Market Orientation and Business Performance in the Spanish Insurance Sector

Abstract

Market Orientation (MO) has taken a central role in discussions about strategic management and marketing (Day, 1992). And yet despite its importance, MO has been the subject of few theoretical and empirical studies (Kohli and Jaworski, 1990).The empirical study reported in this paper focuses on the relationship between the degree of market orientation and the business performance of insurance companies in Spain. The results of the study indicate that there is empirical support for the existence of a positive and significant relationship between a company's economic performance and its degree of market orientation. As well as providing additional evidence, the results here reported constitute empirical support for, and an extension of, the concept of market orientation as given in the literature.