New IJM now accepts submissions exclusively via the Editorial Scholar portal — a dedicated submission & review system.
Go to Editorial Scholar →
Associated Management Consultants Pvt. Ltd. | COPE Member · ID: JM07589
Scopus Q3 UGC-CARE ABDC: C |
Indian Journal of Marketing logo

Indian Journal of Marketing

ISSN: 0973-8703 Frequency: Monthly Peer Review: Double-blind Published since: 1968 Language: English
A publication of AMCPL
amcon.co.in
New Delhi, India
Indexed in: Scopus Q3 UGC-CARE Group II ABDC: C Google Scholar J-Gate NAAS NISCAIR Crossref

Original Article

Open Access Original Article

Conceptual Model for Innovation in the Approach of Market - Oriented Strategies

Jonathan Bermúdez-Hernández1Alejandro Valencia-Arias2Walter Mauricio Montaño-Arias3

1 Assistant Professor , Instituto Tecnológico Metropolitano, Calle 54A No. 30-01, Departamento de Ciencias Administrativas, Medellín

2 Associate Professor, Instituto Tecnológico Metropolitano, Calle 54A No. 30-01, Departamento de Ciencias Administrativas, Medellín

3 Professor, Corporación Universitaria Americana, Carrera 44 No. 49-92, Medellín

Volume 51
Issue 12
Pages 8–25
Year 2021
Received: Aug. 11, 2020 Accepted: June 15, 2021 Published: Dec. 10, 2021
Abstract

Market orientation refers to a set of cross-sectional functional processes and activities aimed at satisfying customer expectations through a continuous assessment of their needs. This includes processing information to generate market intelligence from the entire organization with respect to said needs: current and future. This study proposed a market orientation model (based on the one introduced by Narver and Slater) that allows organizations to identify the most critical factors for innovation in their market-oriented approach. A self-administered questionnaire was distributed to 307 employees at different companies in Medellin, Colombia, and the data resulting from exploratory factor analysis (EFA) and confirmatory factor analysis (CFA) were used to build the model proposed in this study. It was identified that the two main variables related to innovation in market-oriented strategies are adaptation to changes in customer preferences and proactive behavior in the work environment.

Keywords Market Orientation Innovation Marketing Strategy
How to Cite

Jonathan Bermúdez-Hernández, Alejandro Valencia-Arias, Walter Mauricio Montaño-Arias (2021). Conceptual Model for Innovation in the Approach of Market - Oriented Strategies. Indian Journal of Marketing, 51(12), 8–25. https://doi.org/10.17010/ijom/2021/v51/i12/167217

