Advances in Management and Applied Economics

Determining the Effect of Export Market Orientation on Export Performance of Small and Medium Enterprises in Malaysia: An Exploratory Study

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  • Abstract

    The objective of this research is to determine if there is significant relationship between export market orientation (EMO) and export performance of small and medium enterprises (SMEs) in Malaysia. Quantitative survey method was employed and data were collected from 201 exporting SMEs registered with the Federation of Malaysian Manufacturers. Regression analysis was used to test the relationship between export performance as a dependent variable and export market orientation as an independent variable. The result shows that significant positive relationship exists between EMO and export performance of SMEs. The finding emphasizes the importance of developing EMO among the owner/managers of SMEs for their success. Those owner/managers that adopt EMO activities in their firms would gain in terms of competitive advantage over their rivals and reap higher export performance. SME owner/managers could also anticipate future threats and seek out opportunities for further expansions in the international markets. The study limitations and implications are discussed as well as a number of directions for further research.