Impact of Marketing Orientation on Financial Performance of Banks in India

2015 ◽  
Vol 3 (1) ◽  
Author(s):  
Aditya Upadhyay ◽  
N. Sivakumar
Keyword(s):  
Strategic Management ◽  
Financial Performance ◽  
Marketing Strategy ◽  
Direct Relationship ◽  
Foreign Banks ◽  
Important Ingredient ◽  
Marketing Orientation ◽  
The Impact ◽  
Strategy Classification

Marketing orientation has become an important ingredient of the strategic management of banks in India due to the changed competitive landscape of the industry. However marketing expenses in banks can be risky as it is difficult to establish a direct relationship between marketing strategy and financial performance. This paper studies the impact of marketing orientation on the financial performance of banks in India. The marketing orientation can be understood by marketing strategy classification to which the banks belong. The study has been conducted on a total of 56 public, private, and foreign banks for the period 2004 to 2012. The paper has identified that certain financial parameters vary significantly among banks classified based on marketing orientation. However, marketing strategy classification has only a subdued impact on the profitability of the banks. The paper concludes with appropriate implications for banks on usage of marketing orientation in strategy.

scholarly journals Pengaruh Strategic Management Accounting dalam Memediasi Pengaruh Orientasi Pasar, dan Kualitas Pimpinan terhadap Kinerja Keuangan

2021 ◽  
Vol 7 (2) ◽  
pp. 100-108
Author(s):  
Christina Verawaty Situmorang ◽  
Arthur Simanjuntak
Keyword(s):  
Strategic Management ◽  
Financial Performance ◽  
Market Orientation ◽  
Management Accounting ◽  
Leadership Qualities ◽  
Leadership Quality ◽  
Descriptive Research ◽  
Strategic Management Accounting ◽  
Quantitative Descriptive ◽  
The Impact

The aim of the study is to identify and analyze the impact of strategic management accounting, which mediates market orientation and leadership qualities to financial performance.  This research is quantitative descriptive research. Researchers use quantitative descriptive research to uncover the truth about the study's problems. Bbased on the facts and information available obtained directly from the respondent. The types of data used are primary and supporting data. The main data is obtained from respondents with direct interviews of competent respondents. Supporting data isobtained from dokumen Hotel in Medan City. The method used in data collection in the form of interviewing informants who are sources is hotel managers up to employees who work for at least 3 years. The population of this study is all hotels based on the criteria of three-, four- and five-star hotels in the city of Medan and have been established for at least   5 years. The method used is metode purposive sampling, with the number of samples obtained as many as 64 respondents. Based on the results of the study, partially Market Orientation affects Financial Performance through Strategic Management Accounting. And The Quality of Leaders influences Financial Performance through Strategic Management Accounting. Simultaneously Market Orientation and Leadership Quality have a significant effect on Financial Performance. And Market Orientation and Leadership Qualities Affect Financial Performance Through Strategic Management Accounting.

scholarly journals THE IMPACT OF CORPORATE GOVERNANCE ON FINANCIAL PERFORMANCE OF LEBANESE BANKS

2021 ◽  
pp. 70-85
Author(s):  
Bilal Jibai
Keyword(s):  
Corporate Governance ◽  
Financial Performance ◽  
Direct Relationship ◽  
Annual Reports ◽  
Quantitative Methodology ◽  
Substantial Evidence ◽  
New Knowledge ◽  
Governance Practices ◽  
The Impact ◽  
Governance Disclosure

The aim of this research is to study the impact of corporate governance disclosure on the financial performance of Lebanese banks. The impacts of corporate governance consequences on financial performance are the problem being faced by many firms. This research applies a quantitative methodology to the data from 29 banks’ annual reports for the year 2018. This data was analyzed using regression analysis means. This empirical study intends to find substantial evidence which would help acquire new knowledge and better understanding of how virtuous corporate governance practices and disclosures may help improve banks’ performance. In particular, validation of our research hypotheses may help with assessing the importance of corporate governance disclosure for the financial performance of Lebanese banks. The research proves there is a direct relationship between diversity on board and financial performance, as well as, between frequency of Board meetings and financial performance.  

scholarly journals The impact of the interaction between an entrepreneurial marketing orientation and coopetition on business performance

