Business Review, 5(2): 397-415.https://doi.org/10.1007/s40821-015-0030-4 DOI: https://doi.org/10.1007/s40821-015-0030-4
Hafeez, M.H., M.F. Basheer, M. Rafique and S.H. Siddiqui, 2018. Exploring the links between tqm practices, business innovativeness and firm performance: An emerging market perspective. Pakistan Journal of Social Sciences (PJSS), 38(2): 485-500.
He, X., K.D. Brouthers and I. Filatotchev, 2013. Resource-based and institutional perspectives on export channel selection and export performance. Journal of Management, 39(1): 27-47.https://doi.org/10.1177/0149206312445926 DOI: https://doi.org/10.1177/0149206312445926
Helleiner, E. and J. Kirshner, 2014. The great wall of money: Power and politics in China's international monetary relations. Cornell University Press.
Hiremath, G.S. and J. Kumari, 2014. Stock returns predictability and the adaptive market hypothesis in emerging markets: Evidence from india. SpringerPlus, 3(1): 428.https://doi.org/10.1186/2193-1801-3-428 DOI: https://doi.org/10.1186/2193-1801-3-428
Julian, C.C., 2018. The theoretical underpinnings of government policy, turbulence and performance in the service sector: A conceptual framework. Journal of Financial Services Marketing, 23(1): 1-11.https://doi.org/10.1057/s41264-018-0041-1 DOI: https://doi.org/10.1057/s41264-018-0041-1
Julian, C.C. and A. O'Cass, 2004. The antecedents of export marketing performance: An australian perspective. Journal of Asia Pacific Marketing, 3(2): 99.https://doi.org/10.1300/J098v05n01_02 DOI: https://doi.org/10.1300/J098v05n01_02
Lee, C. and D.A. Griffith, 2004. The marketing strategy-performance relationship in an export-driven developing economy: A korean illustration. International Marketing Review, 21(3): 321-334.https://doi.org/10.1108/02651330410539648 DOI: https://doi.org/10.1108/02651330410539648
Lengler, J.F., C.M. Sousa and C. Marques, 2013. Exploring the linear and quadratic effects of customer and competitor orientation on export performance. International Marketing Review, 30(5): 440-468.https://doi.org/10.1108/IMR-03-2011-0087 DOI: https://doi.org/10.1108/IMR-03-2011-0087
Magnusson, P., S.A. Westjohn, A.V. Semenov, A.A. Randrianasolo and S. Zdravkovic, 2013. The role of cultural intelligence in marketing adaptation and export performance. Journal of International Marketing, 21(4): 44-61.https://doi.org/10.1509/jim.13.0055 DOI: https://doi.org/10.1509/jim.13.0055
Martin, S.L., R.G. Javalgi and E. Cavusgil, 2017. Marketing capabilities, positional advantage, and performance of born global firms: Contingent effect of ambidextrous innovation. International business review, 26(3): 527-543.https://doi.org/10.1016/j.ibusrev.2016.11.006 DOI: https://doi.org/10.1016/j.ibusrev.2016.11.006
Morgan, N.A., C.S. Katsikeas and D.W. Vorhies, 2012. Export marketing strategy implementation, export marketing capabilities, and export venture performance. Journal of the Academy of Marketing Science, 40(2): 271-289.https://doi.org/10.1007/s11747-011-0275-0 DOI: https://doi.org/10.1007/s11747-011-0275-0
Moussa, A., 2018. Does the agricultural sector contribute to the economic growth in case of the republic of benin? Journal of Social Economics Research, 5(2): 85-93.https://doi.org/10.18488/journal.35.2018.52.85.93 DOI: https://doi.org/10.18488/journal.35.2018.52.85.93
Mungwari, T., 2018. Media framing of zanu pf internal succession struggles: Mnangagwa and the military factor. American Journal of Social Sciences and Humanities, 3(1): 1-21.https://doi.org/10.20448/801.31.1.21 DOI: https://doi.org/10.20448/801.31.1.21
Myeni, S.L. and B.Y. Mvuyana, 2018. Participatory processes in planning for self-help housing provision in south africa: Policies and challenges. International Journal of Public Policy and Administration Research, 5(1): 24-36.
