The Roles of Knowledge Generated from the International trade Show Participation on SMEs’ Market Selection
Article Sidebar
Published:
May 15, 2019
Keywords:
1. International trade shows, 2. Internationalization, 3. Network, 4. Market selection, 5. Small and medium enterprises
Main Article Content
Abstract
Over the last decade, much research has studied the importance of trade shows in MNEs especially in developed countries. International trade show is considered as a foreign marketing activity in order to gain relevant knowledge on international markets. Despite the critical roles in promoting products and service, international trade show has received little attention in the SMEs’ context. Indeed, SMEs’ international activities and their internationalization process have become one of the most significant international business areas of study in emerging economies. Thus, this study focuses on the roles of knowledge acquired from participating in international trade shows of SMEs. The paper also aims to indicate the influences resulted from different types of knowledge on SMEs international market selection methods, which are expansive and contractible approaches. Based on literature, there are five types of knowledges which are market, product, cultural, competitor, and technological knowledge involving with SMEs’ international market selection. Qualitative interview with a sample of twenty two SMEs was conducted to collect the data. The findings demonstrate that three types of knowledge, which are market, product, and cultural knowledge, play critical roles in SMEs’ international market selection particularly expansive approach. In addition, the findings illustrate that market, product, and competitor knowledge are considered as significant types of knowledge for contractible approach. Two internationalization theories, Uppsala and Resource Based View are used to discuss the findings.
Article Details
Section
Humanities, Social Sciences, and Arts
References
References
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Belussi F., Sedita, S. R., & Omizzolo, M. (2008). The trade fair as a temporary cluster: a relational platform and knowledge filter for firms. First results of an exploratory study. 4th International Conference of the Academy of Wine Business Research, 21.
Cancino, C. A., & Coronado, F. C. (2014). Exploring the determinants of born-global firms in Chile. Academia Revista Latinoamericana de Administracion, 27(3), 386-401.
Chelliah, S., Yusliza, M., & Sulaiman, M. (2010). Internationalization and Performance: Small and Medium Enterprises (SMEs) in Malaysia. International Journal of Business and Management, 5(6), 27-37.
Dunning, J. H. (1988). The eclectic paradigm of international production: A restatement and some possible extensions. Journal of International Business Studies, 19(1), 1-31.
Evers N., & Knight., J. (2008). Role of international trade shows in small firm internationalization: a network perspecitve. International Marketing REview, 25(5), 544-562.
Gagnon, S. (1999). Resource‐based competition and the new operations strategy. International Journal of Operations & Production Management, 19(2), 125-138.
Golttieb U., Brown M., & Ferrier, L. (2014). Consumer perceptions of trade show effectiveness. Eoropean Journal of Marketing, 48(1/2), 89-107.
Gopalakrishna, S., & Williams, J. (1992). Planning and performance assessment of industrial trade shows: An exploratory study. International Journal of Research in Marketing, 9(3), 207-224.
Gorecka D. and Szalucka M. (2013). Country market selection in international expansion using multicriteria decision aiding methods. Multiple criteria decision making, Vol. 8., pp.31-55
Hashim F. (2012). Challenges for the internationalization of SMEs and the role of government: the case of Malaysia. Journal of International Business and Economy, Vol. 13(1), pp. 97-122
Johanson, J., & Vahlne, J. (1977). The internationalization process of the firm-Amodel of knowledge development and increasing foreign market commitments. Journal of International Business Studies, 8(1), 23-32.
Johansoon, J.K. (1997). Global marketing, foreign entry, local marketing and global management, McGraw-Hill, Chicago, IL.
Jonsson A. and Elg U. (2006). Knowledge and knowledge sharing in retail internationalization: IKEA’s entry into Russia. International Rev. of Retail, Distribution and Consumer Research. Vol. 16, No.2, pp. 239-256
Kaffash, M. H., Haghighikhah, M., & Kordlouie, H. (2012). Identifying factors influencing entry mode selection in food industry of small and medium sized entreprises (SMEs) in Iran. International Journal of Marketing Studies, 4(5), 47-55.
Karabulut, A. T. (2014). Effects of tradeshow participation on expansion of Turkish companies into ALgerian market. International Business Research, 7(12), 53-66.
Ling-yee, L. (2008). The effects of firm resources on trade show performance: how do trade show marketing processes matter? Journal of Business & Industrial Marketing, 23(1), 35-47.
Marchi, G., Vignola, M., Facchinetti, G., & Giovanni, M. (2014). International market selection for small firms: A fuzzy-based decision process. European Journal of Marketing, 48(11/12), 2198-2212.
Mejri, K., & Umemoto, K. (2010). Small and medium sized enterprise internationalization: towards the knowledge based model. joutnal of International Entrepreneurship, 8(2), 156-167.
