International dynamic marketing capabilities and international performance during the pandemic: a study of export manufacturers from Poland

Abstract

Purpose This paper contributes to studies on the relationship between dynamic capabilities (DCs) and performance by showing how domain-specific DCs – international dynamic marketing capabilities (IDMCs) – affect the international performance of exporting firms in the context of extreme environmental dynamism – during the COVID-19 pandemic. Design/methodology/approach The authors focus on a sample of 277 exporting manufacturers from the post-transition economy of Poland. The authors use hierarchical multiple regression analysis to test this study's hypotheses. Findings This study's findings show that deployment of IDMCs by export manufacturers in the context of environmental jolts contributes to better performance, and this relationship is mediated by adaptation to foreign markets and product development capability. Additionally, this study's results reveal that the significant and positive indirect effect of IDMCs on international performance (through mediators) is, however, weakened under conditions of extreme environmental dynamism. Research limitations/implications The limitations pertain to the cross-sectional nature of this study and the research sample, characterised by the dominance of export manufacturers of final products, the dominance of manufacturers operating in the business-to-business sector, or in the business-to-business and business-to-customer sectors simultaneously. Practical implications The study provides suggestions to managers on how to build resilience in international markets during turbulent times. These activities involve investments in IDMCs that support activities centred around product development and adaptation to foreign markets. Originality/value The novel construct of IDMCs is introduced and operationalized. The study empirically tests the direct and indirect relationship between IDMCs and performance contingent upon extreme environmental dynamism. The results demonstrate the boundary conditions for the effectiveness of these domain-specific DCs in such a research setting.