Seeing market orientation through a capabilities lens

Purpose – The purpose of this paper is to examine how conceptualising market orientation within a capabilities framework may assist in developing further understanding of the construct.Design/methodology/approach – Compelling issues in the market orientation literature relating to the nature of the market orientation construct, the relationship of the construct with performance, and identifying antecedents to market orientation are discussed. The capabilities perspective is explored in the context of these issues. In particular, a perspective of market orientation based on the market‐sensing capability is proposed, which may provide additional insights into the construct.Research limitations/implications – The capabilities framework facilitates a more comprehensive approach to understanding the nature of market orientation, which captures the complex interaction of behavioural and cultural factors in the conceptualisation of the construct.Originality/value – This paper addresses the need to examine how ma...

[1]  Pilar Jerez-Gómez,et al.  Organizational learning capability: a proposal of measurement , 2005 .

[2]  John C. Narver,et al.  Market Orientation and the Learning Organization , 1995 .

[3]  D. Teece,et al.  DYNAMIC CAPABILITIES AND STRATEGIC MANAGEMENT , 1997 .

[4]  Shelby D. Hunt,et al.  Marketing’s contribution to business strategy: market orientation, relationship marketing and resource‐advantage theory , 2000 .

[5]  Bernard J. Jaworski,et al.  Markor: A Measure of Market Orientation , 1993 .

[6]  F. Webster.  The rediscovery of the marketing concept , 1988 .

[7]  Ahmet H. Kirca,et al.  Market Orientation: A Meta-Analytic Review and Assessment of its Antecedents and Impact on Performance , 2005 .

[8]  Wayne D. Hoyer,et al.  Service Orientation of a Retailer's Business Strategy: Dimensions, Antecedents, and Performance Outcomes , 2002 .

[9]  M. Farrell.  Developing a Market‐Oriented Learning Organisation , 2000 .

[10]  Jin K. Han,et al.  Market Orientation and Organizational Performance: Is Innovation a Missing Link? , 1998 .

[11]  Tony Cox,et al.  The Development and Impact of Marketing Capabilities in Central Europe , 2000 .

[12]  O. C. Ferrell,et al.  Global organizational learning capacity in purchasing: Construct and measurement , 1997 .

[13]  François A. Carrillat,et al.  A meta-analysis of the relationship between market orientation and business performance: evidence from five continents , 2004 .

[14]  Bernard J. Jaworski,et al.  Market orientation: The construct, research propositions, and managerial implications. , 1990 .

[15]  Brendan Gray,et al.  Guest editorial: Market orientation and service firm performance - a research agenda , 2002 .

[16]  C. Oliver.  SUSTAINABLE COMPETITIVE ADVANTAGE: COMBINING INSTITUTIONAL AND RESOURCE- BASED VIEWS , 1997 .

[17]  Gordon E. Greenley.  Market Orientation and Company Performance: Empirical Evidence From UK Companies , 1995 .

[18]  John Fahy,et al.  Towards a further understanding of the development of market orientation in the firm: a conceptual framework based on the market-sensing capability , 2004 .

[19]  C. P. Rao,et al.  The capabilities and performance advantages of market‐driven firms , 1999 .

[20]  B. Wernerfelt,et al.  A Resource-Based View of the Firm , 1984 .

[21]  B. Menguc,et al.  Creating a firm-level dynamic capability through capitalizing on market orientation and innovativeness , 2006 .

[22]  Albert Maydeu-Olivares,et al.  Market orientation and business economic performance: A mediated model , 2003 .

[23]  G. Day.  The Capabilities of Market-Driven Organizations , 1994 .

[24]  Jan-Willem Stoelhorst,et al.  On explaining performance differentials , 2004 .

[25]  Hanne Harmsen,et al.  Identifying the determinants of value creation in the market: A competence-based approach , 2004 .

[26]  G. Luffman,et al.  Determining the scope and impact of market orientation profiles on strategy implementation and performance , 2003 .

[27]  R. Friedmann,et al.  Market orientation, knowledge-related resources and firm performance , 2008 .

[28]  George S. Day,et al.  The Market Driven Organization: Understanding, Attracting, and Keeping Valuable Customers , 1999 .

[29]  Constance E. Helfat,et al.  Dynamic capabilities : understanding strategic change in organizations , 2007 .

[30]  Audrey Gilmore,et al.  The Competence Trap: Exploring Issues in Winning and Sustaining Core Competence , 2001 .

[31]  A. Rugman,et al.  Edith Penrose's contribution to the resource-based view of strategic management , 2002 .

[32]  R. Calantone,et al.  The Impact of Market Knowledge Competence on New Product Advantage: Conceptualization and Empirical Examination , 1998 .

[33]  Gordon E. Greenley,et al.  THE PERFORMANCE IMPACT OF MARKETING RESOURCES , 2005 .

[34]  Gregory Richards,et al.  Benchmarking the learning capability of organizations , 1997 .

[35]  John Fahy,et al.  Strategic Marketing and the Resource Based View of the Firm , 1999 .

[36]  L. Harris,et al.  Strategic human resource management, market orientation, and organizational performance , 2001 .

[37]  Bernard J. Jaworski,et al.  Market orientation: Antecedents and consequences , 1993 .

[38]  J. Barney.  Firm Resources and Sustained Competitive Advantage , 1991 .

[39]  David J. Collis,et al.  Research Note: How Valuable are Organizational Capabilities? , 1994 .

[40]  Sridhar N. Ramaswami,et al.  Market-based Assets and Capabilities, Business Processes, and Financial Performance , 2004 .

[41]  John C. Narver,et al.  The Effect of a Market Orientation on Business Profitability , 1990 .

[42]  P. Ellis.  Market Orientation and Performance: A Meta-Analysis and Cross-National Comparisons , 2006 .

[43]  G. Day.  What Does it Mean to be Market‐Driven? , 1998 .

[44]  François A. Carrillat,et al.  A meta-analysis of the relationship between market orientation and business performance: evidence from five continents , 2004 .

[45]  S. Gounaris,et al.  Marketing orientation and its determinants: an empirical analysis , 1999 .

[46]  Fred Langerak,et al.  An Appraisal of Research on the Predictive Power of Market Orientation , 2003 .

[47]  Sundar G. Bharadwaj,et al.  Sustainable competitive advantage in service industries: A conceptual model and research , 1993 .

[48]  Kenneth Casler,et al.  The market-driven organization: The Sixth International Marketing Conference, Management Centre Europe Brussels, 11–13 June 1990 , 1990 .

[49]  G. Rose,et al.  Market orientation and performance: a meta‐analysis , 2005 .

[50]  J. Fahy.  The Role of Resources in Global Competition , 2001 .

[51]  Liam Fahey,et al.  The resource-based view and marketing: The role of market-based assets in gaining competitive advantage , 2001 .

[52]  Robert E. Widing,et al.  Marketing planning, market orientation and business performance , 2003 .

[53]  E. V. van Raaij,et al.  On Explaining Performance Differentials: Marketing and the Managerial Theory of the Firm , 2004 .

[54]  George S. Day,et al.  Peripheral Vision: Detecting the Weak Signals That Will Make or Break Your Company , 2006 .

[55]  Strategic marketing’s global challenges and opportunities , 2006 .