rieEm

obratsticthetinncluf fokettolati

Exports provide the traditional means of antion inctivity.such aegic opructureo signistruct2002);

ctivity. In this context,ctive of this research:ivity; and what is its

Journal of Business Research 67 (2014) 740745

Contents lists available at ScienceDirect

Journal of Businof the signicant research gap (Cadogan, Sundqvist, Puumalainen,& Salminen, 2012). Filling this gap is one of the aims of this paper.Thus, the authors analyze the effect that the external environment

This paper has ve further sections. Following this introduction, thesecond section lays out the theoretical framework of the research,proposing the conceptual model and hypotheses. The third sectionthree approaches, however, assume that the success of export activitydepends on contingent factors such as those associated with the exter-nal environment of the organization. Nevertheless, to progress in exportactivity research, a broadening of its scope is still necessary because

role of market orientationwith regard to export athe following questions reect the second objewhat role does EMO truly play in export actinuence on strategic behavior and EP?planning (Morgan & Strong, 2003).Third, the relational paradigm inspects the network of business in-

teractions and views of export expansion as the sequential develop-ment of relationships with foreign buyers (Leonidou, 2003). These

knowledge of EMO's true role. This view owes to contradictory resultsfrom a strategic point of view and from an EP standpoint (Chung,Wang, & Huang, 2012). This situation gives rise to an important debatein the scientic community; a research gap arising concerning the true The authors appreciate the funding of the Andaluresearch project, P11-SEJ-7042. Corresponding author. Tel.: +34 954 55 44 36; fax: +

E-mail addresses: anavarro@us.es (A. Navarro-Garca), jrondan@us.es (F.J. Rondn-Catalua).

1 Tel.: +34 954 55 44 27; fax: +34 954 55 69 89.

0148-2963/$ see front matter 2013 Elsevier Inc. All rihttp://dx.doi.org/10.1016/j.jbusres.2013.11.037and (b) the rm's abilityforeignmarkets throughof competitive strategy

achievement of sustainable competitive advantages in foreign markets,and EP (Cadogan, Kuivalainen, & Sundqvist, 2009). In recent years,however, certain scholars have questioned the veracity of the extantto achieve and sustain positional advantages inthe efcient and effective implementationaffect export performance (EP): (a) theexport rm's markets (Zou & Cavusgil,Three approaches receive themost atteminants and consequences of export aview focuses on rm-specic assetsand competencies that restrain strat& Katsikeas, 2004). Second, the stparadigmpostulates that, essentially, twccess to foreign markets.the theory on the deter-First, the resource-baseds rm experience, size,tions (Morgan, Kaleka,conductperformancecant sets of antecedentsural characteristics of the

exerts on the strategic behavior (adaptation vs. standardization)of exporting companies. In addition, the study takes into account thepsychological distance exportmanagers perceive between the domesticand foreign markets.

The success of rms operating in a given environment depends onthe strategic orientation of the organization, and this success has todo with the degree of market orientation (Navarro, Acedo, Losada, &Ruzo, 2011). In the context of export activity, many authors assumethat export market orientation (EMO) plays a key role in export activitybecause EMO controls the strategic behavior of organizations, the1. IntroductionExternal environment and the moderatingmarket orientation

Antonio Navarro-Garca , Jorge Arenas-Gaitn 1, F. JavDepartamento de Administracin de empresas y Marketing, Facultad de Ciencias Econmicas y

a b s t r a c ta r t i c l e i n f o

Available online 11 December 2013

Keywords:External environmentPsychological distanceExport market orientationMarketing mix adaptationExport performance

This research has two mainenvironment plays in the stdistances between the domeplays in export activity, sinceissues through hypothesis tesresults lead to two major comix program to the needs opsychologically distant marperformance, its main role isorientation moderates the resian Government through the

34 954 55 69 89.rarenas@us.es (J. Arenas-Gaitn),

ghts reserved.ole of export

r Rondn-Catalua 1

presariales, Av. Ramn y Cajal, 1, 41018 Sevilla, Spain

jectives. The rst is to ll the knowledge gap on the role which the externalegic behavior of exporting companies, taking into account the psychologicaland foreignmarkets. The second aim is to clarify the role thatmarket orientationliterature review shows conicting results. The study provides insight into theseg of a conceptual model using a sample of 212 Spanish exporting companies. Thesions: (a) in turbulent environments, exporting rms adapting the marketingreign markets obtain a better export performance in highly competitive ands; (b) although market orientation has a direct and positive effect on exportsupport strategic decision making in exporting companies. In addition, marketonship between marketing mix adaptation and export performance.

