The Effect of Dynamic Export Capabilities of Khorasan Saffron on Competitive Advantage and Performance with Emphasis on Export Knowledge

Document Type : Research Article

Authors

• A.R. Konjkav Monfared ¹
• M. Hedayati ²
• F. Forghani Elahabadi ³

¹ Faculty of Economics, Management and Accounting, Yazd University, Yazd, Iran

² Master of International Business Management, Yazd University of Science and Art, Yazd, Iran

³ Marketing Administration, Yazd University, Yazd, Iran

https://doi.org/10.22067/jead.2021.17796.0

Abstract

Introduction: In the current dynamic export market environment, understanding the market and its developments and trying to meet customer needs in the face of changing it, is another key factor in strengthening the performance of export firms. Therefore, the proper use of dynamic export capabilities is one of the most widely used strategies for the internationalization of companies. Saffron is one of the strategic products and the most important agricultural product in Iran, which has a special importance in terms of non-oil exports. Iran has the highest potential for saffron exports in the world, but statistics show that the export of Iranian saffron in bulk and lack of saffron processing in the country has caused the low added value of this product. Therefore in spite of having a comparative advantage and even in some cases an absolute advantage for saffron production, because of not paying attention to export capabilities and using its advantages as a competitive advantage in exports, the share of exporters has reduced. Moreover, in this article, we have tried to investigate the effect of dynamic export capabilities of companies active in the field of saffron exports on creating a competitive advantage and improving performance.
Materials and Methods: This research is applied in terms of purpose and descriptive-analytical in nature. In terms of time horizon, it is cross-sectional and in year 2019. The statistical population is the commercial units active in the field of saffron export in Khorasan province. Morgan table has been used to determine the sample size, which according to Morgan table and the number of statistical population, the minimum sample size is equal to 120 managers of business units. The questionnaire was used as a data collection tool. In this study, the conceptual model was tested using the partial least squares method and SPSS and PLS software were used to analyze the data.
Results and Discussion: The findings indicate a significant positive effect of export potential capabilities on competitive advantage directly and indirectly through export knowledge. Competitive advantage also has a significant effect on performance. The findings of this study show managers what components of dynamic export capabilities, export knowledge, competitive advantage and performance should be considered to improve their performance. This study explains to managers the fact that by investing in export dynamic capabilities, not only they do not lose, but they also gain a competitive advantage through improved performance. Given that the ultimate goal of most organizations is to improve the performance and satisfaction of their customers, and dynamic export capabilities, export knowledge, competitive advantage and performance lead to achieving these goals. The results of this research to the company's managers Export saffron exporters in particular and other managers in the country in general will help to take a step towards improving the dynamic export capabilities, and thus increase the competitive advantage of their organization and thus improve the performance of the organization. The findings of this study show managers what components of dynamic export capabilities, export knowledge, competitive advantage and performance should be considered to improve their performance.
Conclusion: Today, growth of export is key for governments to recreate the economy. In almost all developing countries, the issue of export development is at the forefront of government priorities and policies. Saffron is one of the most strategic and important agricultural products in Iran, which is of special importance in terms of non-oil exports. Exports are the most important indicator in the global development of companies, as well as countries. Therefore, export market orientation and competitive advantage are important to increase export performance. So, managers and organizational officials with an emphasis on the relationship between dynamic export capabilities, export knowledge, competitive advantage and performance in export companies active in the field of saffron should be identified by recognizing customer needs to improve dynamic export capabilities. Managers must take steps to improve dynamic export capabilities and create a competitive advantage by identifying customer needs and requirements. In this regard, it is recommended to the active managers of export companies in the field of saffron, along with conducting research and identifying dynamic export capabilities, to strengthen them.

Keywords

• Competitive Advantage
• Export Knowledge
• Export Dynamic Capabilities
• Performance

20.1001.1.20084722.1399.34.4.5.4

Main Subjects

• Marketing and Trade of Agriculture Production

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