IDEAS home Printed from https://ideas.repec.org/a/eee/iburev/v24y2015i1p124-132.html
   My bibliography  Save this article

Direct or indirect channel structures. Evaluating the impact of channel governance structure on export performance

Author

Listed:
  • Rambocas, Meena
  • Meneses, Raquel
  • Monteiro, Carlos
  • Brito, Pedro Quelhas

Abstract

The purpose of the study is to examine the impact of channel governance structure on export performance ex post. The study surveyed 105 foreign buyers of crane services from five countries and used MANOVA to test the effects of channel governance structure on export short term and long term performance outcomes. The study found that short term profitability was higher for indirect distribution channel arrangements while longer term outcomes of buyer economic satisfaction and loyalty were higher for direct. The results suggest that exporters are more likely to achieve immediate financial objectives with the support from indirect channels; however, long term objectives are more effectively achieved through direct channels.

Suggested Citation

  • Rambocas, Meena & Meneses, Raquel & Monteiro, Carlos & Brito, Pedro Quelhas, 2015. "Direct or indirect channel structures. Evaluating the impact of channel governance structure on export performance," International Business Review, Elsevier, vol. 24(1), pages 124-132.
  • Handle: RePEc:eee:iburev:v:24:y:2015:i:1:p:124-132
    DOI: 10.1016/j.ibusrev.2014.07.002
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0969593114001073
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.ibusrev.2014.07.002?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Erin Anderson & Hubert Gatignon, 1986. "Modes of Foreign Entry: A Transaction Cost Analysis and Propositions," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 17(3), pages 1-26, September.
    2. Luis Filipe Lages & Sandy D Jap & David A Griffith, 2008. "The role of past performance in export ventures: a short-term reactive approach," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 39(2), pages 304-325, March.
    3. Eugene W. Anderson & Mary W. Sullivan, 1993. "The Antecedents and Consequences of Customer Satisfaction for Firms," Marketing Science, INFORMS, vol. 12(2), pages 125-143.
    4. Keith D Brouthers, 2013. "A retrospective on: Institutional, cultural and transaction cost influences on entry mode choice and performance," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 44(1), pages 14-22, January.
    5. Preet S Aulakh & Masaaki Kotabe, 1997. "Antecedents and Performance Implications of Channel Integration in Foreign Markets," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 28(1), pages 145-175, March.
    6. Canabal, Anne & White III, George O., 2008. "Entry mode research: Past and future," International Business Review, Elsevier, vol. 17(3), pages 267-284, June.
    7. Keith D. Brouthers & Gary J. Bamossy, 2006. "Post‐Formation Processes in Eastern and Western European Joint Ventures," Journal of Management Studies, Wiley Blackwell, vol. 43(2), pages 203-229, March.
    8. John H Dunning, 1980. "Towards an Eclectic Theory of International Production: Some Empirical Tests," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 11(1), pages 9-31, March.
    9. Mike W Peng & Anne S York, 2001. "Behind Intermediary Performance in Export Trade: Transactions, Agents, and Resources," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 32(2), pages 327-346, June.
    10. Mike W Peng & Anne Y Ilinitch, 1998. "Export Intermediary Firms: A Note on Export Development Research," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 29(3), pages 609-620, September.
    11. G Tomas M Hult & David J Ketchen & David A Griffith & Brian R Chabowski & Mary K Hamman & Bernadine Johnson Dykes & Wesley A Pollitte & S Tamer Cavusgil, 2008. "An assessment of the measurement of performance in international business research," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 39(6), pages 1064-1080, September.
    12. Anne T. Coughlan, 1985. "Competition and Cooperation in Marketing Channel Choice: Theory and Application," Marketing Science, INFORMS, vol. 4(2), pages 110-129.
    13. Yigang Pan & Shaomin Li & David K Tse, 1999. "The Impact of Order and Mode of Market Entry on Profitability and Market Share," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 30(1), pages 81-103, March.
    14. Erin Anderson, 2008. "The Salesperson as Outside Agent or Employee: A Transaction Cost Analysis," Marketing Science, INFORMS, vol. 27(1), pages 70-84, 01-02.
    15. C Patrick Woodcook & Paul W Beamish & Shige Makino, 1994. "Ownership-Based Entry mode Strategies and International Performance," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 25(2), pages 253-273, June.
    16. Keith D Brouthers, 2013. "Institutional, cultural and transaction cost influences on entry mode choice and performance," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 44(1), pages 1-13, January.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Lu, Yun & Ntim, Collins G. & Zhang, Qingjing & Li, Pingli, 2022. "Board of directors’ attributes and corporate outcomes: A systematic literature review and future research agenda," International Review of Financial Analysis, Elsevier, vol. 84(C).
    2. Pyper, Keith & Doherty, Anne Marie, 2022. "Employing brand governance mechanisms with export channel partners: What are the performance consequences and contingent effects?," International Business Review, Elsevier, vol. 31(5).
