Analyzing Correlation between Internationalization Orientation and Social Network

The research on social networks and collaborative strategies has highlighted from the mid of 1980 which has contributed to the success and development of firms. The relationship and communication with trade partners in overseas help success of firms in entering to foreign markets and improve new partners and new markets abroad. Doing firm internationalization in foreign countries faces some barriers in external environment. These firms also face a lack of resources and capabilities and unprotected against environmental changes. Export managers through relational aspects of social network able to overcome the challenges and expand success in their internationalizing firms. The aims of this paper is to survey the correlation between internationalization orientation such as inward and outward internationalization and relational elements of social network such as trust, favor and friendship among Malaysian manufacturing firms exporting to the countries surrounding the Persian Gulf. The data was collected from 120 manufacturing firms in Malaysia by using a mail survey. The findings illustrate that two operations of internationalization means inward and outward internationalization orientation are positively and significantly correlated with all dimensions of relational elements means trust, favor and friendship. The results of this study can contribute to internationalizing firms and enhances relational marketing knowledge.