The influence of marketing capabilities on economic international performance

Abstract

PurposeThe paper's objective is to demonstrate that marketing capabilities have positive effects on firms' international performance. These effects may be both direct and indirect. Marketing capabilities foster international commitment and influence the choice of international entry mode. Through these, marketing capabilities exercise an indirect influence on international performance.Design/methodology/approachFirst, based on arguments from the dynamic capabilities perspective, the dynamic theory of strategy and the transaction‐cost theory, the effects of marketing capabilities on international performance are discussed. A survey was carried out on Spanish and Belgian international firms to test the model. SEM was used to analyse the relationships established in the hypotheses.FindingsThe results show coincidences between the samples in relation to the positive influences of companies' marketing capabilities on economic international performance, international commitment and international entry modes. Moreover, there is also a positive and significant influence of high direct investment entry modes on international economic performance. However, there are differences in other relationships.Practical implicationsThe results inform on the kind of entry modes that can be selected, based on firm marketing capabilities, and which of them provide better international results.Originality/valueThis paper confirms that marketing capabilities are at the core of the company's international decisions. Specifically, it demonstrates that marketing capabilities influence both the international commitment of the company and the selection of the appropriate international mode of entry.