scholarly journals The Impact of Market Orientation and Dynamic Marketing Capability on the Marketing Performance of 'Make-To-Order' SMEs

Author(s):  
Yosef Budi Susanto

Objective – Literature suggest that companies should focus their Market Orientation (MO) on good marketing and business performance. However, previous research in this area deals mostly with large companies. The objective of this research is to study the significance of MO for small and medium enterprises (SMEs) with the specific production strategy of Make-To-Order. Methodology/Technique – The sample of this study is 111 Indonesia SMEs. The descriptive research design is supported by exploratory research. The structural model is analysed using the Structural Equation Modelling approach with LISREL 8.8 and SPSS 16.00. Findings – The result shows that MO does not have a significant impact on Marketing Performance. In the context of MTO, SMEs do not need to have a high Market Orientation to have satisfactory performance. It is more important for them to take care of the relationship with their principal companies. Government regulations, such as raw material regulations, also have an impact on SMEs performance. It is recommended that future research explore the types of capabilities of SMEs relating with the era of Industry 4.0. Other strategic orientations, such as production orientation, could be considered as factors in future research. Type of Paper: Empirical Keywords: Strategic Leadership Competence; Entrepreneurial Orientation; Market Orientation; Dynamic Marketing Capability; Business Environment; Marketing Performance; Maklun (MTO Strategy). Reference to this paper should be made as follows: Susanto, Y.B. 2019. The Impact of Market Orientation and Dynamic Marketing Capability on the Marketing Performance of ‘Make-To-Order’ SMEs, J. Mgt. Mkt. Review 4(3) 157 – 170 https://doi.org/10.35609/jmmr.2019.4.3(1) JEL Classification: M3, M30, M31.

2012 ◽  
Vol 13 (4) ◽  
pp. 666-687 ◽  
Author(s):  
Mateja Bodlaj ◽  
Germa Coenders ◽  
Vesna Zabkar

The study investigates how market and technological changes in an organization's business environment moderate the relationships between responsive and proactive market orientation, innovation success, and market success of the organization. The respondents in the study were senior managers of companies operating in a Central European country. The Internet survey resulted in 441 usable questionnaires. Data were analyzed using a non-linear structural equation models with MPLUS5. The results provide support for distinguishing between the two complementary forms of market orientation, proactive and responsive. While proactive market orientation is a determinant of both innovation and market success of the organization, the impact of responsive market orientation on the innovation and market success is positive and significant only in a rapidly changing market environment. Companies can improve their innovation success and in turn market success by improving their proactive market orientation, i.e. by investing resources in exploring customer needs, customer problems with existing products and latent customer needs. The study contributes to the literature by examining the entire chain of relationships between market orientation, innovation success and market success by adopting both a responsive and proactive market orientation. It is the first study that examines these relationships in the context of companies from a European country and with consideration of market turbulence/changes.


2015 ◽  
Vol 2 (01) ◽  
Author(s):  
Navi Muda Priyatna

Abstract: Company competition surrounding today is colored with the fast changes and full of uncertainties. And, the problem faced by companies in present is the decrease of job volume, in which this matter takes place due to the impact of the decline of demands for the electric installation construction service to PT. Wisang Utama Mandiri. The job volume decline, perhaps, there any factors causing it, they are, among others, the poorly service quality, the market demands that not accommodated by the company, even the consumer satisfaction that not yet maximal, these cases, of course, so impacted on company incomes.From the result of testing on model in this research, by using random sampling, structural equation model (SEM) analysis, and the assistance of software Amos 22, on 100 respondents, that it was able to explain the Analysis of the Effects of Service Quality, Market Orientation, and Consumer Satisfaction on the Marketing Performance of PT. Wisang Utama Mandiri of Surabaya.The research result indicated that: 1) Service quality has effect on consumer satisfaction. 2) Service quality has effect marketing performace. 3) Market orientation has effect on consumer satisfaction. 4) Market orientation has effect on marketing performance. 5) Employee job satisfaction has significant effect on marketing performance.Of the three variables hypothesized as influential in this research, whose value largest is the direct relevance between market orientation and marketing performance.Key words: PT. Wisang Utama Mandiri, Service quality, Market orientation, Job satisfaction, Marketing performance


