Exploring the exporting-downsizing link: Does the type of export strategy and firm efficiency in foreign markets matter?

This study explores the relationship between exporting strategies, firm efficiency, and downsizing. Drawing on the resource-based view, we first test whether there is a link between export intensity and the propensity of a firm to downsize. Next, we examine the impact of direct/indirect exporting st...

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Detalles Bibliográficos
Autores: Campos García, Irene, Muñoz-Bullón, Fernando, Sanchez-Bueno, María José, Zúñiga-Vicente, José Ángel
Tipo de recurso: artículo
Fecha de publicación:2020
País:España
Institución:Universidad Rey Juan Carlos
Repositorio:BURJC-Digital. Repositorio Institucional de la Universidad Rey Juan Carlos
OAI Identifier:oai:burjcdigital.urjc.es:10115/27007
Acceso en línea:https://hdl.handle.net/10115/27007
Access Level:acceso abierto
Palabra clave:Downsizing
Internationalization
Exporting
Direct and indirect export strategy
Firm efficiency
Descripción
Sumario:This study explores the relationship between exporting strategies, firm efficiency, and downsizing. Drawing on the resource-based view, we first test whether there is a link between export intensity and the propensity of a firm to downsize. Next, we examine the impact of direct/indirect exporting strategies as well as the interactive effects of efficiency and each exporting strategy on the propensity to downsize. We use a sample of Spanish manufacturing firms between 1993 and 2016. Our findings reveal a negative effect of a firm’s level of involvement in foreign markets via exports on the propensity to downsize. Our results also show that the propensity to downsize is lower in firms using a direct export strategy and in more efficient firms opting for this strategy. However, no support for a significant association between the propensity to downsize and the use of an indirect export strategy and efficiency is observed.