References
  1. Abascal, E., & Grande, I. E. (2005). Análisis de encuestas [Survey analysis]. https://books.google.com.pe/books?id=qFczOOiwRSgC&printsec=frontcover&hl=es#v=onepage&q&f=false
  2. Acevedo-Gutiérrez, L. E., Cartagena-Rendón, C. M., Palacios-Moya, L., & Gallegos-Ruiz-Conejo, A. L. (2019). Análisis comparativo de mallas curriculares de programas tecnológicos de mercadeo [Comparative analysis of curricula of associate degree programs in marketing]. Revista CEA, 5(9), 97–112. https://doi.org/10.22430/24223182.1254
  3. Al Mamun, A. A., Mohiuddin, M., Fazal, S. A., & Ahmad, G. B. (2018). Effect of entrepreneurial and market orientation on consumer engagement and performance of manufacturing SMEs. Management Research Review, 41(1), 133–147. https://doi.org/10.1108/MRR-04-2017-0102
  4. Aldas-Manzano, J. (2005). Análisis factorial confirmatorio apuntes y ejercicios [Confirmatory factor analysis : Notes and exercises]. https://toaz.info/doc-viewer
  5. Álvarez González, L. I., Santos Vijande, M. L., & Vázquez Casielles, R. (2005). Escalas de medida del concepto de orientación al mercado. Revisión crítica de su contenido y de sus propiedades psicométricas [Scales for measuring the concept of market orientation. Critical review of their content and psychometric properties]. Esic Market, 120, 121–202. https://dialnet.unirioja.es/servlet/articulo?codigo=1149873
  6. Anderson, J. C., & Gerbing, D. W. (1988). Structural equation modeling in practice: A review and recommended two-step approach. Psychological Bulletin, 103(3), 411–423. https://doi.org/https://doi.org/10.1037/0033-2909.103.3.411
  7. Arango-Botero, D., Arias, M. L., Montoya, M. H., & Valencia-Arias, A. (2020). Determinants of entrepreneurial intention among engineering students based on structural equation modeling. Pertanika Journal of Social Sciences and Humanities, 28(4), 2623–2644. https://doi.org/10.47836/PJSSH.28.4.08
  8. Augusto, M., & Coelho, F. (2009). Market orientation and new-to-the-world products: Exploring the moderating effects of innovativeness, competitive strength, and environmental forces. Industrial Marketing Management, 38(1), 94–108. https://doi.org/10.1016/j.indmarman.2007.09.007
  9. Bagozzi, R. P., & Yi, Y. (1988). On the evaluation of structural equation models. Journal of the Academy of Marketing Science, 16, 74–94. https://doi.org/10.1007/BF02723327
  10. Baliga, V., Shetty, G. S., & Shenoy, S. (2020). Marketing orientation led by consumer motivations towards agribased products: An evidence from Udupi District in India. Indian Journal of Marketing, 50(2), 7–19. https://doi.org/10.17010/ijom/2020/v50/i2/150438
  11. Calvo-Porral, C., Martínez-Fernández, V.-A., & Juanatey-Boga, Ó. (2013). Análisis de dos modelos de ecuaciones estructurales alternativos para medir la intención de compra [Analysis of two alternative structural equation models for measuring purchase intention]. Investigacion Operacional, 34(3), 230–243. https://www.researchgate.net/publication/257334461
  12. Cheung, R. S., & Pires, G. D. (2015). The role of power distance in the application of relationship marketing orientation to the internal business environment. Global Business and Economics Review, 17(3), 330–343. https://doi.org/10.1504/GBER.2015.070309
  13. Deshpandé, R., & Farley, J. U. (1998). Measuring market orientation: Generalization and synthesis. Journal of Market-Focused Management, 2(3), 213–232. https://doi.org/10.1023/A:1009719615327
  14. Deshpandé, R., Farley, J. U., & Webster Jr., F. E. (1993). Corporate culture, customer orientation, and innovativeness in Japanese firms: A quadrad analysis. Journal of Marketing, 57(1), 23–37. https://doi.org/10.2307/1252055
  15. Drucker, P. F. (1954). The practice of management. https://www.goodreads.com/book/show/48018.The_Practice_of_Management
  16. Dursun, T., & Kilic, C. (2017). Conceptualization and measurement of market orientation: A review with a roadmap for future research. International Journal of Business and Management, 12(3), 1–18. https://doi.org/10.5539/ijbm.v12n3p1
  17. Ejdys, J. (2015). Marketing orientation vs. innovativeness of SMEs of the Podlaskie province. Business: Theory & Practice, 16(4), 353–361. https://doi.org/10.3846/btp.2015.563
  18. Frías-Navarro, D., & Pascual Soler, M. (2012). Prácticas del análisis factorial exploratorio (afe) en la investigación sobre conducta del consumidory marketing [Exploratory factor analysis (EFA) practices in consumer behavior and marketing research]. Suma Psicológica, 19(1), 47–58. http://www.scielo.org.co/scielo.php?script=sci_arttext&pid=S0121-43812012000100004
  19. Fuentes Jiménez, P. A. (2010). La orientación al mercado: Evolución y medición de un enfoque de gestión que trasciende al marketing [Market orientation: Evolution and measurement of a management approach that transcends marketing]. Perspectivas, 25, 25–83. https://www.redalyc.org/pdf/4259/425942454004.pdf
