The Role of Dynamic Capabilities in Export Performance of Firms from Emerging Economies

Increased globalisation has led to a great number of firms looking for opportunities abroad, and exporting is themost common form of entry mechanism. The purpose of this study is thus to investigate the impact of dynamiccapabilities on the performance of Thai exporting firms. The study follows quantitative research design usingsurvey method with statistical treatment. Given the extant definitions of dynamic capabilities, contextualambidexterity, an ability of the organization to pursue alignment and adaptation simultaneously, was proposed asdynamic capability in this study. Structured questionnaires were collected from key informants of Thai firmsengaging in exporting (n = 102). Bivariate regression analysis was employed to test the hypothesis, whilst clusteranalysis and one-way analysis of variance were used to explore the results. The findings indicate that dynamiccapability of contextual ambidexterity significantly affected the level of export performance of the participatingfirms. By clustering all participating firms according to their level of alignment and adaptation, ‘highlyambidextrous’ firms (i.e., high scores on both alignment and adaptation) outperformed the firms in the othercombinations. The study offers practical suggestions on how exporting firms can improve profitability andperformance by pursuing the proper combinations of alignment and adaptability corresponding to the dynamismof their export markets. The main contribution of this paper is the examination of performance impact ofdynamic capability in exporting context which should contribute to the future development of this line ofresearch,particularly in emerging economies.