EIBA conference 2011

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This presentation was delivered during the 37th Annual Conference of EIBA (European International Business Academy) in Bucharest on 10 december 2011.

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EIBA conference 2011

  1. 1. Trust and affective commitment as energizing forces for export performance Josée Bloemer Mark Pluymaekers Armand Odekerken
  2. 2. Outline• Predictors of export performance • Relationship quality characteristics • Beneficial competencies• Conceptual model• Research design• Results and conclusions• Theoretical and managerial implications• Limitations and future research
  3. 3. Relationship quality characteristics• Exporting does not only involve economic transactions, but also relationships• Behavioral perspective / relational paradigm• Trust • The belief that foreign customers will be honest, fair and reliable• Commitment to exporting • The desire to build and maintain a relationship with foreign customers • Sousa et al. (2008): Most frequently cited management characteristic to influence export performance
  4. 4. Beneficial competencies• Relation-oriented competencies • Cultural sensitivity • Linguistic competence• Entrepreneurial competencies • Innovativeness • Risk-taking
  5. 5. Mediators or energizing forces? Competencies Trust Trust or Commitment Commitment Competencies Performance Performance Trust and commitment Trust and commitment mediate between act as energizing forcesbeneficial competencies for the development of and performance beneficial competencies
  6. 6. Conceptual model linguistic competence cultural sensitivity affective export trust performance commitment innovative- ness risk- calculative taking commitment
  7. 7. Research design• Web-based survey • Existing measurement scales • Identify outliers  134 respondents (3.5%) • PLS• Sample design • Exporting firms • SME entrepreneur • Province of Limburg
  8. 8. Research region
  9. 9. Results linguistic resources 0.309** ns cultural 0.594** 0.292** sensitivity 0.317** affective export trust commitment 0.340** performance 0.285** innovative- ness ns 0.211* 0.215* risk- calculative* p < 0.05 seeking commitment** p < 0.01
  10. 10. Results (2) Competencies Trust Energizing forces Mediators Commitment Trust Communality Communality R2 R2ACAC 0.873 0.873 0.100 0.0971CALCCALC 0.827 0.826 0.000 0.0000 Competencies CommitmentCSCS 0.589 0.588 0.353 0.0000EPEP 0.716 0.715 0.279 0.2179INNOINNO 0.810 0.810 0.081 0.0000LCLC 0.699 0.688 0.095 0.0000 PerformanceRISKRISK 0.661 0.655 0.046 0.0000TRSTTRST 0.607 0.609 0.000 0.1549averageaverage 0.723 0.720 0.0590.119 GOF = 0.293 GOF = 0.206
  11. 11. Theoretical implications• Trust and affective commitment act as energizing forces for export performance• They are not mediators, but necessary conditions for developing relation-oriented and entrepreneurial competencies• Trust in foreign customers and commitment to exporting motivate organizations to innovate, take risks, learn a foreign language and develop more sensitivity to cultural differences
  12. 12. Managerial implicationsTo develop trust in foreign customers: • Select trustworthy prospects and customers • Avoid unpleasant interactions • Get to know your customer – personal contact • Invest in relationships • Take relevant actions • Authorize personnel to initiate “relationship improving” initiatives • Invest in CRM systems supporting committed behavior
  13. 13. Limitations and future research• Cross-sectional survey with self-assessments• Generalizability?• One side of the dyad• Future research: • Development of the relationship over time? • Perception of the customer? • From investments in general competencies to relation-specific investments?• Questions?

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