Research Article
The Causal Relationships of Antecedents and Consequences of Market Orientation
Published: January 1998 · Vol. 27, No. 3 · pp. 729-757
Full Text
Abstract
This study reviewed prior research related to the antecedent factors, mediating factors, and outcomes of market orientation, established research hypotheses, and conducted an empirical analysis targeting domestic junior colleges (two-year colleges) in Korea. Based on data collected from 376 faculty members and administrative staff at 138 junior colleges, a structural model was analyzed using LISREL 8.12. The analysis results are summarized as follows. First, the greater the emphasis placed on market orientation by top management, the higher the level of market orientation. Second, the more faculty and administrative staff are rewarded through a market-based reward system, the higher the level of market orientation. Third, the lower the interdepartmental conflict and the higher the interdepartmental connectedness, the higher the level of market orientation. Fourth, the higher the level of market orientation, the greater the job satisfaction, organizational commitment, and service image; the higher the job satisfaction and organizational commitment, the greater the service image; and consequently, the higher the performance. These results suggest that job satisfaction, organizational commitment, and service image play mediating roles in the relationship between market orientation and performance. Finally, marketing implications and suggestions for future research were presented.