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
James M. Crick ◽  
Masoud Karami ◽  
Dave Crick
Keyword(s):  
Financial Performance ◽  
Business Model ◽  
Structural Equation ◽  
Small Firms ◽  
Business Models ◽  
Performance Outcomes ◽  
Content Type ◽  
Entrepreneurial Marketing ◽  
Marketing Orientation ◽  
The Impact

PurposeCertain small businesses do not possess the assets needed to implement a performance-enhancing entrepreneurial marketing orientation (opportunity-driven behaviours focussed on creating value for customers). Although some entrepreneurs cooperate with their competitors (coopetition) to achieve their day-to-day and long-term goals, it is unclear whether these partnerships are advantageous in this capacity. Thus, grounded in the resource-based view, the purpose of this investigation is to examine whether coopetition positively moderates the relationship between an entrepreneurial marketing orientation and financial performance.Design/methodology/approachSurvey responses were obtained from 184 small tourism and hospitality organisations in New Zealand. Following a series of robustness checks, covariance-based structural equation modelling was used to test the elements of the conceptual model.FindingsUnique insights illustrate an entrepreneurial marketing orientation yielding a negative and significant link with financial performance. Nevertheless, this result was potentially related to the entrepreneurial marketing-oriented opportunities that owner-managers pursued within the context of their sector; in particular, situations when employing an individualistic business model constrained certain decision-makers' ability to pursue “growth-oriented” objectives. However, coopetition produced a positive and significant moderating effect, enabling owner-managers to pursue opportunities via collaborative business models facilitating mutually beneficial performance outcomes.Practical implicationsOwner-managers of under-resourced small firms should be careful when implementing entrepreneurial marketing strategies utilising an individualistic business model. For example, they might pursue opportunities that are not viable and/or become over-loaded with market intelligence that they cannot handle. By collaborating with competitors, owner-managers can learn improved ways to operate within their industries, alongside being equipped with new resources and capabilities. In doing so, coopetition can help overcome some of the potential performance-limiting issues owner-managers face by being under-resourced, namely, via employing a collaborative business model.Originality/valueThis current study contributes to the extant literature by evaluating the complexities of entrepreneurial marketing practices. That is, although earlier research has focussed on the performance-driving outcomes of an entrepreneurial marketing orientation, prior studies typically overlook certain moderating factors that could influence this association. By examining the interaction between an entrepreneurial marketing orientation and coopetition on financial performance, new evidence has emerged on how owner-managers of small firms can utilise interfirm collaboration to succeed within their markets, as opposed to struggling to cope with the challenges of an individualistic business model. Specifically, an entrepreneurial marketing orientation is likely to enhance financial performance when under-resourced companies effectively collaborate with their competitors.

Association between strategic management accounting facets and organizational performance

2019 ◽  
Vol 14 (2) ◽  
pp. 212-234 ◽  
Author(s):  
Ahmad Mohammed Alamri
Keyword(s):  
Strategic Management ◽  
Financial Performance ◽  
Organizational Performance ◽  
Organizational Context ◽  
Stock Exchange ◽  
Management Accounting ◽  
Data Set ◽  
Content Type ◽  
Strategic Management Accounting ◽  
The Impact

Purpose The purpose of this paper is to develop an extensive conceptualization of strategic management accounting (SMA) facets, as well as to explore the impact of these facets on both financial and non-financial measures of organizational performance (OP). Design/methodology/approach Data are collected from 435 accounting managers working in Saudi companies listed in the Saudi Stock Exchange. The study applies hierarchical regression analysis to test the association between SMA facets and OP. Findings The results show that SMA facets significantly affect OP, assessed in the two major categories of financial and non-financial performance. Research limitations/implications The dominance of companies listed in the Saudi Stock Exchange in the data set limits the generalizability of the findings. Practical implications The present study supports the idea that companies can enhance their OP by adopting some facets of SMA such as the availability of appropriate structural arrangements, supportive resources, adequate information types and usages and good organizational climate. Originality/value The current study expands the conceptualization of SMA in light of organizational context as a set of facets to overcome the polarization found in the existing literature and explores their impact on OP, including non-financial performance, for which empirical evidence is still scant.

scholarly journals STRATEGIC MANAGEMENT PRACTICES AS A KEY DETERMINANT OF SUPERIOR NON-GOVERNMENTAL ORGANIZATIONS PERFORMANCE

