Examining the Impact of Product Innovation and Pricing Capability on the International Performance of Exporting Companies with the Mediating Role of Competitive Advantage for Analysis and decision making

Abstract

In the present-day, within the highly competitive and ever-evolving global market landscape, exporting companies are presented with numerous opportunities to enhance their performance relative to their rivals by introducing innovative products and implementing appropriate pricing strategies. Within this context, product innovation and pricing proficiency stand out as pivotal factors exerting significant influence on the international performance of exporting enterprises. Consequently, the primary aim of this research endeavor was to explore the repercussions of product innovation and pricing competency on the international performance of exporting firms, considering the mediating role played by competitive advantage the research sample encompassed a statistical population comprising 51 exporting companies. The participants in this study included CEOs, as well as financial and marketing managers, and sales experts from these organizations. Employing Morgan's table and taking into account the total pool of exporting firms in the study, a sample size of 36 companies was selected, and a total of 108 questionnaires were gathered. The principal data collection instrument employed was a questionnaire. Rigorous measures were taken to validate the content of the questionnaire through expert assessments, and its structural validity was confirmed via factor analysis. Moreover, the reliability of the questionnaire's variables was verified using Cronbach's alpha coefficient. The data analysis phase entailed the application of correlation and linear regression methods, employing SPSS 26 software. The outcomes of the analysis demonstrated that both product innovation and pricing capability wield a positive and substantial influence on the competitive advantage enjoyed by exporting firms, as well as on their overall international performance. Furthermore, the findings indicated that, when considering the mediating role of competitive advantage, product innovation and pricing capability do not significantly impact the performance of exporting companies.