  20. Hair, J. F., Anderson, R. E., Tatham, R. L., & Black, W. C. (1999). Análisis multivariante [Multivariate analysis] (5a). Prentice-Hall Iberia. https://dialnet.unirioja.es/servlet/libro?codigo=320227
  21. Herrero, A., San Martín, H., & Collado, J. (2018). Market orientation and SNS adoption for marketing purposes in hospitality microenterprises. Journal of Hospitality and Tourism Management, 34, 30–40. https://doi.org/10.1016/j.jhtm.2017.11.005
  22. Hofer, A. R., Smith, R. J., & Murphy, P. R. (2014). Spillover effects of a firm’s relationship marketing orientation in the logistics triad. The International Journal of Logistics Management, 25(2), 270–288. https://doi.org/10.1108/IJLM-04-2013-0045
  23. Hu, L.- T., & Bentler, P. M. (1999). Cutoff criteria for fit indexes in covariance structure analysis : Conventional criteria versus new alternatives. Structural Equation Modeling: A Multidisciplinary Journal, 6(1), 1–55. https://doi.org/10.1080/10705519909540118
  24. Jaworski, B. J., & Kohli, A. K. (1993). Market orientation: Antecedents and consequences. Journal of Marketing, 57(3), 53–70. https://doi.org/10.2307/1251854
  25. Kerkhoff, S. (2017). Designing global futures: A mixed methods study to develop and validate the teaching for global readiness scale. Teaching and Teacher Education, 65, 91–106. https://doi.org/10.1016/j.tate.2017.03.011
  26. Kirca, A. H., Jayachandran, S., & Bearden, W. O. (2005). Market orientation: A meta-analytic review and assessment of its antecedents and impact on performance. Journal of Marketing, 69(2), 24–41. https://doi.org/10.1509/JMKG.69.2.24.60761
  27. Kohli, A. K., & Jaworski, B. J. (1990). Market orientation: The construct, research propositions, and managerial implications. Journal of Marketing, 54(2), 1–18. https://doi.org/10.1177/002224299005400201
  28. Kohli, A. K., Jaworski, B. J., & Kumar, A. (1993). MARKOR: A measure of market orientation. Journal of Marketing Research, 30(4), 467–477. https://doi.org/10.2307/3172691
  29. Lévy Mangin, J. P., Martín Fuentes, M. T., & Román González, M. V. (2006). Optimización según estructuras de covarianzas [Optimization according to covariance structures]. In, Modelización con estructuras de covarianzas en ciencias sociales: Temas esenciales, avanzados y aportaciones especiales [Modeling with covariance structures in social sciences: Essential topics, advanced topics, and special contributions] (pp. 11–30). https://dialnet.unirioja.es/servlet/articulo?codigo=4703924
  30. Luque-Ortiz, S. (2021). Estrategias de marketing digital utilizadas por empresas del retail deportivo [Digital marketing strategies used by sports retail companies]. Revista CEA, 7(13), e-1650. https://doi.org/10.22430/24223182.1650
  31. Martínez-García, J. A., & Martínez-Caro, L. (2009). La validez discriminante como criterio de evaluación de escalas: ¿teoría o estadística? [Discriminant validity as a scale evaluation criterion: Theory or statistics?]. Universitas Psychologica, 8(1), 27–36. http://www.scielo.org.co/scielo.php?script=sci_arttext&pid=S1657-92672009000100002
  32. McClintock, C. H., Lau, E., & Miller, L. (2016, October 27). Phenotypic dimensions of spirituality: Implications for mental health in China, India, and the United States. Frontiers in Psychology. https://doi.org/10.3389/fpsyg.2016.01600
  33. Murillo Oviedo, A. B., Pimenta, M. L., Piato, É. L., & Hilletofth, P. (2020). Development of market-oriented strategies through cross-functional integration in the context of the food and beverage industry. Business Process Management Journal, 27(3), 901–921. https://doi.org/10.1108/BPMJ-03-2020-0106
  34. Narver, J. C., & Slater, S. F. (1990). The effect of a market orientation on business profitability. Journal of Marketing, 54(4), 20–35. https://doi.org/10.2307/1251757
  35. Nikmah, F., Sudarmiatin, Wardoyo, C., Hermawan, A., & Soetjipto, B. E. (2020). The role of SMEs’ market orientation in developing countries: A general investigation in four countries. Innovative Marketing, 16(4), 1–12. https://doi.org/10.21511/im.16(4).2020.01
  36. O’Cass, A., & Weerawardena, J. (2009). Examining the role of international entrepreneurship, innovation and international market performance in SME internationalisation. European Journal of Marketing, 43(11–12), 1325–1348. https://doi.org/10.1108/03090560910989911
  37. Ozkaya, H. E., Droge, C., Hult, G. T., Calantone, R., & Ozkaya, E. (2015). Market orientation, knowledge competence, and innovation. International Journal of Research in Marketing, 32(3), 309–318. https://doi.org/10.1016/j.ijresmar.2014.10.004
