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1 Investigating Effective Factors on Export Performance of Ceramic Tiles Companies Shahram Gilaninia 1, Seyed Mahmoud Shabgoo Monsef 2, Ladan Mosaddegh 3* 1 Department of Industrial Management, Rasht Branch, Islamic Azad University, Rasht, Iran 2 Department of Business Management, Rasht Branch, Islamic Azad University, Rasht, Iran 3* M.A. Student of Business Management, Rasht Branch, Islamic Azad University, Rasht, Iran (corresponding Author) Abstract The main objective of this study was to investigate effective factors on export performance of exporting companies of ceramic tiles industry in Iran. This study in terms of purpose is applied research methods and in term of doing research is descriptive analytical. Statistical population consisted of all export companies of members of ceramic tile manufacturers association in Iran that the number of these companies is 75. Considering the statistical population size is limited and certain thus is used Morgan table to determine the sample size. To collect data used standard questionnaire in this study. Collected data by using SPSS software in the two parts of descriptive and inferential statistical have been analyzed. The results of multiple regression showed that variables of export commitment, customer orientation and technology orientation has effect on performance of export companies of ceramic tile in Iran. Keywords: Export Performance, Customer Orientation, Export Commitment 1. Introduction Expanding trade, globalization and the internationalization of products and services companies has increased the importance of international commercial relations. International commercial relations include various dimensions that effect of company in the international market particularly affected the export market. According to complex market conditions and constant change and continuous, quick information acquisition of commercial is often key success in international markets. However companies that is active in international markets and unknown environmental exports encountered with greater environmental uncertainty. Under turbulent conditions, the more likely that product does not be proportional to customers 'needs and competitors' products and thus reduced the effectiveness of the company. So in a more turbulent environment of exports, exporters are required to lots of information as a tool that increase their recognition to changing conditions of export. Market orientation leads that companies focus on continuously collecting information about the needs of target customers and ability of competitors and apply this information toward creating superior value for customers (Doaei & Hosseini, 2010). Development, survival and growth of the company are related to a better understanding of determining factors in the export performance in many countries. Over the past four decades, many studies have been conducted in relation with one or more determining factors in export performance. However, most of them have accepted a view of the internal (managerial or organizational factors) or an internal approach (environmental factors), however, only few of these studies are examined both of these factors simultaneously (Navarro et al, 2010). Growth rate of world exports requires accepting responsibility real and effective of resource and designing and planning of international marketing strategies successfully that it possible for companies for companies and institutions to create commercial supply, to communicate and to exchange that this has good value and more to customers, buyers, traders, etc. this process according to its competitive advantages may be realized in foreign markets that this has a positive impact on export performance of current and future. But in the field of international marketing, acquiring extensive knowledge about the determination of competitive situation on foreign markets and their influence on firm export performance is very difficult. Following pattern of export development, boosting its current earnings has advantages such as exchange of technology for national economic, growth of foreign exchange earnings and accordingly import growth and utilizing the technical knowledge of the world, raising living standards for the welfare of the people, stimulate investment, create new employment opportunities, improve the quality of products and ultimately sustainable economic growth. So by changing economic development policy from import substitution that is consider in two last decade in Iran and serve all of the executive decision-making institutions (both public and private) can be provided potential field for development of export. 2. Statement of Problem Today, the export development is as an accepted principle in the field of foreign trade and as effective factors in economic development in developing planning and policies (Farhangi & Lotfi, 2009). In today's world any country does not live in complete separation from other countries and every country starting to international trade applies production factors in the production that have more efficient and would exchange them with products other countries. Even those companies that decide to work exclusively in their domestic market are faced with the challenges of international competition. In this situation, imports are the basic strategy to ensure the growth and survival of companies (Gilaninia and Shadi Dizaji, 2011). Many researchers have stated that exports increase employment levels, foreign exchange earnings, industrial development and COPY RIGHT 2013 Institute of Interdisciplinary Business Research 935

