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Dimensional effects of Korean SME’s entrepreneurial orientation on internationalization and performance: the mediating role of marketing capability

Author

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  • Byoungho Jin

    (The University of North Carolina at Greensboro)

  • Sojin Jung

    (The Hong Kong Polytechnic University)

  • So Won Jeong

    (Sangmyung University)

Abstract

This study examines how three different dimensions of entrepreneurial orientation (proactiveness, innovativeness, and risk-taking) each determine internationalization strategies and enhance international performance among small and medium-sized enterprises (SMEs) through the mediating role of marketing capabilities. An integrative theoretical framework built on international entrepreneurship and a resource-based approach was tested in the context of Korean SMEs. Analyses of 401 survey data collected from Korean exporting SMEs revealed the differential effects of each entrepreneurial orientation and the mediating effect of marketing capability on internationalization strategies and performance. Proactiveness and risk taking appeared to function as significant antecedents of marketing capability. Marketing capability, in turn, significantly decreased internationalization scope and increased the financial performance of Korean SMEs, though it did not influence internationalization scale. This study further confirms that the mediating role of marketing capability in entrepreneurial orientation-performance relationships vary by entrepreneurial orientation dimensions. Taking the direct and indirect roles of the entrepreneurial orientation dimensions together, this study recommends the critical prioritization of risk-taking over proactiveness. It extends previous approaches to the triad of resource–capability–performance. Theoretical contributions and insightful managerial implications are also provided.

Suggested Citation

  • Byoungho Jin & Sojin Jung & So Won Jeong, 2018. "Dimensional effects of Korean SME’s entrepreneurial orientation on internationalization and performance: the mediating role of marketing capability," International Entrepreneurship and Management Journal, Springer, vol. 14(1), pages 195-215, March.
    • Handle: RePEc:spr:intemj:v:14:y:2018:i:1:d:10.1007_s11365-017-0457-4
    DOI: 10.1007/s11365-017-0457-4
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    References listed on IDEAS

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