- This paper is published in the Journal of Business Research, full article can be found at: http://doi.org/10.1016/j.jbusres.2016.02.042
Professor Suraksha Gupta, University of Kent
Professor Naresh K Malhotra, Georgia Institute of Technology
Professor Michael Czinkota, Georgetown University
Professor Pantea Foroudi, Middlesex University
ISSN 0148-2963
Various studies recommend that managers aiming to venture into the challenging field of internationalisation should create a competitive edge that helps them to demonstrate the superior abilities of their firm (Porter, 2011; Samli et al., 1994; Barney et al. 2011). But, fear of the unknown deters managers from stepping out of their home country and benefiting from internationalisation because growth markets tend to be very complex as they foster competition (Knight, 1995; Thai and Chong, 2013). A business-to-business model of distribution allows managers of international firms to successfully deal with entry barriers and enter smoothly into a foreign market and effectively address the complexity of a place that offers high potential of growth to their businesses (Yan, 2012).
A distributor simultaneously facilitates the entry of multiple firms with competing products into the market and engages micro level small and medium firms in the local market for selling (Chen, 2003). Since distributors offer multiple similar and competing products to resellers, markets being served through resellers become very competitive for international brands. Competition in a market encourages competing firms to demonstrate their ability to innovatively serve customers (Freeman et al., 2006). Lack of in-depth native knowledge in such markets is a major shortcoming for firms aiming to internationalise because it decreases their capability to innovate their marketing related business practices by predicting the business environment and trends in the consumption patterns of the foreign market (Bell, 1995; Johanson and Vahlne, 2009). Distributors and resellers have an important role to play in the successful penetration of a foreign market so how an international firm develops its capability to market its products through reseller networks needs to be understood.
The resource advantage theory recognizes the creation of a competitive edge as a function of marketing and identifies the role of branding in creating the capability of a firm to demonstrate its superior abilities (Hunt and Morgan, 1995; Hunt and Morgan, 1996; Srivastava et al., 2001). Simultaneously, the industrial practices of industrial brands particularly in the IT and telecom sector indicates that the managers of strong brands can compete in foreign markets based on their brand leadership and brand relationships in the local market. It has also been noticed and reported in the literature of local firms by studies like Gupta and Malhotra (2013) that a brand that contributes to the competitiveness of the reseller is able to compete at the local level using innovative marketing initiatives. These observations of various researchers indicate that the relationship between an international brand and its resellers in foreign markets becomes very important for brands in a market that poses strong competition (Anderson and Weitz, 1992).
It’s awesome to pay a visit this website and reading the views of all colleagues regarding this post, while I am also zealous of getting knowledge.
At this time it appears like Expression Engine is the best blogging platform out there right now.
(from what I’ve read) Is that what you’re using on your blog?
Ahaa, its good discussion on the topic of this article
here at this weblog, I have read all that, so at this time me also commenting here.
I will immediately snatch your rss feed as I can not find your email
subscription hyperlink or newsletter service. Do you have any?
Please allow me recognize in order that I may just subscribe.
Thanks.
In my opinion, michaelczinkota.com does a excellent job of dealing with subject matter of this kind. Even if frequently deliberately controversial, the material posted is in the main thoughtful and thought-provoking.
I’ve read several good stuff here. Certainly value bookmarking for revisiting. I wonder how a lot effort you place to create this type of fantastic informative website.
I don’t even know how I ended up here, but I thought
this post was great. I don’t know who you are but
certainly you are going to a famous blogger if you are not already 😉 Cheers!
Hi! I’ve been reading your website for a long time now
and finally got the bravery to go ahead and give you a shout out from Atascocita Tx!
Just wanted to say keep up the great work!
This info is worth everyone’s attention. How can I find
out more?
fantastic post, very informative. I ponder why the opposite experts of this sector do not understand this. You must continue your writing. I’m confident, you’ve a huge readers’ base already!
KjadbR line? Are you sure concerning the supply?
It’s a pity you don’t have a donate button! I’d certainly
donate to this excellent blog! I guess for now i’ll settle for bookmarking
and adding your RSS feed to my Google account. I look forward
to fresh updates and will talk about this website with my Facebook group.
Talk soon!
Good, solid content. I just now forwarded this on 10/12/2016 to a coworker who’s been involved in a little research of her own on the topic. To show his appreciation, they just bought me lunch! So, I should probably say: Cheers for the meal!
Thank you for the good writeup. It in fact was a amusement account it. Look advanced to more added agreeable from you! However, how can we communicate?
In my opinion, michaelczinkota.com does a great job of covering topics like this! Even if ofttimes deliberately controversial, the posts are more often than not well-written and stimulating.
As I web-site possessor I believe the content matter here is rattling fantastic , appreciate it for your hard work. You should keep it up forever! Best of luck.
10/5/2016 Like michaelczinkota.com– very easy to navigate and a lot of stuff to consider!
10/4/2016 @ 12:58:08 says nice job michaelczinkota.com!
It is the good time to outsource many different work for only a 5 buccks. Check this one