1998
DOI: 10.1016/s0149-2063(99)80060-9
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Examining the market orientation-performance relationship: A context-specific study

Abstract: This study developed a comprehensive measure of market orientation and examined the market orientation-performance relationship in the health care industry. A survey of 159 hospitals yielded a strong positive relationship between market orientation and various measures of organizational performance. Additionally, the study found that market turbulence, competitive hostility, and supplier power moderated the market orientation-performance relationship.

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Cited by 168 publications
(94 citation statements)
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References 76 publications
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“…Long-term focus is the orientation of a firm toward longterm goals regarding all dimensions of market orientation (Narver and Slater 1990). Profitability is argued to be both an objective and component of market orientation (Kumar et al 1998).…”
Section: Market Orientation and Organizational Identitymentioning
confidence: 99%
See 1 more Smart Citation
“…Long-term focus is the orientation of a firm toward longterm goals regarding all dimensions of market orientation (Narver and Slater 1990). Profitability is argued to be both an objective and component of market orientation (Kumar et al 1998).…”
Section: Market Orientation and Organizational Identitymentioning
confidence: 99%
“…Organizations that promote and capitalize on a market orientation tend to outperform other organizations with a lower market orientation (Kumar et al 1998). As a result, franchisors identifying and recruiting franchisees that have a strong market orientation should perform better than those that do not.…”
Section: Market Orientation and Organizational Identitymentioning
confidence: 99%
“…Four subjective measures of performance (α = 0.717)-return on investment (ROI), growth in revenue, new product success, and success in controlling expenses-which have been used in previous studies of market orientation (Kumar, Subramanian, & Yauger, 1998;Subramanian and Gopalakrishna, 2001) were used to test the link between market orientation and performance. In this study, performance was based upon a managing director's subjective response to questions assessing whether the results of ROI, growth in revenue, new product success, and success in controlling expenses were above or below those of competitors over the previous five years.…”
Section: Methodsmentioning
confidence: 99%
“…Market orientation was measured with a five-item index based on previous research (Kumar et al, 1998;Narver and Slater, 1990). And an organization's customer orientation, competitor orientation, inter-functional coordination, long-term horizon and profit emphasis are the first-order indicators of a higher, second-order construct, namely, market orientation.…”
Section: Methodsmentioning
confidence: 99%