2013 Elsevier Inc. All rights reserved.

ess Researchexpounds the research methodology, details of the sample, and dataanalysis tools for the empirical analysis. The fourth section presentsthe results, and the fth dealswith themain conclusions andmanagerialimplications of these results. Finally, the sixth section provides anoutline of the main limitations of the study and openings for futureresearch.

are more likely to appropriately adapt their marketing mix elements to

741A. Navarro-Garca et al. / Journal of Business Research 67 (2014) 7407452. Theoretical background and research hypotheses

2.1. External environment of exporting rms

Three components of the external environment are particularly per-tinent to export activity (Kaleka & Berthon, 2006). Market turbulencerefers to the level of insecurity in the external environment, whichobliges companies to change their strategies keep abreast of changingcustomer needs (Gaur, Vaudevan, & Gaur, 2011). In this context, somestudies conrm the existence of a positive relationship between thelevel of turbulence of the country-markets and the degree of adaptationof themarketingmix program that exporters develop (Qureshi & Mian,2012).

Technological turbulence represents the high rates of technologicalchange in the manufacture of products and the technology intrinsic tothe product itself. Businesses competing in industries with high levelsof technological turbulence have a greater inclination toward adaptivemarketing and operational strategies than businesses in more staticindustries (Powers & Loyka, 2010). (c) Competitive intensity refers tothe extent of rivalry among different players in an industry. As thenumber of participants in amarket increases, the volume and unpredict-ability of strategic changesmay increase dramatically (e.g., Porter, 1985).Therefore, a greater need exists for rms to track and react to thesemoves. In the eld of export activity, some authors nd a positive rela-tionship between the level of competitive intensity of a country-marketand the degree of adaptation in the marketing mix program (Powers &Loyka, 2010).

The preceding arguments support the following hypothesis.

H1. Turbulence (market and technology) and the competitive intensityof foreign markets positively inuence the degree of adaptation of themarketing mix program in export activity.

2.2. Psychological distance

The concept of psychological distance (PD) is essential to assess thedifferences between cultures and markets and to drive internationalmarket selection. According to Sousa and Lages (2011), the denitionof PD is the individual's perceived differences between the homemarketand that of the foreign country. PD includes two dimensions:(1) country refers to the features of the modernization of a country;and (2) people relates to the degree of separation between peoplefrom different countries. In this context, Sousa and Lages (2011) nd apositive and signicant effect of PD on marketing strategy adaptation.In addition, Sousa and Lengler (2009) show that the manager's PDtoward the foreign market positively inuences the degree of product,price, promotion, and distribution adaptation. Also, Chung et al.(2012) conrm that a suggestion exists of adaptation strategies beingmore suitable when a great cultural distance exists.

The next hypothesis is in accordance with these ideas.

H2. PD positively affects the marketing mix adaptation of the interna-tional strategy of rms.

2.3. Export strategic behavior: Adaptation vs. standardization ofmarketing mix

Some authors (e.g., Morgan et al., 2004; O'Cass & Julian, 2003)maintain that developing a differentiated marketing strategy in foreignmarkets requires the rm to adapt to the needs and desires of the targetmarkets. The adaptation of export marketing tactics brings aboutseveral benets: (1) they allow the rm to adjust its offer to the speciccharacteristics of each market, which decreases foreign consumers'uncertainty, or PD (Morgan et al., 2004); (2) they improve relationshipswith local intermediaries (O'Cass & Julian, 2003); and (3) the rm can

attain a greater protability, as a better productmarket match canthe needs of foreign markets is debatable. EMO should make the exportrm more proactive as this orientation responds to customer needs(Calantone, Kim, Schmidt, & Cavusgil, 2006). Therefore, EMO is likelyto play a moderating role regarding the strategic adaptation of EP(Phattarawan et al., 2010).

