Mediated effects of export promotion programs on firm export performance

Purpose – The impact of export promotion programs (EPPs) on firm export performance (FEP) has received little attention in the export literature. This paper attempts to investigate the direct and indirect impact of EPPs on FEP in a comprehensive model. The indirect effects of EPPs on FEP have been conceptualized through a set of firm‐ and management‐related antecedents for empirical testing. Design/methodology/approach – Primary data were collected through mail survey from a sample of 203 exporting firms in three export‐oriented industries in a developing country. Data were analyzed using structural equation modeling (SEM) techniques to test the hypothesized relationships. Findings – Results suggest that in addition to its direct impact on the FEP, the usage of EPPs has direct impact on firm's export knowledge, and managers’ perception that in turn influence commitment to export, export strategy and FEP. Research limitations/implications – Findings provide empirical support to theorize indirect effect of the usage of EPPs on FEP. Findings also provide guidelines for managers how to benefit from EPPs to gain export knowledge toward increasing commitment for successful exporting. Policy makers can also benefit from the study finding in designing policy programs. Readers should use caution in generalizing the findings unless verified in other developed and developing country contexts. Originality value – The theoretical framework developed for the study is original and drawn on the extant literature. The empirical testing of the theoretical model in a developing country context is a significant contribution to fill the much needed gap in the literature toward generalizing similar findings.