Purpose -This paper sets out to investigate the link between market orientation and manufacturing performance for small and medium enterprises in India. Design/methodology/approach -The paper collected the data for this research through intensive surveys of the CEOs or top managers of small and medium-sized enterprises in India. The paper utilized scales, well established in literature, and revalidated them for the Indian context. It also utilized confirmatory factor analysis for scale validation, and hierarchical regression analysis for testing the hypotheses. Findings -This study found a positive link between two sub-dimensions of market orientationcustomer orientation and inter-functional coordination -and manufacturing performance. Competitor orientation, however, did not have a positive impact on manufacturing performance. Further, the paper found that firm resources and competitive intensity moderate the relationship between some of the sub-dimensions of market orientation and firm performance. Research limitations/implications -This study is particularly relevant for personnel involved in the manufacturing functions as it studies the effect of market orientation on manufacturing performance. It is high time that firms with manufacturing focus realize the value of market forces and revamp various production processes to be more responsive to market needs and demands. Originality/value -This research looks at manufacturing performance, rather than a firm's financial performance, and thereby helps in understanding the intervening processes that potentially lead to superior firm performance. It also identifies some important contingency factors, enriching the literature on market orientation. Finally, the empirical context of this research is quite novel and useful for European and other foreign firms trying to operate in emerging economies such as India.
Purpose -This study attempts to understand the impact of relational switching costs and satisfaction on commitment as well as its impact on the satisfaction -commitment link in a supplierto-manufacturer context in manufacturing. Design/methodology/approach -The data for this study were collected from the small and medium size manufacturing firms located in and around Mumbai. A total of 67 CEOs/business heads were randomly selected and personally interviewed with the help of a structured questionnaire. Findings -Study strengthens the view that small and medium enterprises need to invest in relationships so that such investments are turned into relational switching barriers and they would thereby help in increasing customer retention. It also shows that if relational switching costs are higher, then even if satisfaction is lower the customer is less likely to terminate the relationship. Research limitations/implications -For marketing practitioners, the findings validate the longheld belief that relationship marketing orientation is critical for business performance. However, data in this study were obtained from manufacturing firms, which are into plastics and light engineering sector. Replication of this study on a wider scale across different industries is essential for the generalization of the findings. Further, it could be useful to explore the complexities of the relationship between relational switching costs and other types of switching costs like the set-up and financial costs. Originality/value -Although empirical studies have dealt with the customers' switching behaviour, the concept of relational switching costs and its impact on other relational parameters is relatively new. This study's unique contribution is in this direction.
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