Dynamic capabilities of resource-poor exporters: A study of SMEs in New Zealand

Abstract

Based on 50 case studies of SME exporters from New Zealand, we develop a model on export performance for firms with a low resource base. We find that export-related product/service capabilities, partner-related capabilities, and process-related capabilities can substitute for a lack of resources. Concrete second-order competences which enable a firm to create export capabilities are identified, including the abilities to create core competencies, to adapt product and services, to recognize opportunities, to build and maintain network ties, to obtain market knowledge, to develop internationalization knowledge, and to innovate processes. Our study further highlights the key role that SME top managers play for an the firm’s export performance through facilitating the development of export-related dynamic capabilities as well as through their own personal commitment to export.

Keywords:

• dynamic capabilities
• export performance
• SME
• New Zealand