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The Effects of Localisation Decisions on New Product Superiority and Performance: Empirical Research on Consumer-Goods Subsidiaries

ASEAN Marketing Journal

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Title The Effects of Localisation Decisions on New Product Superiority and Performance: Empirical Research on Consumer-Goods Subsidiaries
 
Creator Firmanzah Firmanzah; Graduate School of Management, Faculty of Economics, University of Indonesia
 
Description New products, while essential, are risky and expensive for subsidiaries. The main objective of this research is to determine success factors for new product launch (NPL) by subsidiaries operating in developing countries. It is argued that localisation of NPL decisions contributes positively to new product superiority and commercial performance, with partial least squares used to test the hypothesis. The results show that localisation of innovation decisions increases localisation of branding and commercialisation decisions in the local market. However, localisation of commercialisation decisions positively influences new product superiority, while localisation of innovation decisions reduces this superiority. Finally, hypothesis testing reveals that localisation of commercial decisions and new product superiority both increase the commercial performance of new products in the local market.Keywords: : Subsidiary, localisation, new product, new product superiority, commercial performance
 
Publisher Management Research Center, Department of Management, Faculty of Economics and Business, U
 
Contributor
 
Date 2013-10-10
 
Type Peer-reviewed Article
 
Format application/pdf
 
Identifier http://journal.ui.ac.id/index.php/amj/article/view/1980
 
Source ASEAN Marketing Journal; Vol 1, No 1 (2009): June 2009
 
Language en