The effect of flexibility on export venture performance

Although both international marketing theorists and practitioners have been expounding the importance of flexibility little or no research has been done to examine the effect of flexibility on export venture performance. Most of the research to date was directed towards examining the effect of flexibility on performance in the domestic context. Moreover, the studies in the literature also gave exclusive attention to the performance-enhancing effect of flexibility and ignored the moderating effects of organisational and environmental contingencies on the flexibility-performance relationship. This paper will present the results of a study that assessed the effect of flexibility on export performance.

The findings support the proposition that flexibility is significantly related to export performance but that environmental dynamism, legal forms of business ownership, international experience, control mechanism, and exporter-distributor cooperation have a moderating effect on the relationships between flexibility and export venture performance. The study also found that firms that were challenged by intense competitive rivalries, spent a lot of time and effort on monitoring foreign marketing activities, and had substantial cooperation with overseas distributors were more flexible in their manufacturing, marketing, financial, and organizational activities.