Menon S., & Edward, M. (2013). A study of exhibitor firms at a tourism trade show. International Journal of Marketing & Business Communication, 2(2), 65-73.
Papadopoulos, N., & Martin, O. (2011). International market selection and segmentation: perspecitves and challenges. International Marketing Review, 28(2), 2011.
Reychav, I. (2009). Knowledge sharing in a trade show: A learning spiral model. VINE, 39(2), 143-158.
Rice, G., & Almossawi, W. (2002). A study of exhibitor firms at an Arabian Gulf trade shows: goals, selection criteria and percieved problems. The Journal of Global Marketing, 15(3).
Rice G., & Almossawi, M. (2002). A study of exhibitor firms at an Arabian Gulf trade show: goals, selection criteria and percieved problems. Journal of global marketing, 15 (3/4), 149-172.
Rinallo D. and Golfetto F., (2011). Exploring the knowledge strategies of temporary cluster organizers: A longitudinal study of the EU fabric industry trade shows (1986-2006), Economic Geography 87(4) pp. 453-476
Root, F.R. (1994), Entry strategies for the international markets, Lexington Books, San Francisco, CA
Rosson, P. and Seringhaus, F.H.R. (1995). Visitor and exhibitor interaction at industrial trade shows.
Journal of business research, Vol. 32, pp. 81-90
Rowden R. (2001). Research Note: How a small business enters the international market.
Thunderbird International Business Review, Vol. 43(2) pp. 257-268
Rugman, A. M., Verbeke, A., & Nguyen, Q. T. K. (2011). Fifty years of international business theory and beyond. Management International Review, 51, 755-786.
Rundh, B. (2001). International marketing development: new patterns in SMEs international market behavior? Marketing Intelligence & Planning, 19(5), 319-329.
Sakarya, S., Eckman, M., & Hyllegard, K. H. (2007). Market selection for international expansion. Assessing opportunities in emerging markets. International Marketing REview, 24(2), 208-238.
Seringhaus F.H. R., & Rosson, P. J. (2004). An analysis model for performance measurement of international trade fair exhibitors. Problems and Perspectives in Management, 4, 152-165.
Soberg, P. V. (2012). Activity specific knowledge characteristics in the internationalization process. Journal of Management, 7(3), 251-267.
Spence, M., & Crick, D. (2004). Acquiring relevant knowledge for foreign market entry: the role of overseas trade missions. Strategic Change, 13, 283-292.
Tafesse W., & Korneliussen, T. (2011). The dimensionality of trade show performance in an emerging market. International Journal of Emerging Markets, 6(1), 38-49.
Wernerfelt, B. (1984). A resource-based view of the firm. Strategic Management Journal, 5, 171-180.
Xinming He, Zhibin Lin, & Wei, Y. (2016). International market selection and export performance; a transaction cost analysis. European Journal of Marketing, 50(5/6), 916-941.
Zhou, L. (2007). The effects of entrepreneurial proclivity and foreign market knowledge on early internationalization. Journal of World Business, 42, 281-293.
Alpha, A., & Vincent, S. (2015). Factors determining firms’ strategy of internationalization: A case study on Poland. International Journal of Business and Management Review, 3(5), 1-16.
Belussi F., Sedita, S. R., & Omizzolo, M. (2008). The trade fair as a temporary cluster: a relational platform and knowledge filter for firms. First results of an exploratory study. 4th International Conference of the Academy of Wine Business Research, 21.
Cancino, C. A., & Coronado, F. C. (2014). Exploring the determinants of born-global firms in Chile. Academia Revista Latinoamericana de Administracion, 27(3), 386-401.
Chelliah, S., Yusliza, M., & Sulaiman, M. (2010). Internationalization and Performance: Small and Medium Enterprises (SMEs) in Malaysia. International Journal of Business and Management, 5(6), 27-37.
Dunning, J. H. (1988). The eclectic paradigm of international production: A restatement and some possible extensions. Journal of International Business Studies, 19(1), 1-31.
Evers N., & Knight., J. (2008). Role of international trade shows in small firm internationalization: a network perspecitve. International Marketing REview, 25(5), 544-562.
Gagnon, S. (1999). Resource‐based competition and the new operations strategy. International Journal of Operations & Production Management, 19(2), 125-138.
Golttieb U., Brown M., & Ferrier, L. (2014). Consumer perceptions of trade show effectiveness. Eoropean Journal of Marketing, 48(1/2), 89-107.
Gopalakrishna, S., & Williams, J. (1992). Planning and performance assessment of industrial trade shows: An exploratory study. International Journal of Research in Marketing, 9(3), 207-224.