2019 ◽  
Vol 10 (1) ◽  
pp. 336-356 ◽  
Author(s):  
Ali Ihtiyar

PurposeThis study aims to understand better the impact of intercultural communication, social environment and personality on customer satisfaction and post-purchase stage in retailing from Muslim customers’ perspective. In this endeavour, this study illustrates the unique context of intercultural communication to highlight several improvements contributing towards the advancement of intercultural communication literature.Design/methodology/approachThis research adopted a survey approach where 450 questionnaires were obtained among selected grocery retailers in Klang Valley, Malaysia. The measurement of the constructs and their interrelationships were examined based on partial least squares structural equation modelling (PLS-SEM).FindingsThe findings partially validated the proposed framework with statistically significant relationships among all constructs. Furthermore, it exposed additional insights into some practical and conceptual solutions for addressing intercultural communication of religiously and culturally diverse service encounters in the Malaysian grocery retail industry. These contributions postulated an impetus for future research in various service settings.Originality/valueBased on the theories, this study assessed the role of the social environment and personality of grocery retail customers on intercultural communication competence (ICC). It also examined the impacts of ICC on inter-role congruence and interaction comfort. It is anticipated that by filling this knowledge gap, the research assisted in strengthening retail communication strategies, which require intercultural communication adjustments in a multicultural business environment. ICC is expected to improve the retail industry’s competitiveness when it positively influences inter-role congruence and interaction comfort among customers.


2021 ◽  
Vol 8 (2) ◽  
pp. 6-16
Author(s):  
Hamza et al. ◽  

Work engagement is a valuable organizational resource, and it has many positive outcomes. In today’s dynamic and competitive business environment, organizations can only be successful when they have an engaged workforce. The current study examines how supervisors support and fairness is important for employee’s work engagement and how the role of perceived organizational support is significant in an employee's workplace. In line with Organizational Support Theory (OST) and Conservation of Resource Theory (CRT), the current study is an empirical attempt to explain antecedents that could increase work engagement and resultantly fetch productivity and profit in the context of South Asia (the case of Pakistan) by considering the outcomes. This cross-sectional study draws data through structured questionnaires from 310 employees of eight mega retail stores by using simple random sampling. The outcomes of Structural Equation Modeling (SEM) analysis revealed a positive effect of supervisors’ support and organizational fairness on work engagement through the mediation of Perceived Organizational Support (POS) and explained the impact of work engagement on task performance and career satisfaction of employees. The current study tested the model for work engagement; future research might test the model using other employee factors (employee sustainability or motivation) in order to test continuous employee behaviors in their workplaces.


2018 ◽  
Vol 30 (1) ◽  
pp. 2-22 ◽  
Author(s):  
Ali Ihtiyar

Purpose The purpose of this paper is to better understand the impact of intercultural communication and personality on customer satisfaction and loyalty in grocery retailing. In this endeavour, this study illustrates the unique context of intercultural communication to highlight several improvements in the literature and to encourage the advancement of the intercultural communication in the literature. Design/methodology/approach To initiate the research, a survey approach was taken. In total, 681 questionnaires were returned out of 1,100 that were distributed within selected grocery retailers in Klang Valley, Malaysia. The measurement of the constructs and their interrelationships is examined based on partial least square-structural equation modelling. Findings The findings validate the proposed framework with statistically significant relationships among all constructs. Furthermore, it exposes additional insights into some practical and conceptual solutions for addressing the intercultural communication of culturally diverse encounters in the Malaysian grocery retail industry. These contributions postulate an impetus for future research in various service settings. Originality/value Based on role, interdependence and cognitive consistency theory, this study assesses the role of the personality of grocery retail consumers on intercultural communication competence (ICC) and its impact on inter-role congruence (IRC) and interaction comfort (IAC). It is anticipated that by filling this knowledge gap, the research will assist in strengthening retail communication strategies, which require intercultural communication adjustments in a multicultural business environment. The ICC is expected to improve the retail industry competitiveness when it positively influences IRC and IAC among customers.


2016 ◽  
Vol 23 (1) ◽  
pp. 116-135 ◽  
Author(s):  
C. Lakshman ◽  
Rajeev Kumra ◽  
Atanu Adhikari

AbstractDespite the implication of organizational resources and the resource-based view of the firm, the market orientation literature has not examined associated constructs. Additionally, while it is recognized that emerging economies (e.g., India) are key drivers of economic growth, this literature has not paid sufficient attention to such markets, with few exceptions. We examine the impact of proactive market orientation on innovation capability, and performance in a sample of predominantly service firms, in a culture characterized by high power distance and low uncertainty avoidance. We contribute by conceptualizing and demonstrating the moderating impact of intrafirm causal ambiguity, drawn from resource-based theories of the firm. Based on Structural Equation Modelling analysis of responses to a survey of marketing managers, we find that intra-firm causal ambiguity moderates the proactive market orientation-innovation capability relationship, while this strategic orientation is linked to business performance through innovation. We discuss these findings, limitations, implications, and directions for future research.


