Keyword

Internet marketing, marketing, export markets, economic growth

Abstract

This quantitative research study set out to replicate and extend Bianchi & Mathew’s (2015) findings on the relationship between Internet marketing capabilities and export market growth. In particular, it examined the mediating effect of the availability of export information as well as international business network relationships on the primary relationship within the context of the Jordanian export sector. In addition, the study examined the moderating effect of economic and spending growth of target foreign markets. Structural equation modeling was used to investigate the model as it is most suited for predicting changes in the outcome variables in complex conceptual models with multiple independent and dependent variables measured on multiple dimensions (Emeagwali, 2015). The population of the study consisted of Jordanian export firms. A total of 313 online surveys were collected establishing the data to be analyzed for the study.  SPPS statistical software version 21 was used to verify the model and the hypotheses of the research study. Findings revealed that while Internet marketing has no direct influence on export market growth, it does have a direct influence on the availability of export information, which in turn has an influence on export market growth. Findings also showed that Internet marketing capabilities had no significant effect on business network relationships. However, the availability of export information had a strong and significant effect on the ability of the companies under study to develop and nurture business network relationships even though business network relationships was found to have a weak but significant effect on export market growth. A key contribution of this study is the finding that economic and spending growth were both observed to strengthen the mediating effects of availability of export information on export market growth as well as the mediating effect of business network relationships on export market growth.