2016 ◽  
Vol 11 (2) ◽  
pp. 71-92
Author(s):  
Mohammed Aboramadan ◽  
Elio Borgonovi
Keyword(s):  
Strategic Management ◽  
Financial Performance ◽  
High Performance ◽  
Management Practices ◽  
Positive Impact ◽  
Strategy Formulation ◽  
Palestinian Territories ◽  
Governmental Organizations ◽  
Non Governmental Organizations ◽  
The Impact

Based on a review of prior studies, this research seeks to enrich the management literature by examining and empirically testing the impact of each of the strategic management practices (environmental scanning, strategy formulation, strategy implementation, and strategy evaluation-monitoring) on financial and non-financial performance of non-governmental organizations (NGOs). A questionnaire was developed and validated to measure strategic management practices and NGOs financial and non-financial performance. Questionnaires were distributed to projects coordinators, programs officers and administration officers of seventy-nine international NGOs operating in the Palestinian Territories. 237 questionnaires were distributed and 160 questionnaires were returned and were usable for statistical analysis. The research results demonstrates that strategic management practices have positive impact not only on financial performance but on non-financial performance of these organizations. Moreover, the research recommends that NGOs rely on strategic management as a means to achieve high performance. Key words: financial performance, Non-Governmental Organizations, non-financial performance, strategic management practices.

Income diversification and financial performance of commercial banks in Vietnam

2019 ◽  
Vol 12 (3) ◽  
pp. 185-199
Author(s):  
Hiep Ngoc Luu ◽  
Loan Quynh Thi Nguyen ◽  
Quynh Huong Vu ◽  
Le Quoc Tuan
Keyword(s):  
Financial Performance ◽  
Commercial Banks ◽  
Fixed Effects ◽  
Positive Impact ◽  
Banking System ◽  
Foreign Banks ◽  
Annual Reports ◽  
Income Diversification ◽  
Content Type ◽  
The Impact

Purpose The purpose of this paper is to investigate the impact of income diversification on the financial performance of commercial banks in Vietnam over the period 2007–2017. It then provides additional analysis to examine whether the diversification–performance nexus is conditioned upon bank experience and ownership structure. Design/methodology/approach The financial information of each bank were manually collected from bank annual reports. In the empirical model, a number of modern econometric techniques, including panel OLS with fixed effects and a two-step system GMM estimator, were utilised to achieve the research objectives. Findings The empirical results show that income diversification has a positive impact on banks’ performance. However, the effect varies across different types of banks. Specifically, the authors find that while diversification benefits state-owned and foreign banks, it exhibits a detrimental effect on the financial performance of other non-state owned domestic banks. In addition, the authors further find that the positive impact of diversification is more prominent for banks with more experience in the market. Originality/value This study is among the first to empirically investigate the relationships between income diversification and the financial performance of commercial banks in Vietnam. In this sense, the findings of this study could draw important inferences for researchers, policy makers and bank managers towards more appropriate diversification strategies, to ensure the safety and soundness of the whole banking system.

Strategic relatedness in mergers and financial performance: the case of the health maintenance organization industry in the United States

2002 ◽  
Vol 15 (4) ◽  
pp. 264-273 ◽  
Author(s):  
Robert Weech-Maldonado
Keyword(s):  
Financial Performance ◽  
Health Maintenance Organization ◽  
The United States ◽  
Operational Efficiency ◽  
Health Maintenance ◽  
Delivery Of Care ◽  
Strategic Orientations ◽  
Marketing Orientation ◽  
Strategic Factors ◽  
The Impact

Knowledge and identification of strategic factors associated with favourable post-acquisition performance can be of benefit to both managers and shareholders. From a management perspective, the identification of contextual factors that can influence postmerger performance is 'strategic' in nature, and should be considered in the analysis of future acquisitions. Within the context of the health maintenance organization (HMO) industry, this study examines the impact of strategic relatedness on postmerger financial performance. Strategic relatedness is conceptualized as similarity between the acquirer and target HMOs in terms of operational efficiency, marketing orientation, organizational structure and profit orientation. Regression analysis showed that similarity in operational efficiency and similarity in HMO structure were associated with better postmerger financial performance. However, marketing orientation similarity and profit orientation similarity were not significantly related to postmerger performance. This finding suggests that HMO mergers involving firms with similar strategic orientations and similar approaches to the delivery of care have greater strategic fit and experience better financial performance.

scholarly journals Liquidity Management and Banks Financial Performance in Kuwait