2 national welfare and also improve companies' performance, profit, sales volume and market share (Haluk Koksal, 2008). Thus, with spread of globalization and economic integration among countries, exports have been suggested as a key international strategy for companies and national economies (Haluk Koksa and Ozgul, 2009). Ceramic tile industry is one of export industries in Iran. Manufacture of ceramics began as a commercial industry in a small productive units since half a century ago and began to follow gradually development way. Industry ceramic tiles are one of the most important construction industries worldwide that annual trade value exceeds from forty billion dollars in the world. In Iran, Ceramic tile industry, including the export industries are faced with declining is and need to strengthen. Thus in present research investigate effective factors (such as export commitment, technology orientation, customer orientation) to improve export performance of exporting ceramic tile companies in Iran. Manufacturing and exporting ceramic tiles are used in a number of cities in Iran and according to statistics of the association of ceramic tile manufacturers, exporters members are 75 companies and thus population of this research is 75 companies. Therefore main problem of this study is: What factors is effective on performance of companies in exporting ceramic tiles industry? According to presented contents research model is presented as follows: Export commitment Technology orientation Export performance Customer orientation Figure 1) Conceptual model of research (Olsson and Solberg, 2009) According to the model, the research hypothesis can be stated as follows: H1: Export commitment has impact on export performance in exporting ceramic tiles industry. H2: Technology orientation has impact on export performance in exporting ceramic tiles industry. H2: Customer orientation has impact on export performance in exporting ceramic tiles industry. Export: Export is simplest and most traditional entry way to international markets and selling goods and services to national boundaries. Random exporter is company that just a positive response to received orders, but active exporter is company that planning and tries to order (Farhangi & Lotfi, 2009). Export process is done in two ways: Direct export: Sellers who are encouraged to export by buyer, they usually choose to export directly. In addition, sellers who have increased their exports so that can be managed costs of export organization, also use this method. In this method, although investment and risky is more, but it is also more profitable. Indirect export: it is common among companies that export newly. In this type of export, first it is needed to less capital and secondly exporters have less risk (Armestrang & Kotler, 2005). Export commitment: Management support in exports is known as a key factor influencing the export commitment. In many studies, there is some evidence of a positive relationship between management commitment and export performance. Generally, in companies with further commitment in export activities exist most likely to show interest in acquiring more knowledge (Zhou et al, 2010). Export commitment or export-oriented proposed as commitment of deployed resources for export activities and one key factor that led to the export performance (Olsson and Solberg, 2009). Technology orientation: Oriented technology (technology orientation) may be defined as the level that companies emphasize on product development by using technologies. Industry information and communications technology lives in the course with super-fast speed of innovation that product life cycle is even shorter than previously. Thus successful exporters make management with features of technology-oriented in systems (Olsson and Solberg, 2009). Customer orientation: In definition of Narver & Slater, customer orientation has been raised as an integral part of marketingoriented constructs and reflects the company's ability to understand and meet customer demand. Hubert & Zerb (1997), customer orientation defined as the ability to identify, analyze, understand and meet customer needs. Deshpande et al (1993) customer orientation is the set of beliefs that the interests of the client is in priority (Olsson and Solberg, 2009). COPY RIGHT 2013 Institute of Interdisciplinary Business Research 936

3 3. Research Methodology The main objective of this study was to investigate effective factors on export performance of exporting companies of tile and ceramic industry in Iran. This study in terms of purpose is applied research methods and in term of doing research is descriptive analytical. Statistical population consisted of all export companies of members of ceramic tile manufacturers association in Iran that the number of these companies is 75. Considering the statistical population size is limited and certain thus is used Morgan table to determine the sample size. To collect data used standard questionnaire in this study. Reliability of questionnaire with Cronbach's alpha coefficient by using SPSS software was calculated 98/4. Collected data by using SPSS software in the two parts of descriptive and inferential statistical have been analyzed. 