IDEAS home Printed from https://ideas.repec.org/a/prg/jnlcbr/v2012y2012i3id28p28-36.html
   My bibliography  Save this article

How Relational Capabilities Matter? Organizational Context and Performance of Internationally Oriented SMEs

Author

Listed:
  • Mariola Ciszewska-Mlinarič
  • Krzysztof Obłój
  • Franjo Mlinarič

Abstract

This article sheds light on the organizational context enhancing development of relational capabilities and examines the significance of relational capabilities for SMEs' financial and non-financial performance. The firm's relational capability is measured separately in customers' and suppliers' networks. This study is based on a sample of 67 SMEs from the five most internationalized industries in Slovenia. Research hypotheses are tested with linear regression models. The results support our prediction that fostering internal social capital, coupled with the usage of economic motivators, augments a firm's relational capability in a supplier network, which in turn is associated with better performance outcomes, both financial and non-financial. The results on relational capability in a customer network with respect to performance are less conclusive, indicating that vertical ties of internationally oriented SMEs (with suppliers and customers) are not of equal importance.

Suggested Citation

  • Mariola Ciszewska-Mlinarič & Krzysztof Obłój & Franjo Mlinarič, 2012. "How Relational Capabilities Matter? Organizational Context and Performance of Internationally Oriented SMEs," Central European Business Review, Prague University of Economics and Business, vol. 2012(3), pages 28-36.
    • Handle: RePEc:prg:jnlcbr:v:2012:y:2012:i:3:id:28:p:28-36
    DOI: 10.18267/j.cebr.28
    as

    Download full text from publisher

    File URL: http://cebr.vse.cz/doi/10.18267/j.cebr.28.html
    Download Restriction: free of charge
    File URL: http://cebr.vse.cz/doi/10.18267/j.cebr.28.pdf
    Download Restriction: free of charge
    File URL: https://libkey.io/10.18267/j.cebr.28?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. Joel A. C. Baum & Tony Calabrese & Brian S. Silverman, 2000. "Don't go it alone: alliance network composition and startups' performance in Canadian biotechnology," Strategic Management Journal, Wiley Blackwell, vol. 21(3), pages 267-294, March.
    2. Paul Ellis, 2000. "Social Ties and Foreign Market Entry," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 31(3), pages 443-469, September.
    3. Jan Johanson & Jan-Erik Vahlne, 1977. "The Internationalization Process of the Firm—A Model of Knowledge Development and Increasing Foreign Market Commitments," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 8(1), pages 23-32, March.
    4. Sucheta Nadkarni & Pedro David Perez, 2007. "Prior conditions and early international commitment: the mediating role of domestic mindset," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 38(1), pages 160-176, January.
    5. Klaus E Meyer & Mike W Peng, 2005. "Probing theoretically into Central and Eastern Europe: transactions, resources, and institutions," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 36(6), pages 600-621, November.
    6. Andersen, Otto & Suat Kheam, Low, 1998. "Resource-based theory and international growth strategies: an exploratory study," International Business Review, Elsevier, vol. 7(2), pages 163-184, April.
    7. Lianxi Zhou & Wei-ping Wu & Xueming Luo, 2007. "Internationalization and the performance of born-global SMEs: the mediating role of social networks," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 38(4), pages 673-690, July.
    8. A Rebecca Reuber & Eileen Fischer, 1997. "The Influence of the Management Team’s International Experience on the Internationalization Behaviors of SMES," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 28(4), pages 807-825, December.
    9. B Elango & Chinmay Pattnaik, 2007. "Building capabilities for international operations through networks: a study of Indian firms," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 38(4), pages 541-555, July.
    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. Petra Koudelková, 2014. "Innovation in Small and Medium Enterprises in the Czech Republic," Central European Business Review, Prague University of Economics and Business, vol. 2014(3), pages 31-37.

