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Adaptation and performance in foreign markets: evidence of systematic under-adaptation

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Abstract

Past empirical studies have yielded ‘no consistent relationship between strategy adaptation and firm performance’. These inconclusive results may be partially due to a bias amongt managers to under-adapt their host market strategies. This paper presents the results of the second stage of a longitudinal study identifying a potential status quo bias among exporters, leading to systematic under-adaptation.

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Acknowledgements

I thank JIBS Departmental Editor, Professor J. Myles Shaver and the two anonymous JIBS reviewers for their comments, insights and suggestions.

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Authors and Affiliations

  1. Melbourne Business School, The University of Melbourne, Carlton, Victoria, Australia

    Douglas Dow

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Correspondence to Douglas Dow.

Additional information

Accepted by J Myles Shaver, Departmental Editor, 24 October 2003. This paper has been with the author for two revisions.

Appendices

Appendix A. Export performance questionnaire scales

illustration

figure a

Appendix B. Equivalence of coefficients between regression Eq. (1) and (2)

Given Eq. (1):

then:

This can then be compared with a classic second-order regression equation (Eq. (2)):

Thus,

In addition,

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Dow, D. Adaptation and performance in foreign markets: evidence of systematic under-adaptation. J Int Bus Stud 37, 212–226 (2006). https://doi.org/10.1057/palgrave.jibs.8400189

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  • DOI: https://doi.org/10.1057/palgrave.jibs.8400189

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