The following hypothesis builds on the basis of these arguments.

H6. EMO moderates the relationship between export marketing mixadaptation strategy and EP.result in greater customer satisfaction, which may give better pricingfreedom vis--vis competitors (Leonidou, Katsikeas, & Samiee, 2002).As a consequence, the adaptation of export marketing tactics improvesEP (Navarro, Losada, Ruzo, & Diez, 2010; Phattarawan, Kiran, Anil,& Anusorn, 2010).

The following research hypothesis captures this idea.

H3. Adapting elements of the export marketing mix has a positiveeffect on EP.

2.4. Market orientation and its role as a moderator in export activity

EMO permits the analysis of the ability of an organization to predict,respond to, and capitalize changes in the export environment. Firmswith a solid EMO will be more dynamic in their search forand betterable to identify and take advantage ofopportunities emerging inexternal markets than rms lacking this capability. In this context,rms that have appropriate information about their foreign marketsare likely to be more willing to make variations to their marketingmix, and so on, than other rms that lack such information and thatmake their decisions on the basis of instinct (Navarro, Acedo, Robson,Ruzo, & Losada, 2010).

These arguments lead to the fourth research hypothesis.

H4. EMO has a positive effect on the adaptation of the marketing mixstrategy in foreign markets.

On the other hand, Rose and Shoham (2002) recognize that EMOprovides an integrative insight for evaluating EP. Thus, the gatheringof relevant market information is critical for effective decision making,and has a direct inuence on the design of the marketing strategiesand the rm's success in its foreign markets (Cadogan et al., 2009). Inthis respect,rms that try to identify their customers in order to developproducts and services that satisfy their desires and needs hope to besuperior to their competitors by creating and delivering superior value(Cadogan, Diamantopoulos, & Siguaw, 2002). In this sense, EMO maycontribute to improving EP from the quantitative and qualitative pointsof view (Navarro et al., 2011; Rose & Shoham, 2002).

In accordance with this idea, the fth research hypothesis states thefollowing.

H5. EMO relates positively to EP.Although the environment inwhichrms operatemay require them

to adapt their export marketing mix elements, however, internal re-strictions (e.g., decient market intelligence) may prevent rms frommaking adaptations. In this context, although adaptations by exportmanagers to the components of the marketing mix and its attributesmay be a necessary condition to succeed in foreignmarkets, such actionmay be insufcient. A key reason for this shortcoming is an oversightof the success stemming from making such adaptations according tothe idiosyncrasies of each country-market. The retaining of relevantinformation of markets is necessary in this situation. This informationshould be available at all levels at which this element is necessaryfor the decision-making process associated with export activity cross-functional coordination. For example, with regard to the exportmarket-ingmix adaptation strategy, the idea that market-oriented export rmsFig. 1 shows the conceptual model.

emphasizes the generalization of the ndings (Morgan et al., 2004).The sample of rms comes from the Spanish Institute for Foreign

H

Mion

scrip

742 A. Navarro-Garca et al. / Journal of Business Research 67 (2014) 740745Trade (ICEX) database of exporters. Maintaining sectorial proportionality,1200 managers in charge of exports received questionnaires, mainly viae-mail, returning 212 valid questionnaires, which represents a responserate of 17.7%. This result is within the acceptable range of 15 to 20%(Menon, Bharadwaj, & Howell, 1996).

The majority of rms in the sample are small (66% have fewer than50 employees) and themajority (81%) have specialist export managers,though only a minority (33%) have export departments. Most rmshave great experience in international business (61% have more than15 years of export activity) and concentrate their export sales in asmall number of markets (71% export to ve countries or fewer).