    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. Eberhard, Manuel & Craig, Justin, 2013. "The evolving role of organisational and personal networks in international market venturing," Journal of World Business, Elsevier, vol. 48(3), pages 385-397.
    2. Kiss, Andreea N. & Danis, Wade M. & Cavusgil, S. Tamer, 2012. "International entrepreneurship research in emerging economies: A critical review and research agenda," Journal of Business Venturing, Elsevier, vol. 27(2), pages 266-290.
    3. Shameen Prashantham & Julian Birkinshaw, 2015. "Choose Your Friends Carefully: Home-Country Ties and New Venture Internationalization," Management International Review, Springer, vol. 55(2), pages 207-234, April.
    4. Zdziarski Michał & Światowiec-Szczepańska Justyna & Troilo Mike & Małys Łukasz, 2017. "Adventurous Foreign Direct Investment," Journal of Management and Business Administration. Central Europe, Sciendo, vol. 25(2), pages 117-139, June.
    5. Srivastava, Mohit & Moser, Roger & Hartmann, Evi, 2018. "The networking behavior of Indian executives under environmental uncertainty abroad: An exploratory analysis," Journal of Business Research, Elsevier, vol. 82(C), pages 230-245.
    6. Morgan, Horatio M. & Sui, Sui & Baum, Matthias, 2018. "Are SMEs with immigrant owners exceptional exporters?," Journal of Business Venturing, Elsevier, vol. 33(3), pages 241-260.
    7. Christian Keen & Yuanyuan Wu, 2011. "An ambidextrous learning model for the internationalization of firms from emerging economies," Journal of International Entrepreneurship, Springer, vol. 9(4), pages 316-339, December.
    8. Dzikowski, Piotr, 2018. "A bibliometric analysis of born global firms," Journal of Business Research, Elsevier, vol. 85(C), pages 281-294.
    9. Paul, Justin & Parthasarathy, Sundar & Gupta, Parul, 2017. "Exporting challenges of SMEs: A review and future research agenda," Journal of World Business, Elsevier, vol. 52(3), pages 327-342.
    10. Schwens, Christian & Kabst, Ruediger, 2011. "Internationalization of young technology firms: A complementary perspective on antecedents of foreign market familiarity," International Business Review, Elsevier, vol. 20(1), pages 60-74, February.
    11. Ilya R. P. Cuypers & Gokhan Ertug & John Cantwell & Akbar Zaheer & Martin Kilduff, 2020. "Making connections: Social networks in international business," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 51(5), pages 714-736, July.
    12. Sami Basly & Paul-Laurent Saunier, 2020. "Familiness, socio-emotional goals and the internationalization of French family SMEs," Journal of International Entrepreneurship, Springer, vol. 18(3), pages 270-311, September.
    13. Ciravegna, Luciano & Majano, Sara B. & Zhan, Ge, 2014. "The inception of internationalization of small and medium enterprises: The role of activeness and networks," Journal of Business Research, Elsevier, vol. 67(6), pages 1081-1089.
    14. Contò, Francesco & Fiore, Mariantonietta & Antonazzo, Anna Paola & La Sala, Piermichele, 2012. "A development model for the internationalization of SME agro-food of Puglia: the ISCI project," MPRA Paper 42526, University Library of Munich, Germany.
    15. Hashai, Niron & Zahra, Shaker A., 2022. "A double-edged sword? Founder Teams' Prior International Experience and INV International Scale-up," Journal of World Business, Elsevier, vol. 57(2).
    16. repec:ers:journl:v:volumexxi:y:2018:i:issue4:p:69-91 is not listed on IDEAS
    17. Yadong Luo & Hongxin Zhao & Yagang Wang & Youmin Xi, 2011. "Venturing Abroad by Emerging Market Enterprises," Management International Review, Springer, vol. 51(4), pages 433-459, August.
    18. Luo, Yadong & Bu, Juan, 2018. "Contextualizing international strategy by emerging market firms: A composition-based approach," Journal of World Business, Elsevier, vol. 53(3), pages 337-355.
    19. Agnihotri, Arpita & Bhattacharya, Saurabh, 2015. "Determinants of export intensity in emerging markets: An upper echelon perspective," Journal of World Business, Elsevier, vol. 50(4), pages 687-695.
    20. Chakrabarty, Subhajit & Nag, Biswajit, 2014. "Perceptions of international trade barriers: Empirical study of small apparel firms," MPRA Paper 52635, University Library of Munich, Germany.
    21. Baum, Matthias & Schwens, Christian & Kabst, Ruediger, 2015. "A latent class analysis of small firms’ internationalization patterns," Journal of World Business, Elsevier, vol. 50(4), pages 754-768.

    More about this item

    Keywords

    relational capability; vertical ties; performance; SME;
    All these keywords.

    JEL classification:

    • F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business
    • M16 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - International Business Administration

    Statistics

    Access and download statistics

    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:prg:jnlcbr:v:2012:y:2012:i:3:id:28:p:28-36. 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: Stanislav Vojir (email available below). General contact details of provider: https://edirc.repec.org/data/uevsecz.html .

    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.