  38. Pantouvakis, A. (2014). Market orientation and service quality: Opponents or colleagues. International Journal of Quality and Service Sciences, 6(2–3), 98–111. https://doi.org/10.1108/IJQSS-02-2014-0014
  39. Papadas, K. - K., Avlonitis, G. J., & Carrigan, M. (2017). Green marketing orientation: Conceptualization, scale development and validation. Journal of Business Research, 80, 236–246. https://doi.org/10.1016/j.jbusres.2017.05.024
  40. Pascual Soler, M., Pascual Llobel, J., Frías Navarro, M. D., & Rosel Remírez, J. (2006). Calidad de servicio en supermercados: una propuesta de medición [Quality of service in supermarkets: A measurement proposal]. Psicothema, 18(3), 661–667. http://www.psicothema.com/pdf/3267.pdf
  41. Pérez-Gil, J. A., Chacón Moscoso, S., & Moreno Rodríguez, R. (2000). Validez de constructo: El uso del análisis factorial exploratorio-confirmatorio para obtener evidencias de validez [Construct validity: The use of exploratory-confirmatory factor analysis to obtain evidence of construct validity]. Psicothema, 12(2), 442–446. http://www.psicothema.com/psicothema.asp?id=601
  42. R Development Core Team. (2016). R: A language and environment for statistical computing. R Foundation for Statistical Computing. https://www.gbif.org/es/tool/81287/r-a-language-and-environment-for-statistical-computing
  43. Ross, M., Grace, D., & Shao, W. (2013). Come on higher ed ... get with the programme! A study of market orientation in international student recruitment. Educational Review, 65(2), 219–240. https://doi.org/10.1080/00131911.2012.659656
  44. Rosseel, Y. (2012). lavaan: An R package for structural equation modeling. Journal of Statistical Software, 48(2), 1–36. http://dx.doi.org/10.18637/jss.v048.i02
  45. Ruizalba Robledo, J. L., Vallespín Arán, M., & Pérez-Aranda, J. (2015). Gestión del conocimiento y orientación al marketing interno en el desarrollo de ventajas competitivas en el sector hotelero [Knowledge management and internal marketing orientation for the development of competitive advantages in the hotel sector]. Investigaciones Europeas de Direccion y Economia de La Empresa, 21(2), 84–92. https://doi.org/10.1016/j.iedee.2014.03.001
  46. Shapiro, B. P. (1988). What the hell is “market oriented” ? Harvard Business Review. https://hbr.org/1988/11/what-the-hell-is-market-oriented
  47. Sharma, S., & Goyal, D. P. (2020). Entrepreneurial marketing strategies for small businesses: An exploratory study of start-up companies in India. Indian Journal of Marketing, 50(8–9), 48–65. https://doi.org/10.17010/ijom/2020/v50/i8-9/154691
  48. Shashishekar, M. S., & Anand, S. (2019). The impact of proficiency of marketing activities and value proposition innovation on new intelligent products’ performance. Indian Journal of Marketing, 49(12), 7–20. https://doi.org/10.17010/ijom/2019/v49/i12/149107
  49. Shih, T.-Y. (2018). Determinants of enterprises radical innovation and performance: Insights into strategic orientation of cultural and creative enterprises. Sustainability, 10(6), 1871. https://doi.org/10.3390/su10061871
  50. Suar, P. K., & Mishra, S. (2020). Relationship marketing effectiveness model for an Indian NBFC. Indian Journal of Marketing, 50(12), 8–23. https://doi.org/10.17010/ijom/2020/v50/i12/156306
  51. Tabachnick, B. G., & Fidell, L. S. (2013). Using multivariate statistics (6th ed.). Pearson. https://www.pearson.com/us/higher-education/program/Tabachnick-Using-Multivariate-Statistics-6th-Edition/PGM332849.html
  52. Tammi, T., Saastamoinen, J., & Reijonen, H. (2014). Market orientation and SMEs’ activity in public sector procurement participation. Journal of Public Procurement, 14(3), 304–327. https://doi.org/10.1108/jopp-14-03-2014-b001
  53. Tomaskova, E. (2009). The current methods of measurement of market orientation. European Research Studies Journal, 12(3), 135–150. https://doi.org/10.35808/ersj/236
  54. Urde, M., Baumgarth, C., & Merrilees, B. (2013). Brand orientation and market orientation—From alternatives to synergy. Journal of Business Research, 66(1), 13–20. https://doi.org/10.1016/j.jbusres.2011.07.018
  55. Van Raaij, E. M., & Stoelhorst, J. W. (2008). The implementation of a market orientation: A review and integration of the contributions to date. European Journal of Marketing, 42 (11–12), 1265–1293. https://doi.org/10.1108/03090560810903673
  56. Woller, G. (2002). From market failure to marketing failure: Market orientation as the key to deep outreach in microfinance. Journal of International Development, 14(3), 305–324. https://doi.org/10.1002/jid.883
  57. Wrenn, B. (1997). The market orientation construct: Measurement and scaling issues. Journal of Marketing Theory and Practice, 5(3), 31–54. https://doi.org/10.1080/10696679.1997.11501770
Editorial Scholar

Submit your Research to IJM

Submit your Manuscript → Author Guidelines