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Global mindset – a cognitive driver of small and medium‐sized enterprise internationalization The case of Croatian exporters

Global mindset – a cognitive driver of small and medium‐sized enterprise internationalization The... Purpose – Global mindset has gained the respectable attention of international business scholars. Global mindset is a multidisciplinary concept comprised of cognitive and cultural dimensions which both influence the international behavior and decision making of the firm. The key purpose of this paper is to demonstrate that global mindset is a crucial cognitive driver of the small and medium‐sized enterprise (SME) internationalization process. In order to do so, it aims to establish the link between global mindset and export performance outcomes. Design/methodology/approach – Using a literature review, the conceptual model was developed. Data were obtained through survey questionnaire and analyzed using partial least squares (PLS) path modeling on the sample of 121 exporting SMEs in Croatia. Findings – Findings of this study suggest that global mindset is positively, directly and significantly related to the export performance. Furthermore, the link between global mindset and export performance was assessed with the moderating effect of international experience (export diversity and export intensity) and findings reveal that there is no significant moderating effect present. Research limitations/implications – Findings of this study suggest that global mindset is a crucial driver of the SME internationalization process as it exhibited a significant impact on the export performance outcomes. However, the focus of this paper was solely on the strategic (cognitive) dimension of global mindset. Future studies are yet to reveal the relevance of the integrated concept of global mindset. Originality/value – The value‐added of this study is in the idea that market‐specific experience cannot be easily transferred to other foreign markets by utilizing global mindset. The moderating effect of international experience dimensions on relationship between global mindset and export performance was found to be insignificant. Eventually, findings suggest that global mindset is not related to the SME's international experience. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png EuroMed Journal of Business Emerald Publishing

Global mindset – a cognitive driver of small and medium‐sized enterprise internationalization The case of Croatian exporters

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Publisher
Emerald Publishing
Copyright
Copyright © 2012 Emerald Group Publishing Limited. All rights reserved.
ISSN
1450-2194
DOI
10.1108/14502191211245589
Publisher site
See Article on Publisher Site

Abstract

Purpose – Global mindset has gained the respectable attention of international business scholars. Global mindset is a multidisciplinary concept comprised of cognitive and cultural dimensions which both influence the international behavior and decision making of the firm. The key purpose of this paper is to demonstrate that global mindset is a crucial cognitive driver of the small and medium‐sized enterprise (SME) internationalization process. In order to do so, it aims to establish the link between global mindset and export performance outcomes. Design/methodology/approach – Using a literature review, the conceptual model was developed. Data were obtained through survey questionnaire and analyzed using partial least squares (PLS) path modeling on the sample of 121 exporting SMEs in Croatia. Findings – Findings of this study suggest that global mindset is positively, directly and significantly related to the export performance. Furthermore, the link between global mindset and export performance was assessed with the moderating effect of international experience (export diversity and export intensity) and findings reveal that there is no significant moderating effect present. Research limitations/implications – Findings of this study suggest that global mindset is a crucial driver of the SME internationalization process as it exhibited a significant impact on the export performance outcomes. However, the focus of this paper was solely on the strategic (cognitive) dimension of global mindset. Future studies are yet to reveal the relevance of the integrated concept of global mindset. Originality/value – The value‐added of this study is in the idea that market‐specific experience cannot be easily transferred to other foreign markets by utilizing global mindset. The moderating effect of international experience dimensions on relationship between global mindset and export performance was found to be insignificant. Eventually, findings suggest that global mindset is not related to the SME's international experience.

Journal

EuroMed Journal of BusinessEmerald Publishing

Published: Jul 13, 2012

Keywords: Global mindset; Small to medium‐sized enterprises; Small to medium‐sized enterprise internationalization; Small to medium‐sized enterprise export performance; International experience; Small to medium‐sized enterprise exporters; International business; Croatia

References