Product strategies for export ventures : an empirical investigation among SMEs in an emerging economy

This study examines product strategies of firms in developing countries for export ventures in global markets. It focuses on generic product features: low cost, differentiation, and specialization for analysing how they are associated with the intent to export. A rigorous database was developed...

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Main Authors: Abu H Ayob, Dana, Léo-Paul
Format: Article
Language:English
Published: Penerbit Universiti Kebangsaan Malaysia 2017
Online Access:http://journalarticle.ukm.my/20751/1/15792-65497-1-PB.pdf
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author Abu H Ayob,
Dana, Léo-Paul
author_facet Abu H Ayob,
Dana, Léo-Paul
author_sort Abu H Ayob,
collection UKM
description This study examines product strategies of firms in developing countries for export ventures in global markets. It focuses on generic product features: low cost, differentiation, and specialization for analysing how they are associated with the intent to export. A rigorous database was developed from a survey of 142 SMEs in Malaysia. Data was analysed through hierarchical ordinary least squares (OLS) regression analysis. This study finds that only products with differentiation, specialization, or both are intended for export. On the other hand, a low cost attribute deprives the intention of going global. In the context of this emerging economy, the optimal product strategy for exporting is differentiation and specialization coupled with low-cost strategy. The findings challenge traditional view that firms from developing countries possess cost advantage at the international level, thus justifying why some local firms remain reluctant to export.
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spelling ukm.eprints-207512022-12-14T07:45:11Z http://journalarticle.ukm.my/20751/ Product strategies for export ventures : an empirical investigation among SMEs in an emerging economy Abu H Ayob, Dana, Léo-Paul This study examines product strategies of firms in developing countries for export ventures in global markets. It focuses on generic product features: low cost, differentiation, and specialization for analysing how they are associated with the intent to export. A rigorous database was developed from a survey of 142 SMEs in Malaysia. Data was analysed through hierarchical ordinary least squares (OLS) regression analysis. This study finds that only products with differentiation, specialization, or both are intended for export. On the other hand, a low cost attribute deprives the intention of going global. In the context of this emerging economy, the optimal product strategy for exporting is differentiation and specialization coupled with low-cost strategy. The findings challenge traditional view that firms from developing countries possess cost advantage at the international level, thus justifying why some local firms remain reluctant to export. Penerbit Universiti Kebangsaan Malaysia 2017 Article PeerReviewed application/pdf en http://journalarticle.ukm.my/20751/1/15792-65497-1-PB.pdf Abu H Ayob, and Dana, Léo-Paul (2017) Product strategies for export ventures : an empirical investigation among SMEs in an emerging economy. Jurnal Pengurusan, 50 . pp. 25-33. ISSN 0127-2713 https://ejournal.ukm.my/pengurusan/issue/view/1026
spellingShingle Abu H Ayob,
Dana, Léo-Paul
Product strategies for export ventures : an empirical investigation among SMEs in an emerging economy
title Product strategies for export ventures : an empirical investigation among SMEs in an emerging economy
title_full Product strategies for export ventures : an empirical investigation among SMEs in an emerging economy
title_fullStr Product strategies for export ventures : an empirical investigation among SMEs in an emerging economy
title_full_unstemmed Product strategies for export ventures : an empirical investigation among SMEs in an emerging economy
title_short Product strategies for export ventures : an empirical investigation among SMEs in an emerging economy
title_sort product strategies for export ventures an empirical investigation among smes in an emerging economy
url http://journalarticle.ukm.my/20751/1/15792-65497-1-PB.pdf
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AT danaleopaul productstrategiesforexportventuresanempiricalinvestigationamongsmesinanemergingeconomy