Synthesised model of market orientation-business performance relationship

Abstract

Purpose: The purpose of this paper is to assess the impact of market orientation on the performance of the organisation. While much empirical works have centered on market orientation, the generalisability of its impact on performance of the Food and Beverages organisations in the Nigeria context has been under-researched. Design/Methodology/Approach: The study adopted a triangulation methodology (quantitative and qualitative approach). Data was collected from key informants using a research instrument. Returned instruments were analyzed using nonparametric correlation through the use of the Statistical Package for Social Sciences (SPSS) version 10. Findings: The study validated the earlier instruments but did not find any strong association between market orientation and business performance in the Nigerian context using the food and beverages organisations for the study. The reasons underlying the weak relationship between market orientation and business performance of the Food and Beverages organisations is government policies, new product development, diversification, innovation and devaluation of the Nigerian currency. One important finding of this study is that market orientation leads to business performance through some moderating variables. Implications: The study recommends that Nigerian Government should ensure a stable economy and make economic policies that will enhance existing business development in the country. Also, organisations should have performance measurement systems to detect the impact of investment on market orientation with the aim of knowing how the organisation works. Originality/Value: This study significantly refines the body of knowledge concerning the impact of market orientation on the performance of the organisation, and thereby offers a model of market orientation and business performance in the Nigerian context for marketing scholars and practitioners. This model will, no doubt, contribute to the body of existing literature of market orientation