Structural equation modeling via PLS (partial least squares) is thechoice of method for data analysis and for assessing the relationshipsbetween constructs, taking into account the characteristics of themodel (predictive) and the sample (fewer than 250 subjects) (Reinartz,Haenlein, & Henseler, 2009). The empirical analysis uses the statisticspackage SmartPLS 2.0 M3.

3.2. Measurement scales

The analysis adheres to the recommendations of Mackenzie,Podsakoff, and Jarvis (2005) to distinguish between formative andreective variables in the study's multi-item measures. The denitionof the external environment is a second-order formative construct3. Method

3.1. Sample and data analysis

The basis of this research is an empirical study of Spanish exportrms. A multi-industry sample enlarges the observed variance and

H2 (+)

H1 (+)External

Environment

Psychological Distance

MarketingAdaptat

Fig. 1. Graphical deconsisting of three dimensions: market turbulence, technologicalturbulence, and competition intensity (Kaleka & Berthon, 2006). ThePD scale is a second-order reective construct, depending on country-characteristics distance and people-characteristics distance (Sousa& Lages, 2011). The denition of EMO is a second-order reectiveconstruct consisting of three dimensions: customer orientation,competition orientation, and cross-functional coordination (Cadogan,Diamantopoulos, & de Mortanges, 1999). The adaptation of marketingstrategy is a second-order reective construct comprising fourdimensions: product, price, promotion and distribution (Theodosiou& Leonidou, 2003). Finally, the consideration of EP is a second-orderformative construct, with two formative dimensions: qualitativemanagers' global satisfaction with the EP(Cadogan et al., 2002);and quantitative EPexport sales growth and export propensity inthe last three years(Morgan et al., 2004). The measurement of allscales relies on a ve-point Likert-type scale, allowing the gather-ing of managerial perceptions.4. Results

The results (Table 1) support the convergent validity of the reectivescales: loadings 0.7; composite reliability 0.7; average varianceextracted (AVE) 0.5 (Fornell & Larcker, 1981). To ensure the discrim-inant validity, results conrm that the squared correlations betweeneach pair of constructs do not exceed the AVE (Barclay, Higgins, &Thompson, 1995) (Table 2).

After ensuring the convergent and discriminant validity of the mea-surement model, the next step is to perform a test of the relationshipsbetween the different variables. The calculation of the statistical param-eters employs the bootstrap method (1000 subsamples) (Table 3). Thehypothesis tests consider the sign and signicance of the t-statistic ineach relation ( coefcient). The results verify ve of the six hypothesesfrom the second section (Fig. 2).

5. Discussion and implications

5.1. Academic implications

Focusing on the relationships between the variables and taking theoverall model as a reference, the following implications emerge. First,the results show the existence of a positive relationship between theexternal environment of the exporting company and the strategicbehavior aiming at adapting themarketingmix program to the require-ments of foreign markets. This result conrms H1, in line with the pre-mises of the contingency approach (Cadogan et al., 2012; Calantoneet al., 2006). Both turbulences along with competitive intensity offoreign markets make the adjusting of the marketing mix programnecessary to respond to the needs of foreign consumers (Cavusgil &Zou, 1994; Powers & Loyka, 2010). Furthermore, this turbulent environ-ment forces rms to propose an adequate offer in each country-marketand to continue competing against the domestic competitors with

4 (+) H5 (+)

H3 (+)

H6 (+)

Export Market Orientation

ix Export Performance

)

tion of the model.certain guarantees in international markets (Qureshi & Mian, 2012).Second, the results conrm that PD has a positive and signicant

impact on marketing strategy adaptation, validating H2. This idea isconsistent with previous studies (e.g., Katsikeas, Samie, & Theodosiou,2006; O'Cass & Julian, 2003; Sousa & Lages, 2011). Therefore, managersought to be aware of the impact that PD has on their strategic decisions,since the most critical and challenging decisions they face in an exportsetting relate to the selection of appropriate marketing strategies.