2020 ◽  
Vol 11 (1) ◽  
pp. 31-42
Author(s):  
Indra Muis

The research examined the performance of export marketing performance through the implementation of market orientation intervened by export marketing strategy and export marketing capability. Primary data were collected through questionnaires from 108 samples out of 148 rattan processing Small and Medium Enterprises (SMEs) in nine provinces in Indonesia. The respondents were marketing managers or owners of SMEs with at least two years of experience. Structural Equation Modeling (SEM), which was processed by using Lisrel 8.7, was employed. The results indicate that market orientation, export marketing strategy, and export marketing capability are well implemented in the business operation of SMEs. However, the export marketing performance needs to be improved. Concerning the variables studied, market orientation has a significant effect on export marketing strategy, export marketing capability, and export marketing performance. Then, export marketing strategy affects export marketing performance significantly. Moreover, export marketing capability also has a significant effect on export marketing performance. Finally, export marketing strategy and capability intervene in the relationship between market orientation and export performance. 


2021 ◽  
Vol 13 (9) ◽  
pp. 5104
Author(s):  
Aram Eslamlou ◽  
Osman M. Karatepe ◽  
Mehmet Mithat Uner

An increasing body of research suggests job embeddedness (JE) as a motivational variable influencing employees’ attitudinal and behavioral outcomes such as quitting intentions and task performance. Personal resources have been reported to affect JE and these outcomes. However, little work has investigated the antecedents and consequences of JE among cabin attendants. There is also a dearth of empirical research regarding the mechanism linking resilience to cabin attendants’ affective and performance outcomes. Therefore, drawing on conservation of resources and JE theories, we propose a conceptual model that examines the interrelationships of resilience, JE, career satisfaction (CSAT), and creative performance (CPERF). Moreover, the model explores JE as a mediator of the impact of resilience on CSAT and CPERF. These linkages were tested via data collected from cabin attendants and their pursers. The findings from structural equation modeling reveal that resilience boosts cabin attendants’ JE, CSAT, and CPERF. As predicted, JE is a mediator between resilience and CSAT. Our paper culminates with implications for theory and practice as well as future research directions.


2016 ◽  
Vol 5 (1) ◽  
pp. 80-101 ◽  
Author(s):  
Giulia Ranzini ◽  
Christoph Lutz

The emergence of location-based real-time dating (LBRTD) apps such as Tinder has introduced a new way for users to get to know potential partners nearby. The design of the apps represents a departure from “old-school” dating sites as it relies on the affordances of mobile media. This might change the way individuals portray themselves as their authentic or deceptive self. Based on survey data collected via Mechanical Turk and using structural equation modeling, we assess how Tinder users present themselves, exploring at the same time the impact of their personality characteristics, their demographics, and their motives of use. We find that self-esteem is the most important psychological predictor, fostering real self-presentation but decreasing deceptive self-presentation. The motives of use—hooking up/sex, friendship, relationship, traveling, self-validation, and entertainment—also affect the two forms of self-presentation. Demographic characteristics and psychological antecedents influence the motives for using Tinder, with gender differences being especially pronounced. Women use Tinder more for friendship and self-validation, while men use it more for hooking up/sex, traveling, and relationship seeking. We put the findings into context, discuss the limitations of our approach and provide avenues for future research into the topic.


The factors of context-awareness and mobile ubiquity are major components in the development and diffusion of any mobile technology-driven applications and services. Principally in the m-government development space, the issues of context-awareness and ubiquity are crucial if m-government initiatives are to be successful. The moderating effect of context-awareness and ubiquity on mobile government adoption is examined for 409 students from a Chinese University based on the Technology Acceptance Model. Using the Structural Equation Modeling technique, the results indicate that perceived ease of use (PEOU) was significantly related to intention to use, but perceived usefulness (PU) did not have a significant effect on mobile government adoption. The moderating analysis indicated that context-awareness significantly moderated the impact of PU but had no moderating effect on PEOU. Also, it was discovered that ubiquity was significant in moderating both the PEOU and PU on mobile government adoption. Policy implications and directions for future research are presented.


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