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Impact of Institutional Support on Export Performance

Author

Listed:
  • Mário Nuno Mata

    (ISCAL-Instituto Superior de Contabilidade e Administração de Lisboa, Instituto Politécnico de Lisboa, Avenida Miguel Bombarda 20, 1069-035 Lisbon, Portugal
    Polytechnic Institute of Santarém, School of Management and Technology (ESGTS-IPS), 2001-904 Santarém, Portugal)

  • Mohammad Falahat

    (Department of International Business, Universiti Tunku Abdul Rahman (UTAR), Bandar Sungai Long, Kajang 43000, Malaysia)

  • Anabela Batista Correia

    (ISCAL-Instituto Superior de Contabilidade e Administração de Lisboa, Instituto Politécnico de Lisboa, Avenida Miguel Bombarda 20, 1069-035 Lisbon, Portugal)

  • João Xavier Rita

    (ISCAL-Instituto Superior de Contabilidade e Administração de Lisboa, Instituto Politécnico de Lisboa, Avenida Miguel Bombarda 20, 1069-035 Lisbon, Portugal)

Abstract

This paper examines institutional support (financial and marketing support) on export-oriented firms’ performance or so-called born globals. We develop a model to address how financial and marketing support can help young entrepreneurial firms to overcome the liability of newness and smallness in gaining competitive capabilities. Using a quantitative method, data were collected from 217 manufacturers and service sectors in Malaysia, an emerging Southeast Asian market. The results suggest that government assistance in marketing leads to competitive capabilities and export performance; however, financial support neither contributes to competitive capabilities nor export performance. We found the significant role of competitive capabilities as a mediator in enhancing the relationship between marketing support and export performance. Practical implications drawn from this result can be offered as guidelines for the policymakers in supporting young entrepreneurs that lead to competitive capabilities and superior performance.

Suggested Citation

  • Mário Nuno Mata & Mohammad Falahat & Anabela Batista Correia & João Xavier Rita, 2021. "Impact of Institutional Support on Export Performance," Economies, MDPI, vol. 9(3), pages 1-13, July.
    • Handle: RePEc:gam:jecomi:v:9:y:2021:i:3:p:101-:d:588028
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    References listed on IDEAS

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    Cited by:

    1. Jorge Mota & António Moreira & Alexandra Alves, 2021. "Impact of Export Promotion Programs on Export Performance," Economies, MDPI, vol. 9(3), pages 1-16, September.

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