Third, the development of a strategic behavior of exportingcompanies that aims at adapting the elements of the marketing mix tothe needs of foreign markets positively inuences EP, conrming H3.This result owes to a reduction in the psychological barriers of foreignconsumers and an increase in the likelihood that they perceive thecompany's offer with a higher value in comparison to competitors(Theodosiou & Leonidou, 2003), by adjusting marketing mix elementsto the idiosyncrasies of different country-markets. This idea suggeststhat exporters who adjust to the needs of their foreign customers achieve

Table 1Evaluation of measurement model.

Construct/dimension/indicator Variance ination factor Weight Factor loading Composite reliability (c) Average variance extracted

External environment (second-order formative construct) n.a. n.a.Market turbulence (rst-order reective construct) 1.113 0.672 0.846 0.652MARKT1 0.815MARKT2 0.823MARKT3 0.785Competitive intensity (rst-order reective construct) 1.016 0.047 0.841 0.641COMPINT1 0.784COMPINT2 0.905COMPINT3 0.700Technological turbulence (rst-order reective construct) 1.096 0.560 0.855 0.664TECHTUR1 0.796TECHTUR2 0.874TECHTUR3 0.773Psychic distance (second order reective construct) 0.940 0.888Country (rst-order reective construct) 0.946 0.895 0.592ECODEVEL 0.805COMMUNIC 0.852MKTINFRA 0.856TECREQUI 0.768MKTCOMPE 0.705LEGALREG 0.602People (rst-order reective construct) 0.939 0.887 0.613PERCAPIT 0.791PURCHASI 0.753LIFESTYL 0.870CONSUMER 0.801LITERACY 0.690Adaptation marketing-mix (second order reective construct) 0.855 0.596Product (rst-order reective construct) 0.765 0.900 0.601PRODUCT1 0.713PRODUCT2 0.771PRODUCT3 0.731PRODUCT4 0.813PRODUCT5 0.801PRODUCT6 0.818Price (rst-order reective construct) 0.746 0.874 0.584PRICE1 0.809PRICE2 0.846PRICE3 0.812PRICE4 0.719PRICE5 0.612Distribution (rst-order reective construct) 0.772 0.931 0.772DISTRIB1 0.883DISTRIB2 0.917DISTRIB3 0.849DISTRIB4 0.866Promotion (rst-order reective construct) 0.805 0.963 0.815PROMO1 0.905PROMO2 0.938PROMO3 0.952PROMO4 0.902PROMO5 0.905PROMO6 0.811Export market orientation (second order reective construct) 0.872 0.695Customer orientation (rst-order reective construct) 0.879 0.894 0.549CUSTOR1 0.749CUSTOR2 0.816CUSTOR3 0.812CUSTOR4 0.655CUSTOR5 0.710CUSTOR6 0.734CUSTOR7 0.701Competence orientation (rst-order reective construct) 0.803 0.882 0.714COMPOR1 0.877COMPOR2 0.850COMPOR3 0.806Inter-functional coord. (rst-order reective construct) 0.819 0.871 0.630INTER1 0.691INTER2 0.858INTER3 0.830INTER4 0.786Export performance (second-order formative construct) n.a. n.a.Quantitative export performance (reective construct) 1.188 0.316 0.880 0.710Crev_2009 0.881Crev_2010 0.888

(continued on next page)

743A. Navarro-Garca et al. / Journal of Business Research 67 (2014) 740745

in this research, the external environment has a positive, albeit indirect,impact on EP. A similar conclusion holds for PD, though its impact on EP

Table 1 (continued)

Construct/dimension/indicator Variance ination factor Weight Factor loading Composite reliability (c) Average variance extracted

Crev_2011 0.753Export propensity (reective construct) 1.058 0.755 0.990 0.972PropExport_2009 0.983PropExport_2010 0.992PropExport_2011 0.983Global satisfaction with exports 1.238 0.302 n.a. n.a n.a.

n.a.: not applicable.

Table 2Correlations between constructs.

744 A. Navarro-Garca et al. / Journal of Business Research 67 (2014) 740745better EP than exporterswho employmore standardizedmarketing strat-egies. The explained variance from themarketingmix adaptation is 16.1%.