    3. G. Tomas M. Hult & Forrest V. Morgeson III & Udit Sharma & Claes Fornell, 2022. "Customer satisfaction and international business: A multidisciplinary review and avenues for research," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 53(8), pages 1695-1733, October.
    4. Li, Min & He, Xinming & Sousa, Carlos M.P., 2017. "A review of the empirical research on export channel selection between 1979 and 2015," International Business Review, Elsevier, vol. 26(2), pages 303-323.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Hongxin Zhao & Jieqiong Ma & Jie Yang, 2017. "30 Years of Research on Entry Mode and Performance Relationship: A Meta-Analytical Review," Management International Review, Springer, vol. 57(5), pages 653-682, October.
    2. Chenxi Wan & Carlos M. P. Sousa & Jorge Lengler & Qun Tan, 2023. "Entry Mode Choice: A Meta-Analysis of Antecedents and Outcomes," Management International Review, Springer, vol. 63(2), pages 193-246, April.
    3. Liedong, Tahiru Azaaviele & Peprah, Augustine Awuah & Amartey, Abednego Okoe & Rajwani, Tazeeb, 2020. "Institutional voids and firms' resource commitment in emerging markets: A review and future research agenda," Journal of International Management, Elsevier, vol. 26(3).
    4. Hollender, Lina & Zapkau, Florian B. & Schwens, Christian, 2017. "SME foreign market entry mode choice and foreign venture performance: The moderating effect of international experience and product adaptation," International Business Review, Elsevier, vol. 26(2), pages 250-263.
    5. Kai Xu & Michael A. Hitt & Stewart R. Miller, 2020. "The ownership structure contingency in the sequential international entry mode decision process: Family owners and institutional investors in family-dominant versus family-influenced firms," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 51(2), pages 151-171, March.
    6. Kalinic, Igor & Brouthers, Keith D., 2022. "Entrepreneurial orientation, export channel selection, and export performance of SMEs," International Business Review, Elsevier, vol. 31(1).
    7. Meschi, Pierre-Xavier & Phan, Thanh Tú & Wassmer, Ulrich, 2016. "Transactional and institutional alignment of entry modes in transition economies. A survival analysis of joint ventures and wholly owned subsidiaries in Vietnam," International Business Review, Elsevier, vol. 25(4), pages 946-959.
    8. Kolloge, Konstantin, 2009. "Die Messung des Kooperationserfolges in der empirischen Forschung: Ergebnisse einer Literaturstudie," Arbeitspapiere 76, University of Münster, Institute for Cooperatives.
    9. Keith D. Brouthers & Liang Chen & Sali Li & Noman Shaheer, 2022. "Charting new courses to enter foreign markets: Conceptualization, theoretical framework, and research directions on non-traditional entry modes," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 53(9), pages 2088-2115, December.
    10. Shieh, Bih-Lian & Wu, Tzong-Chen, 2012. "Equity-based entry modes of the Greater Chinese Economic Area's foreign direct investments in Vietnam," International Business Review, Elsevier, vol. 21(3), pages 508-517.
    11. Canabal, Anne & White III, George O., 2008. "Entry mode research: Past and future," International Business Review, Elsevier, vol. 17(3), pages 267-284, June.
    12. Martin, Xavier, 2013. "Solving theoretical and empirical conundrums in international strategy research by matching foreign entry mode choices and performance," Other publications TiSEM 7645ea46-0b9a-4fc0-ae33-a, Tilburg University, School of Economics and Management.
    13. Venkateswaran, Ramya Tarakad & George, Rejie, 2020. "When does culture matter? A multilevel study on the role of situational moderators," Journal of Business Research, Elsevier, vol. 116(C), pages 99-122.
    14. Ripollés, Maria & Blesa, Andreu, 2012. "International new ventures as “small multinationals”: The importance of marketing capabilities," Journal of World Business, Elsevier, vol. 47(2), pages 277-287.
    15. Josef C. Brada & Ichiro Iwasaki, 2023. "Do target-country legal institutions affect cross-border mergers and acquisitions? A quantitative literature survey," European Journal of Law and Economics, Springer, vol. 55(2), pages 225-289, April.
    16. Tomassen, Sverre & Benito, Gabriel R.G., 2009. "The costs of governance in international companies," International Business Review, Elsevier, vol. 18(3), pages 292-304, June.
    17. Surdu, Irina & Mellahi, Kamel, 2016. "Theoretical foundations of equity based foreign market entry decisions: A review of the literature and recommendations for future research," International Business Review, Elsevier, vol. 25(5), pages 1169-1184.
    18. Stevens, Charles E. & Makarius, Erin E. & Mukherjee, Debmalya, 2015. "It Takes Two to Tango: Signaling Behavioral Intent in Service Multinationals' Foreign Entry Strategies," Journal of International Management, Elsevier, vol. 21(3), pages 235-248.
    19. Zengyu Huang & Xia Han & Frank Roche & John Cassidy, 2011. "The Dilemma Facing Strategic Choice of Entry Mode," Global Business Review, International Management Institute, vol. 12(2), pages 181-192, June.
    20. Claudio Giachetti & Giancarlo Manzi & Cinzia Colapinto, 2019. "Entry Mode Degree of Control, Firm Performance and Host Country Institutional Development: A Meta-Analysis," Management International Review, Springer, vol. 59(1), pages 3-39, February.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:iburev:v:24:y:2015:i:1:p:124-132. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/133/description#description .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.