4. Data Analysis Table1) summary of regression test Hypotheses R Beta Sig Result Export commitment has impact on export performance in exporting Confirmed ceramic tiles industry Technology orientation has impact on export performance in Confirmed exporting ceramic tiles industry Customer orientation has impact on export performance in exporting ceramic tiles industry Confirmed First hypothesis: Export commitment has impact on export performance in exporting ceramic tiles industry. is confirmed with the 95% confidence. Results of multivariate regression analysis showed that variable of export commitment have direct impact on performance of ceramic tile export. The standardized beta coefficient for this variable is 0/377 it means according to the obtained sig less than the intended level Alpha can be said that variable of export commitment can explain 37/7 percent from a dependent variable of export performance. The results of this research are consistent with research of Bijani (2012) that is done in Export Company. Second hypothesis: Technology orientation has impact on export performance in exporting ceramic tiles industry. is confirmed with the 95% confidence. Results of multivariate regression analysis showed that variable of technology orientation have direct impact on performance of ceramic tile export. The standardized beta coefficient for this variable is 0/337 it means according to the obtained sig less than the intended level Alpha can be said that variable of technology orientation an explain 33/7 percent from a dependent variable of export performance. The results of this research are consistent with research of Solberg and Olsson (2009). Third hypothesis: Customer orientation has impact on export performance in exporting ceramic tiles industry. is confirmed with the 95% confidence. Results of multivariate regression analysis showed that variable of customer orientation have direct impact on performance of ceramic tile export. The standardized beta coefficient for this variable is 0/367 it means according to the obtained sig less than the intended level Alpha can be said that variable of customer orientation an explain 36/7 percent from a dependent variable of export performance. The results of this research are consistent with research of Solberg and Olsson (2009). 5. Discussion and Conclusions Today, every country for entry into foreign markets is required to export. Export is one of items that economic situation of the country is measured with it and developed country has more export. In this study, effective factors on export performance in tile industries have been discussed. One of these factors is technology orientation. In this field companies must adapt themselves to environmental changes and technological and try to with changes in technology do changes in existing technologies and have been best technology to produce goods and their sell. Companies should be having creative and new ideas in this field and every day trying to improve their products. In this field should take advantage of Porter's differentiation strategy and have a competitive advantage to rival companies. Further discussion in this topic is customer orientation that is one of the most important components of any organizational. Because without customers cannot be created an industry. Customers should have the special privilege and employees should take a look at customers as the gold of organization. If all employees in the organization to customers would have such a view in this case, thus can say that the company entered to path of development and it is hoped to maintain its position in the industry for a long time and will be higher competitive advantage than other competitors. The export commitment is one of the options discussed in this paper. If managers and employees don t COPY RIGHT 2013 Institute of Interdisciplinary Business Research 937

4 have commitments in work thus organization is failure. Organizations should abide to its commitments. From social responsibility to organizational responsibility should behave inside and outside organization carefully. COPY RIGHT 2013 Institute of Interdisciplinary Business Research 938

5 References Armestrang,Gray,Kotler,Ph.(2005). Principal of marketing, Persian translate by ali parsian,vol 1,Tehran, publication of dabestan. Bojun Leng,Guijun Ling,Ting Zhou,(2010),"Important Export Skills Comparison Indifferent Export Stage" Journal Of Chinese economic and Foreign Trade Studies,vol.3,No.3,PP Deshpande, R. and Farley, J.U. and Webster, F.Jr (1993), Corporate culture, customer orientation, and innovativeness in japanes companies: a quadrad analysis, Journal of Marketing, Vol.57, January, pp Doaei,H;Hosseini Robat,S.M.(2010). Market-oriented foreign trade, international commercial relations and export performance( case study: export companies in Mashhad )", Tehran University of Business Management, Vol 2, No 6, pp Farhangi,A.A;Lotfi,A.(2009).investigating Adaptation of Marketing Services in Trade Promotion Organization of Iran with exporters expectations, Journal of Business Management, Vol 1, No. 2, pp Gilaninia shahram,shiadi Dizaji Behnam, Mousavian Seyyed Javvad, (2011), "The Effect Of Environmental Factors On Export", Journal Of Contemporary Research In Business,vol.3,No.3,pp Haluk koksal Mehmet, (2008), "How Export Marketing Research Affects Company Export Performance "Journal Of Marketing Intelligence & Planning,Vol. 26, No. 4, pp Haluk koksal Mehmet, Ozgul Engin, (2009), "The Export Competitive Advantage Of Turkish Manufacturing Companies", Journal Of Marketing Interllingence & Planning, Vol. 28, No.2, pp Lin Gui-hua, Li yang, Zhou Ting, (2010), "Determinants Of interest In The Acquisition Of Export Skills For Chinese Exporters", Journal Of Tecknology Management In China, Vol. 5, No.3, pp Narver John C., Slater Stanley F. (1990): The effect of a market orientation on business profitability. journal of Mmarketing, Vol. 54 Issue 4, 1990, pp Navarro Antonio,Losada fernando,ruzo Emilio,Diez Jose A,(2010)," Implications of perceived competitive advantages, adaptation of marketing tactics and export commitment on export performance', Journal of World Business 45 : Olsson H.UlF,Solberg Carl Arthur, (2009),"Management Orientation and Export Performance. The Case Of Norwegian ICT Companies", Journal Of Management, Vol. 5, No.1, pp COPY RIGHT 2013 Institute of Interdisciplinary Business Research 939