Strategic antecedents and organisational consequences of IMC in different economy types

Abstract

ABSTRACT Successful companies develop competitive advantages over their rivals. Drawing on the dynamic capabilities theory, Integrated Marketing Communications (IMC) can be considered as a source of competitive advantage. Enhanced by the effects of the appropriate strategic orientation, IMC may positively influence customer, market and financial performance. However, these proposals need further empirical analysis. Based on data from surveyed businesses in both developed and emerging economies (Spain and Belarus, respectively), the study uses structural equation modelling (SEM) to analyse the relationships in the theoretical model. The results suggest that while market orientation has a direct relationship with IMC in both countries, the relationship between technology orientation and IMC can only be found in a developed economy. In addition, the potential of IMC for business advantage sustainability is verified; in a developed economy, however, the verification was for customer and market performance, but not for financial performance. Conversely, in an emerging economy only customer performance could be verified, despite IMC having an indirect relationship with financial performance in both types of economies. Thus, the economy type moderation effect analysis clearly supports the differences caused by the implementation of IMC in developed and emerging economies.