Interactive Effects of entrepreneurial and Learning Orientation on Firms’ Performance: Evidence from Malaysian Exporters

Abstract

Building on the resource-based view (RBV), this paper articulates an integrative approach to explicate the interactive effects of two strategic orientations, i.e. entrepreneurial orientation (EO) and learning orientation (LO), to offer nuanced explanations of firms’ export performance from a developing country perspective. Adopting a quantitative approach, the proposed relationships are explored via partial least squares structural equation modelling (PLS-SEM) in a sample of 69 exporters from the state of Sabah in Malaysia. The results indicate that EO has a significant positive effect on the firms’ export performance. Further, the results reveal that the positive association of EO on export performance is enhanced when moderated by a high level of LO. The data was collected using a single key informant, i.e. exporter from a single country, Malaysia; therefore, some limitations might present in terms of generalisability and response bias. The findings contribute to the extant literature on the relationship between strategic orientations and internationalisation. Notably, the study articulates an integrative approach to explain the EO’s interaction effects with LO, creating a synergistic and complementary effect on export performance. It further elucidates the need to embrace an integrative approach in understanding exporters from a developing economy context. Practical implications of this study to managers and policymakers are discussed.