Title: The role of exploitative and exploratory innovation in export performance: an analysis of plastics industry SMEs

Authors: Cláudia P. Ribau; António C. Moreira; Mário Raposo

Addresses: University of Aveiro, Campus Universitário de Santiago, 3810-193 Aveiro, Portugal ' University of Aveiro, Campus Universitário de Santiago, 3810-193 Aveiro, Portugal ' Management and Economics Department, University of Beira Interior, Estrada do Sineiro, s/n, 6200-209 Covilhã, Portugal

Abstract: Innovation capabilities are important for firms to compete in the market. However, the literature has rarely examined how exploitative and exploratory innovation influences the export performance of small and medium-sized firms (SMEs). As exploitative and exploratory innovation plays different roles in sustaining SMEs' competitive advantages, this article presents an analysis of how four specific firms' innovation capabilities (i.e. marketing, strategy, research and development and manufacturing capabilities) impact these SMEs' export performance. Moreover, this study analysed how exploitative and exploratory innovation capabilities mediate the relationship of the four firms' internal innovation capabilities and export performance. The results indicate that exploitative innovation positively influences SMEs' export performance, but exploratory innovation does not. Another interesting finding is that strategy and manufacturing capabilities are important antecedents of both exploratory and exploitative innovation. Furthermore, the results reveal that only manufacturing capabilities have a direct impact on export performance, whereas strategy and manufacturing capabilities are the antecedents that most influence exploitative innovation and export performance.

Keywords: SMEs; export performance; innovation capabilities; exploratory innovation; exploitative innovation.

DOI: 10.1504/EJIM.2019.098149

European Journal of International Management, 2019 Vol.13 No.2, pp.224 - 246

Received: 18 Oct 2016
Accepted: 08 Jun 2017
Published online: 05 Mar 2019 *

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