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Research Article

An Empirical Study on Overseas Distribution Channel Satisfaction of International Firms

Kim, Yonggyu

Published: January 1997 · Vol. 26, No. 2 · pp. 287-301
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Abstract

This study used multiple regression analysis to investigate the factors determining channel satisfaction associated with the export channel selection of Korean export firms when entering overseas markets. While existing research on distribution channel satisfaction has been conducted primarily from a behavioral perspective, this study introduced the expectation-performance disconfirmation concept—a representative form of the satisfaction/dissatisfaction paradigm in marketing—and Williamson's transaction cost theory as the theoretical framework. The channel satisfaction factors included in the study were sales performance, firm experience, degree of control, channel transferability, environmental uncertainty, and opportunistic tendency. Using Korean electronics export firms as the research sample, the results revealed that the expectation-performance disconfirmation model—which posits that international firms' overseas distribution channel satisfaction is influenced by the gap between prior expectations and actual performance—was supported; however, the transaction cost analysis model showed no significant relationship with channel satisfaction. Additionally, relative sales performance and channel activity control emerged as significant explanatory variables affecting international distribution channel satisfaction.