2020 ◽  
Vol 4 (3) ◽  
pp. 102-108
Author(s):  
Musaed Sulaiman AlAli
Keyword(s):  
Financial Performance ◽  
Direct Relationship ◽  
Stock Exchange ◽  
Financial Indicators ◽  
Return On Assets ◽  
Return On Equity ◽  
Financial Ratio ◽  
Kuwait Stock Exchange ◽  
The Impact ◽  
The Relationship

Bank liquidity plays an important role in determining the bank’s financial performance. This study examines the impact of liquidity on the financial performance of ten Kuwaiti banks, whose shares are listed on the Kuwait Stock Exchange in the period 2010-2018. The article is based on the analysis of return on assets (ROA) and return on equity (ROE) as indicators of the bank’s financial efficiency in comparison with the five liquidity ratios. The results of the study showed a statistically significant direct relationship between ROA and the ratio of loans to total assets, the ratio of loans and deposits and the ratio of the financing deficit to total assets. According to the results of the calculations, a statistically significant inverse relationship between the ROA of liquid assets and the total assets and the ratio of liquid assets and deposits. The determination of return on equity (ROE) showed their statistically significant feedback only on liquid assets and deposits, while a significant direct relationship with the ratio of loans to total assets, the ratio of loans to deposits and the deficit of funding to the total assets. The results of this study provide an explanation of the contradictory results presented in the literature on the impact of liquidity on the financial results of banks. They found that the direction of the relationship depended on which financial ratio was used to explain the relationship (in this study, two ratios showed feedback, while the other three showed a direct ratio). The lack of a universal liquidity ratio will eventually lead to conflicting results. Keywords: liquidity, financial indicators, financial results, Kuwait banks, Kuwait Stock Exchange.

Pengaruh Lintas Budaya Pada Pemasaran Internasional Dengan Pendekatan Perilaku Konsumen

2017 ◽  
Vol 1 (2) ◽  
pp. 168-176
Author(s):  
Endy Gunanto ◽  
Yenni Kurnia Gusti
Keyword(s):  
Consumer Behavior ◽  
Marketing Strategy ◽  
Consumer Culture ◽  
International Organization ◽  
Future Research ◽  
Special Issue ◽  
Cross Culture ◽  
Several Variables ◽  
Cultural Orientations ◽  
The Impact

In this article we present a conceptual of the effect of cross culture on consumer behavior incorporating the impact of globalization. This conceptual idea shows that culture inûuences various domains of consumer behavior directly as well as through international organization to implement marketing strategy. The conceptual identify several factors such as norm and value in the community, several variables and also depicts the impact of other environmental factors and marketing strategy elements on consumer behavior. We also identify categories of consumer culture orientation resulting from globalization. Highlights of each of the several other articles included in this special issue in Asia region. We conclude with the contributions of the articles in terms of the consumer cultural orientations and identify directions for future research.

Balanced Scorecard in the strategic planning of a construction company

2018 ◽  
Vol 1 (1) ◽  
pp. 1
Author(s):  
Roberth Frias ◽  
Maria Medina
Keyword(s):  
Strategic Planning ◽  
Strategic Management ◽  
Balanced Scorecard ◽  
Organization Theory ◽  
Management Control ◽  
Management Tool ◽  
The Balanced Scorecard ◽  
Construction Company ◽  
Construction Companies ◽  
The Impact

This research focused on the strategic management tool Balanced Scorecard and strategic planning, as a guide to guide the management of companies, allowing communication and the functionality of the strategy using KPIs that allow to identify, maintain control and increase efficiency and the achievement of optimal results. For the deductive hypothetical analysis, the specific factors that affect business management performance were grouped into two variables: Balanced Scorecard and Strategic Planning. The objective of the work was to demonstrate the impact of the Balanced Scorecard in the strategic planning of a construction company. In order to support the research, the following theories were approached: the Financial Theory, the Economic Theory of the Company, the Transaction Costs, the Network Theory, the Organization Theory, the Dependence on Resources, the Strategic Management Theory and the Business Diagnosis Theory. The result obtained confirms the hypothesis that there is a significant incidence of the Balanced Scorecard in the strategic planning of construction companies. In conclusion, the construction company has obtained significant improvements in the results in each of the indicators evaluated with the implementation of the Balanced Scorecard, demonstrating improvements in their management results, affirming that there is better performance and management control allowing them to achieve the organizational objectives set.

Sign in / Sign up

Export Citation Format

Share Document