Fourth, EMO plays a key role in the success of foreign trade opera-tions. Thus, if the exporting company: (1) orients itself toward foreignclients; (2) monitors competitors' practices in each country-market;and (3) uses a strong cross-functional coordination on the basis ofexport market intelligence; the company then improves exporter per-formance. This result hence conrms H5. However, the main role ofEMO in export activity is as a moderator, as previous studies point out(Calantone et al., 2006; Chung et al., 2012; Phattarawan et al., 2010).In this case, EMO is a vital support element for the company to makeappropriate decisions with regard to strategic adaptation to improveits EP, moderating this interrelation. This situation arises because,although the external environment of rms may require adaptionsto their export marketing mix elements, internal constraints to dowith market intelligence could prevent making such decisions (Chunget al., 2012). At times, export rms may even be unaware of the needfor adaptation because of faulty market intelligence or adjustmentsthat are out of sync with the idiosyncrasies of each country-market,and fall short of the results for which they strive. These ndings conrmH6, and may explain the absence of a direct and signicant relationshipbetween EMO and the development of adaptive marketing strategiesin export rms, which negates H4.

Fifth, the dimensions and scales to assess the EP are appropriate, and

Construct 1 2 3 4 5

1. External environment n.a.2. Psychic distance 0.06 0.943. Marketing mix adaptation 0.16 0.37 0.774. Export market orientation 0.02 0.03 0.05 0.835. Export performance 0.01 0.18 0.29 0.10 n.a.

The square root of AVE are shown in the main diagonal; n.a. not applicable.they act as a multidimensional construct (second-order formative con-struct). EP has an explained variance of 14.6%. As the above discussionaddresses, EP receives a positive and direct inuence from the market-ing mix adaptation in foreign markets and EMO. Of note, however, arethe indirect effects that the external environment and the PD exert onEP. Thus, if rms develop practices of monitoring the environment,and make appropriate strategic marketing decisions, uncertainty andturbulence of the environment need not adversely affect EP. Therefore,

Table 3Parameters from hypothesis tests.

Hypothesis

H1: Turbulence and competitive intensity of export market environmentmarketing mix adH2: Psychic distanceMarketing-mix adaptationH3: Marketing mix adaptationExport performanceH4: EMOMarketing mix adaptationH5: EMOExport performanceH6: EMO Marketing mix adaptationExport performance

Note: ns = no signicant (one-tailed t(999) test). p b 0.001. p b 0.01. p b 0.05.is greater in this case.In summary, this paper contributes signicantly to lling an

important gap in the research eld of exporting. Taking the contingencyapproach as a reference, the study specically demonstrates the inter-relationships between external environment, PD, strategic behaviorand EP. Furthermore, this work shows how these relationships mayvary depending on EMO.

5.2. Managerial implications

Managers can use the above ndings to systematize decisions andactions regarding their rms' export activity. The following implicationsof the study are noteworthy.

First, external environment and PD of foreign markets are notdamaging elements for export activity per se. They will only be harmfulwhen the company refuses to mobilize information systems to studyand comprehend their behavior. In this regard, developing systems formonitoring the environment that allows rms to gain insight into thelevel of turbulence (market and technology) and competitive intensityin foreign markets is advisable. The information that this continuousmonitoring yields is crucial for making successful strategic decisions.

Second, the generation and exchange of knowledge can play akey role in responding appropriately to foreign market requirements.Thus, the authors recommend export managers to promote strategicbehaviors to adapt the marketing mix program to the needs of thedifferent country-markets in which they operate. The consequencesare that exporting rms improve their EP.

Finally, export managers should promote behaviors within theircompanies with a view to foreign markets. EMO plays a moderatingrole in the relationship between the strategic decision making of themarketingmix programand EP. Thus, EMO is a key factor for the successof export activity.

