A Study on the Effects of Market and Technological Orientation of Manufacturing Companies upon Absorptive Capacities and Product Development Performance

Abstract

The present study is aimed at examining in multilateral ways the structural relationship among technological orientation, market orientation and product development performance of manufacturing companies, which are deemed to be key factors for them to increase absorptive capacities. From the study, it was revealed that: First, in terms of the relationship between market orientation and absorptive capacities, it was made clear by the analysis that the market orientation sought after by manufacturing companies has influence upon their absorptive capacities. Second, with regard to the relationship between technological orientation and absorptive capacities of manufacturing companies, the analysis found that the technological orientation pursued by them affects their absorptive capacities. Third, as for the relationship between absorptive capacities and product development performance, the analysis made it clear that the absorptive capacities of manufacturing companies exerts influence upon their product development performance. Fourth, in respect to the relationship between market orientation and product development performance, it was concluded from the analysis that market orientation produces effect upon product development performances like technological innovation and acquisition of new technologies needed for product development. Finally, regarding the relationship between technological orientation and product development performance of manufacturing companies, it became obvious from the analysis that the technological orientation affects the product development performance.

Effects of the Entrepreneurial Strategic Orientation of Social Enterprises on Organizational Effectiveness: Case of South Korea

“…As identified in many previous studies, market orientation and technology orientation, the subconcepts of entrepreneurial strategic orientation, positively affect absorptive capacity (Na and Tian 2014). Entrepreneurial orientation is identified to positively affect absorptive capacity, such as acquiring and utilizing market information (Keh et al 2007;Jantunen et al 2005).…”