Navarro, A. and A. Boveris, 2009. Brain mitochondrial dysfunction and oxidative damage in parkinson's disease. Journal of Bioenergetics and Biomembranes, 41(6): 517-521.https://doi.org/10.1007/s10863-009-9250-6 DOI: https://doi.org/10.1007/s10863-009-9250-6
Navarro, A., F. Losada, E. Ruzo and J.A. Diez, 2010. Implications of perceived competitive advantages, adaptation of marketing tactics and export commitment on export performance. Journal of world business, 45(1): 49-58.https://doi.org/10.1016/j.jwb.2009.04.004 DOI: https://doi.org/10.1016/j.jwb.2009.04.004
Nazal, A.I., 2017. Financial tables reports gaps in jordanian islamic banks. The Economics and Finance Letters, 4(2): 9-15.https://doi.org/10.18488/journal.29.2017.42.9.15 DOI: https://doi.org/10.18488/journal.29.2017.42.9.15
Nazmi, N.F.M., R. Ab Rashid, N.A.M. Zani, N.F.A. Jabar and M.F. Aziz, 2018. Discourse analysis on international online news reports of Manchester bombing. International Journal of Asian Social Science, 8(9): 660-668.https://doi.org/10.18488/journal.1.2018.89.660.668 DOI: https://doi.org/10.18488/journal.1.2018.89.660.668
Nejad, M.A.R.S., F.N.J. Agha and Y.F. Zadeh, 2017. Qspm usage in swot analysis as a tool for strategic management of caspian sea coasts (case study: Tourism development in caspian eastern coast at gilan province). Journal of Tourism Management Research, 4(1): 1-11.https://doi.org/10.18488/journal.31.2017.41.1.11 DOI: https://doi.org/10.18488/journal.31.2017.41.1.11
Ruskowski, I. and P. Pauwels, 2016. A dynamic perspective on internet capabilities and export marketing performance. In: 42nd Annual Conference of the European International Business Academy (EIBA) Vienna, Austria.
Ruzo, E., F. Losada, A. Navarro and J.A. DÃez, 2011. Resources and international marketing strategy in export firms: Implications for export performance. Management Research Review, 34(5): 496-518.https://doi.org/10.1108/01409171111128698 DOI: https://doi.org/10.1108/01409171111128698
Singh, H., R. Jamil, M.B. Baroto, M. Hussin, Y. Boyi and S. Singh, 2017. Impact of financial and non-financial incentives on employee performance. Advanced Science Letters, 23(1): 146-150.https://doi.org/10.1166/asl.2017.7181 DOI: https://doi.org/10.1166/asl.2017.7181
Singh, H. and R. Mahmood, 2014. Aligning manufacturing strategy to export performance of manufacturing small and medium enterprises in malaysia. Procedia-Social and Behavioral Sciences, 130: 85-95.https://doi.org/10.1016/j.sbspro.2014.04.011 DOI: https://doi.org/10.1016/j.sbspro.2014.04.011
Sousa, C.M. and J. Lengler, 2009. Psychic distance, marketing strategy and performance in export ventures of brazilian firms. Journal of Marketing Management, 25(5-6): 591-610.https://doi.org/10.1362/026725709X461876 DOI: https://doi.org/10.1362/026725709X461876
Sousa, C.M., F.J. MartÃnezâ€López and F. Coelho, 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 DOI: https://doi.org/10.1111/j.1468-2370.2008.00232.x
Stoian, M.-C., A. Rialp and J. Rialp, 2011. Export performance under the microscope: A glance through spanish lenses. International Business Review, 20(2): 117-135.https://doi.org/10.1016/j.ibusrev.2010.07.002 DOI: https://doi.org/10.1016/j.ibusrev.2010.07.002
Tan, Q. and C.M. Sousa, 2015. Leveraging marketing capabilities into competitive advantage and export performance. International Marketing Review, 32(1): 78-102.https://doi.org/10.1108/IMR-12-2013-0279 DOI: https://doi.org/10.1108/IMR-12-2013-0279