6. Limitations and future lines of research

This study offers important and novel contributions to the exportmarketing literature, but has a number of limitations that could serveas a starting point for future lines of research. The rst limitation con-cerns the type of study, since the basis for the study comes from infor-mation from a single point in time. A longitudinal study is advisablefor future work to analyze how the relationships between the external t-Value Supported

aptation 0.140 1.941 Yes0.363 4.678 Yes0.283 3.931 Yes

0.042 0.452ns No0.146 1.728 Yes0.238 2.968, Yes

4=

1= 0.140

H4 H5

H1H3 3= 0.283

H6

External Environment

Marketing-MixAdaptation

Export Performance

R2 = 0.161 R2

= 0.158

6= 0.238

l str

745A. Navarro-Garca et al. / Journal of Business Research 67 (2014) 740745environment, PD, EMO, strategic behavior and EP evolve. The secondlimitation concerns the fact that the sample comes from a singlecountry. In order to generalize the conclusions, the analysis shouldinclude rms from a wider geographic area. The nal limitation has todo with the potential effect of other factors this study overlooks. Thus,in future works researchers could consider, for example, characteristicsof the export product, the sector of activity, the quality of the relation-ships with the international distributors, or the organization's dynamiccapabilities (Leonidou et al., 2002).

References

Barclay, D., Higgins, C., & Thompson, R. L. (1995). The Partial Least Squares (PLS) approachto causal modelling: Personal computer adoption and use as an illustration.Technology Studies, 2(2), 285309.

Cadogan, J. W., Diamantopoulos, A., & de Mortanges, C. P. (1999). Developing a measureof export market orientation: Scale construction and cross-cultural validation.Journal of International Business Studies, 30(4), 689707.

Cadogan, J.W., Diamantopoulos, A., & Siguaw, J. A. (2002). Export market-oriented activities:Their antecedents and performance consequences. Journal of International BusinessStudies, 33(3), 615626.

Cadogan, J. W., Kuivalainen, O., & Sundqvist, S. (2009). Export market-oriented behaviorand export performance: Quadratic and moderating effects under differing degreesof market dynamism and internationalization. Journal of International Marketing,17(4), 7183.

Cadogan, J. W., Sundqvist, S., Puumalainen, K., & Salminen, R. T. (2012). Strategicexibilities and export performance: The moderating roles of export market-oriented behavior and the export environment. European Journal of Marketing,46(10), 14181452.

Calantone, R. J., Kim, D., Schmidt, J. B., & Cavusgil, S. T. (2006). The inuence of internaland external rm factors on international product adaptation strategy and exportperformance: A three-country comparison. Journal of Business Research, 59(2),176185.

Cavusgil, S. T., & Zou, S. (1994). Marketing strategy-performance relationship: An investi-gation of the empirical link in export market ventures. Journal of Marketing, 58(1),121.

Chung, H. F. L., Wang, Ch. L., & Huang, P. -H. (2012). A contingency approach to interna-tional marketing strategy and decision-making structure among exporting rms.International Marketing Review, 29(1), 5487.

Fornell, C., & Larcker, D. F. (1981). Evaluating structural equation models with unobservablevariables and measurement error. Journal of Marketing Research, 18(1), 3950.

2= 0.363Distance

Fig. 2. GraphicaGaur, S., Vaudevan, H., & Gaur, A. (2011). Market orientation and manufacturingperformance of Indian SMEs: Moderating role of rm resources and environmentalfactors. European Journal of Marketing, 45(7/8), 11721193.

Kaleka, A., & Berthon, P. (2006). Learning and locale: The role of information,memory andenvironment in determining export differentiation advantage. Journal of BusinessResearch, 59, 10161024.

Katsikeas, C. S., Samie, S., & Theodosiou, M. (2006). Strategy t and performanceconsequences of international marketing standardization. Strategic ManagementJournal, 27, 869890.Leonidou, L. C. (2003). Overcoming the limits of exporting research using the relationalparadigm. International Marketing Review, 20(2), 129141.

Leonidou, L. C., Katsikeas, C. S., & Samiee, S. (2002). Marketing strategy determinants ofexport performance: A meta-analysis. Journal of Business Research, 55(1), 5167.

