In this research paper, a series of ordinary least squares (OLS) regressions were conducted to test the 7 hypotheses as follows:
H1a: An increase in the market orientation of the firm will lead to an increase in firm performance.
H1b: An increase in the market orientation of the firm will lead to an increase in firm performance for customer intimacy producers.
H1c: An increase in the market orientation of the firm will lead to an increase in firm performance for operational excellence producers.
H2: An increase in the relative emphasis of a customer orientation will lead to an increase in firm performance for firms within a customer intimacy value discipline.
H3: An increase in the relative emphasis of a customer orientation will lead to a decrease in firm performance for firms within an operational excellence value discipline.
H4: An increase in the firm’s learning orientation will lead to an increase in firm performance.
H5: An increase in the level of innovativeness will lead to an increase in firm performance.
H6: An increase in the cost focus of a firm will lead to an increase in firm performance for firms within the operational excellence value discipline.
H7: An increase in the cost focus of the firm will lead to a decrease in firm performance for firms within the customer intimacy value discipline.
The key findings in the paper are that a market orientation and innovativeness contributed to firm performance (Han et al., 1998; Slater & Narver, 1995). But there are not enough evidences that support other hypotheses. The results are based on the samples from Illinois beef industry, which implied the results might not be applicable in other market or industries.
For practicing
executives and managers, they have to be prudent regarding the decision-making
which is crucial to the performance of the firm. From implication of the
findings we can see that the relationship between them may be differentiated in
different industries. The factor which is a powerful resource in one industry
maybe a weak resource in the other one. This is the managers concern to make
the right decision.
Reference:
Han, J. K., Kim, N., & Srivastava, R. K. (1998). Market Orientation and Organizational Performance: Is Innovation a Missing Link? Journal of Marketing, 62(4), 30-35. http://dx.doi.org/10.2307/1252285
Source:
http://www.ccsenet.org/journal/index.php/ijms/article/view/14864/11892
I am assuming H1 and H5 were supported? How were the companies in the beef industry oriented? I'm having a hard time getting a take away from this article.
ReplyDeleteI wonder what the scales of these 1589 members of Illinois beef industry. Considering they are all in Illinois, I think they belonged to small business. Thus, I think the conclusion may have big limitation.
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