When Does International Marketing Standardization Matter to Firm Performance?

Journal of International Marketing, Vol. 17, No. 4, pp. 24-46, 2009

Posted: 7 Mar 2011 Last revised: 28 Nov 2012

See all articles by Oliver Schilke

Oliver Schilke

University of Arizona

Martin Reimann

University of Southern California

Jacquelyn S. Thomas

Southern Methodist University (SMU) - Marketing Department

Date Written: 2009

Abstract

The topic of standardization of international marketing programs is an important one faced by managers of global firms and has attracted significant research attention. Although previous research has established that standardization enhances performance outcomes, more recent theorizing suggests that this may not always be the case. However, empirical investigators have paid little systematic attention to moderating conditions. The major purpose of this article is to investigate the organizational factors that moderate the standardization-performance relationship and, thus, to explore the types of firm for which standardization is particularly beneficial. The authors examine survey data from 489 firms, and their results indicate that the standardization-performance link is significantly stronger for large firms with a homogeneous product offering, high levels of global market penetration, a cost leadership strategy, and strong coordination capabilities. The authors conclude that managers evaluating the adequacy of a standardization strategy should consider the list of contingencies advanced in this research.

Keywords: Marketing Strategy, Standardization, Performance, Structural Equation Modeling

Suggested Citation

Schilke, Oliver and Reimann, Martin and Thomas, Jacquelyn S., When Does International Marketing Standardization Matter to Firm Performance? (2009). Journal of International Marketing, Vol. 17, No. 4, pp. 24-46, 2009. Available at SSRN: https://ssrn.com/abstract=1774165

Oliver Schilke

University of Arizona ( email )

1130 E. Helen St.
McClelland Hall
Tucson, AZ 85721
United States

Martin Reimann (Contact Author)

University of Southern California ( email )

2250 Alcazar Street
Los Angeles, CA 90089
United States

Jacquelyn S. Thomas

Southern Methodist University (SMU) - Marketing Department ( email )

United States

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