Mackenzie, S. B., Podsakoff, P.M., & Jarvis, C. B. (2005). The problem of measurementmodel misspecication in behavioural and organizational research and somerecommended solutions. Journal of Applied Psychology, 90(4), 710730.

Menon, A., Bharadwaj, S. G., & Howell, R. D. (1996). The quality and effectiveness ofmarketing strategy: Effect of functional and dysfunctional conict in intraorganizationalrelationships. Journal of Academy of Marketing Science, 24(4), 299313.

Morgan, N. A., Kaleka, A., & Katsikeas, C. S. (2004). Antecedents of export ventureperformance: A theoretical model and empirical assessment. Journal of Marketing,68(1), 90108.

Morgan, R., & Strong, C. (2003). Business performance and dimensions of strategicorientation. Journal of Business Research, 56(3), 163176.

Navarro, A., Acedo, F. J., Losada, F., & Ruzo, E. (2011). Integrated model of export activity:Analysis of heterogeneity in managers orientations and perceptions on strategicmarketing management in foreign markets. Journal of Marketing Theory & Practice,19(2), 187204.

Navarro, A., Acedo, F. J., Robson, M. J., Ruzo, E., & Losada, F. (2010). Antecedents andconsequences of rms' export commitment: An empirical study. Journal ofInternational Marketing, 18(3), 4161.

Navarro, A., Losada, F., Ruzo, E., & Diez, J. A. (2010). Implications of perceived competitiveadvantages, adaptation of marketing tactics and export commitment on exportperformance. Journal of World Business, 45(1), 4958.

O'Cass, A., & Julian, C. (2003). Examining rm and environmental inuences on exportmarketing mix strategy and export performance of Australian exporters. EuropeanJournal of Marketing, 37(3/4), 366384.

Phattarawan, T., Kiran, K., Anil, N., & Anusorn, S. (2010). The effect of productadaptation andmarket orientation on export performance: A survey of Thai managers.Journal of Marketing Theory & Practice, 18(2), 155169.

Porter, M. (1985). Competitive advantage. New York: The Free Press.Powers, T. L., & Loyka, J. J. (2010). Adaptation of marketing mix elements in international

markets. Journal of Global Marketing, 23(1), 6579.Qureshi, S., & Mian, S. A. (2012). Antecedents and outcomes of entrepreneurial rms

marketing capabilities: An empirical investigation of small technology based rms.Journal of Strategic Innovation and Sustainability, 6(4), 2845.

Reinartz, W., Haenlein, M., & Henseler, J. (2009). An empirical comparison of the efcacyof covariance-based and variance-based SEM. International Journal of Research inMarketing, 26, 332344.

Rose, G. M., & Shoham, A. (2002). Export performance andmarket orientation: Establishingan empirical link. Journal of Business Research, 55(3), 217225.

Sousa, C. M. P., & Lages, L. F. (2011). The PD scale: A measure of psychic distance and itsimpact on international marketing strategy. International Marketing Review, 28(2),201222.

5= 0.146 -0.042Export Market

Orientation

2

uctural model.H2PsychologicalSousa, C. M. P., & Lengler, J. (2009). Psychic distance, marketing strategy and performancein export ventures of Brazilian rms. Journal of Marketing Management, 25(5/6),591610.

Theodosiou, M., & Leonidou, L. C. (2003). Standardization versus adaptation of interna-tional marketing strategy: An integrative assessment of the empirical research.International Business Review, 12(2), 141171.

Zou, S., & Cavusgil, S. T. (2002). The GMS: A broad conceptualization of globalmarketing strategy and its effect on rm performance. Journal of Marketing,66(4), 4056.

External environment and the moderating role of export market orientation1. Introduction2. Theoretical background and research hypotheses2.1. External environment of exporting firms2.2. Psychological distance2.3. Export strategic behavior: Adaptation vs. standardization of marketing mix2.4. Market orientation and its role as a moderator in export activity

3. Method3.1. Sample and data analysis3.2. Measurement scales

4. Results5. Discussion and implications5.1. Academic implications5.2. Managerial implications

6. Limitations and future lines of researchReferences