Full Text : PDF

References
  1. Ansoff, I. (1965). Corporate Strategy: An Analytic Approach to Business Policy for Growth and Expansion. New York: McGraw-Hill.
  2. Arnott, D., & Bridgewater, S. (2002). Internet, interaction and implications for marketing. Marketing Intelligence & Planning, 20(2), 86–95.
  3. Aspelund, A., & Moen, O. (2004). Internationalization of small high-tech firms: The role of information technology. Journal of Euro-Marketing, 13(2/3), 85–105.
  4. Barney, J. (1991). Firm resources and sustained competitive advantage. Journal of Management, 17(1), 99–120.
  5. Barney, J. B. (2001). Resource-based theories of competitive advantage: A ten-year retrospective on the resource-based view. Journal of Management, 27(6), 643–650.
  6. Bauer, H. H., Grether, M., & Leach, M. (2002). Building customer relations over the Internet. Industrial Marketing Management, 31(2), 155.
  7. Bennett, R. (1997). Export marketing and the Internet. International Marketing Review, 14(5), 324–344.
  8. Bianchi, C. (2014). Internationalisation of emerging market firms: An exploratory study of Chilean companies. International Journal of Emerging Markets, 9(1), 54–78.
  9. Bianchi, C., & Mathews, S. (2015). Internet marketing and export market growth in Chile. Journal of Business Research. http://dx.doi.org/10.1016/j.jbusres.2015.06.048
  10. Brock, J., & Yu, Z. (2005). Organizational use of the Internet, scale development and validation. Internet Research, 15(1), 67–87.
  11. Calantone, R. J., Kim, D., Schmidt, J. B., & Cavusgil, T. (2006). The influence of internal and external firm factors on international product adaptation strategy and export performance: A three-country comparison. Journal of Business Research, 59(2), 176–185.
  12. Coviello, N., & Munro, H. (1995). Growing the entrepreneurial firm: Networking for international market development. European Journal of Marketing, 29(7), 49–61.
  13. Cronin, B., & McKim, G. (1996). Markets, competition and intelligence of the World Wide Web. Competitive Intelligence Review, 7(1), 45–51.
  14. Day, G. S. (1994). The capabilities of market-driven organizations. Journal of Marketing,58(4), 37–52.
  15. De la Torre, J., & Moxon, R. W. (2001). Introduction to the symposium e-commerce and global business: The impact of the information and communication technology revolution on the conduct of international business. Journal of International Business Studies, 32(4), 617–640.
  16. Emeagwali, O.L. (2015). WBISS: Web-based Inferential Statistic Selector [Web Application]. Available from http://www.wbiss.lawrenceemeagwali.net
  17. Filatotchev, I., Liu, X., Buck, T., & Wright, M. (2009). The export orientation and export performance of high-technology SMEs in emerging markets: The effects of knowledge transfer by returnee entrepreneurs. Journal of International Business Studies, 40(6), 1005–1021.
  18. Gaskin, J., (2016). Model Fit, Gaskination's Statistics. http://statwiki.kolobkreations.com
  19. Gibbs, J., & Kraemer, K. A. (2004). Cross country investigation of the Determinants of scope of e-commerce use: An institutional approach. Electronic Markets, 14(2), 124–137.
  20. Jordanian Chamber of Commerce (2017). http://www.jocc.org.jo/index_en.php
  21. Moon, B. -J., & Jain, S. C. (2007). Determinants and outcomes of Internet marketing activities of exporting firms. Journal of Global Marketing, 20(4), 55–71.
  22. Nunnally, J. C.  (1978).  Psychometric theory (2nd ed.).  New York:  McGraw-Hill
  23. Hair, et all, (2010) Multivariate data analysis ( 7 th) edition . 
  24. Hamill, J. (1997). The Internet and international marketing. International Marketing Review, 14(5), 300–323.
  25. Hamill, J., & Gregory, K. (1997). Internet marketing in the internationalisation of U.K. SME's. Journal of Marketing Management, 13(1-3), 9–28.
  26. Hart, S., Webb, J., & Marian, J. (1994). Export marketing research and the effects of export experience in industrial SMEs. International Marketing Review, 11(6), 4–22.
  27. Hofstede, G. (2001). Cultures Consequences: Comparing Values, Behaviours, Institutions and Organisations. CA: Sage Publications.
  28. Li, T., & Calantone, R. J. (1998). The impact of market knowledge competence on new product advantage: Conceptualization and empirical examination. Journal of Marketing, 62(4), 13–29.
  29. Li, M., & Ye, L. R. (1999). Information technology and firm performance: Linking with environmental, strategic and managerial contexts. Information Management, 35(1), 43.
  30. Booth, M. E., & Philip, G. (1998). Technology, competencies, and competitiveness: The case for reconfigurable and flexible strategies. Journal of Business Research, 41(1), 29.
  31.  Kaplan, D (2007) .  Structural Equation molding. Sage pp1089-1039 ISBN 9781412950589.    
  32. Loane, S. (2005). The role of the Internet in the internationalisation of small and medium sized companies. Journal of International Entrepreneurship, 3(4), 263–277.
  33. Loane, S., & Bell, J. (2006). Rapid internationalisation among entrepreneurial firms in Australia, Canada, Ireland and New Zealand. International Marketing Review, 23(5), 467.
  34. Lohrke, F. T., Franklin, G. M., & Frownfelter-Lohrke, C. (2006). The Internet as an information conduit. International Small Business Journal, 24(2), 159–178.
  35. Lu, V., & Julian, C. (2008). The Internet, strategy and performance: A study of Australian export market ventures. Journal of Global Marketing, 21(3), 231.
  36. Mathews, S., & Healy, M. (2008). ‘From garage to global’: The Internet and international market growth, an SME perspective. International Journal of Internet Marketing and Advertising, 4(2/3), 179–196.
  37. Melewar, T. C., & Stead, C. (2002). The impact of information technology on global marketing strategies. Journal of General Management, 27(4), 15–26.
  38. Morgan, N. A. (2012). Marketing and business performance. Journal of the Academy of Marketing Science, 40(1), 102–119.
  39. Moen, Ø., Madsen, T. K., & Aspelund, A. (2008). The importance of the Internet in international business-to-business markets. International Marketing Review, 25(5), 487.
  40. Morgan-Thomas, A., & Bridgewater, S. (2004). Internet and exporting: Determinants of success in virtual export channels. International Marketing Review, 21(4/5), 393–408.
  41. Musteen, M., Francis, J., & Datta, D. (2010). The influence of international networks on internationalization speed and performance: A study of Czech SMEs. Journal of World Business, 45(3), 197–205.
  42. OECD (2015). https://www.oecd.org/mena/competitiveness/MENA%20ministerial%20SME.pdf
  43. Petersen, B., Welch, L. S., & Liesch, P. W. (2002). The Internet and foreign market expansion by firms. Management International Review, 42(2), 207.
  44. Piercy, N., Kaleka, A., & Katsikeas, C. S. (1998). Sources of competitive advantage in high performing exporting companies. Journal of World Business, 33(4), 378–393.
  45. Podasakoff, P. M., MacKenzie, S. B., Lee, J. -Y., & Podsakoff, N. P. (2003). Common method biases in behavioral research: A critical review of the literature and recommended remedies. Journal of Applied Psychology, 88(5), 879–903.
  46. Prahalad, C. K. & Hamel G. (1990).'The core competence of the corporation', Harvard Business Review, pp. 79-91.
  47. Prasad, V. K., Ramamurthy, K., & Naidu, G. M. (2001). The influence of Internet-marketing
  48. integration on marketing competencies and export performance. Journal of International Marketing, 9(4), 82.
  49. Quelch, J. A., & Klein, L. R. (1996). The Internet and international marketing. Sloan Management Review, 39(3), 60–75.
  50. Rahman, M. (2010). The Factors Affecting Bangladesh’s Exports: Evidence from the Gravity Model Analysis. The Journal of Developing Areas, 44(1), 229-244. Retrieved from http://www.jstor.org/stable/41428202Reuber, R., & Fischer, E. (2011). International entrepreneurship in Internet-enabled markets. Journal of Business Venturing, 26(1), 660–679.
  51. Samiee, S. (1998). Exporting and the Internet: A conceptual perspective. International Marketing Review, 15(5), 413–426.
  52. Teece, D. J. (2007). Explicating dynamic capabilities: The nature and micro foundations of (sustainable) enterprise performance. Strategic Management Journal, 28, 1319–1350.
  53. Teece, D. J., Pisano, G., & Shuen, A. (1997). Dynamic capabilities and strategic management. Strategic Management Journal, 18(7), 509–533.
  54. Teo, T., & Choo, W. (2001). Assessing the impact of using the Internet for competitive intelligence. Information Management, 39(1), 67–83.
  55. Tippins, M. J., & Sohi, R. S. (2003). IT competency and firm performance: Is organizational learning a missing link? Strategic Management Journal, 24(8), 745.
  56. Trainor, K., Rapp, A., Beitelspacher, L. S., & Schillewaert, N. (2010). Integrating information technology and marketing: An examination of the drivers and outcomes of e-marketing capability. Industrial Marketing Management, 40(1), 162–174.
  57. Ural, T & Hallwmoglu, E.C (2017) . The role of internet toward exporting performance under inter-countries political conflict conditions. A case of Turkey. International journal of Economics, Commerce and Management Vol v (7) 23-40
  58. White, A., & Daniel, E. M. (2004). The impact of e-marketplaces on dyadic buyer-supplier relationships: Evidence from the healthcare sector. Journal of Enterprise Information Management, 17(6), 441–453.
  59. Wright, M., Filatotchev, I., Hoskisson, R. E., & Peng, M. W. (2005). Guest editors’ introduction: Strategy research in emerging economies: Challenging the conventional wisdom. Journal of Management Studies, 42(1), 1–33.
  60. Wu, F., Mahajin, V., & Balasubramanian, S. (2003). An analysis of e-business adoption and its impact of business performance. Journal of the Academy of Marketing Science, 31(4), 425–447.