Edited by Craig C. Julian
Chapter 7: The impact of globalization drivers on strategy–performance relationships in international markets
The relationship between international marketing strategy and performance has since the late 1980s been researched by several authors (Samiee and Roth, 1992; Szymanski et al., 1993; Cavusgil and Zou, 1994; Zou and Cavusgil, 2002; Lim et al., 2006; Xu et al., 2006; Lages et al. 2008; Solberg and Durrieu, 2006; 2008; Schilke et al., 2009). So far, however, there is little agreement on the impact of different strategies on performance. For instance, while Samiee and Roth (1992) found no correlation between standardization and firm performance, Zou and Cavusgil (2002) found in a sample of US firms competing in global industries that global marketing strategy (GMS) positively affects financial and strategic performance and, moreover, that GMS is affected by external globalization drivers and internal factors such as international experience and dedication/global orientation of the firm. In spite of the fact that the wealth of contributions to this literature is increasing, none to our knowledge has explored the moderating effects on performance of external drivers of globalization. We claim that it is vital for firms to understand these effects. The debate and the many studies of standardization or adaptation in international markets are a testimony of the unresolved conundrum of global marketing. The present chapter aims at filling part of this gap in the literature. We explore the moderating impact of globalization drivers on strategies–performance relationships using a sample of Singaporean, German and Norwegian small to medium-sized firms.
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