Gorecka D. and Szalucka M. (2013). Country market selection in international expansion using multicriteria decision aiding methods. Multiple criteria decision making, Vol. 8., pp.31-55
Hashim F. (2012). Challenges for the internationalization of SMEs and the role of government: the case of Malaysia. Journal of International Business and Economy, Vol. 13(1), pp. 97-122
Johanson, J., & Vahlne, J. (1977). The internationalization process of the firm-Amodel of knowledge development and increasing foreign market commitments. Journal of International Business Studies, 8(1), 23-32.
Johansoon, J.K. (1997). Global marketing, foreign entry, local marketing and global management, McGraw-Hill, Chicago, IL.
Jonsson A. and Elg U. (2006). Knowledge and knowledge sharing in retail internationalization: IKEA’s entry into Russia. International Rev. of Retail, Distribution and Consumer Research. Vol. 16, No.2, pp. 239-256
Kaffash, M. H., Haghighikhah, M., & Kordlouie, H. (2012). Identifying factors influencing entry mode selection in food industry of small and medium sized entreprises (SMEs) in Iran. International Journal of Marketing Studies, 4(5), 47-55.
Karabulut, A. T. (2014). Effects of tradeshow participation on expansion of Turkish companies into ALgerian market. International Business Research, 7(12), 53-66.
Ling-yee, L. (2008). The effects of firm resources on trade show performance: how do trade show marketing processes matter? Journal of Business & Industrial Marketing, 23(1), 35-47.
Marchi, G., Vignola, M., Facchinetti, G., & Giovanni, M. (2014). International market selection for small firms: A fuzzy-based decision process. European Journal of Marketing, 48(11/12), 2198-2212.
Mejri, K., & Umemoto, K. (2010). Small and medium sized enterprise internationalization: towards the knowledge based model. joutnal of International Entrepreneurship, 8(2), 156-167.
Menon S., & Edward, M. (2013). A study of exhibitor firms at a tourism trade show. International Journal of Marketing & Business Communication, 2(2), 65-73.
Papadopoulos, N., & Martin, O. (2011). International market selection and segmentation: perspecitves and challenges. International Marketing Review, 28(2), 2011.
Reychav, I. (2009). Knowledge sharing in a trade show: A learning spiral model. VINE, 39(2), 143-158.
Rice, G., & Almossawi, W. (2002). A study of exhibitor firms at an Arabian Gulf trade shows: goals, selection criteria and percieved problems. The Journal of Global Marketing, 15(3).
Rice G., & Almossawi, M. (2002). A study of exhibitor firms at an Arabian Gulf trade show: goals, selection criteria and percieved problems. Journal of global marketing, 15 (3/4), 149-172.
Rinallo D. and Golfetto F., (2011). Exploring the knowledge strategies of temporary cluster organizers: A longitudinal study of the EU fabric industry trade shows (1986-2006), Economic Geography 87(4) pp. 453-476
Root, F.R. (1994), Entry strategies for the international markets, Lexington Books, San Francisco, CA
Rosson, P. and Seringhaus, F.H.R. (1995). Visitor and exhibitor interaction at industrial trade shows.
Journal of business research, Vol. 32, pp. 81-90
Rowden R. (2001). Research Note: How a small business enters the international market.
Thunderbird International Business Review, Vol. 43(2) pp. 257-268
Rugman, A. M., Verbeke, A., & Nguyen, Q. T. K. (2011). Fifty years of international business theory and beyond. Management International Review, 51, 755-786.
Rundh, B. (2001). International marketing development: new patterns in SMEs international market behavior? Marketing Intelligence & Planning, 19(5), 319-329.
Sakarya, S., Eckman, M., & Hyllegard, K. H. (2007). Market selection for international expansion. Assessing opportunities in emerging markets. International Marketing REview, 24(2), 208-238.
Seringhaus F.H. R., & Rosson, P. J. (2004). An analysis model for performance measurement of international trade fair exhibitors. Problems and Perspectives in Management, 4, 152-165.
Soberg, P. V. (2012). Activity specific knowledge characteristics in the internationalization process. Journal of Management, 7(3), 251-267.
Spence, M., & Crick, D. (2004). Acquiring relevant knowledge for foreign market entry: the role of overseas trade missions. Strategic Change, 13, 283-292.
Tafesse W., & Korneliussen, T. (2011). The dimensionality of trade show performance in an emerging market. International Journal of Emerging Markets, 6(1), 38-49.
Wernerfelt, B. (1984). A resource-based view of the firm. Strategic Management Journal, 5, 171-180.
Xinming He, Zhibin Lin, & Wei, Y. (2016). International market selection and export performance; a transaction cost analysis. European Journal of Marketing, 50(5/6), 916-941.
Zhou, L. (2007). The effects of entrepreneurial proclivity and foreign market knowledge on early internationalization. Journal of World Business, 42, 281-293.