An Integrative Model of Market Orientation Constructs in Consumer Goods Industry - Research Paper Example

The paper "An Integrative Model of Market Orientation Constructs in Consumer Goods Industry" is a wonderful example of a Marketing Research Paper. This research work examines the issues relating to market orientation. Market orientation was initially defined, by Kohli and Jaworski as a combination of profitability, coordinated marketing, and customer focus. Subsequently, they altered it to describe the organization-wide generation of market intelligence; dissemination of this intelligence at the interdepartmental level; and the responsiveness of the organization, in its entirety, to such intelligence.

On the other hand, Cervera, Molla, and Sanchez have described several distinct theoretical perspectives regarding marketing orientation. These are the philosophical or cultural, market information processing, collective of orientations, and as a theory of capabilities and resources. Considerable debate has arisen, due to the inconsistencies inherent in these formulations of market orientation.

As a way out, Gounaris and Avlonitis proposed a holistic solution. Their solution was founded on the conjecture that market integration was an integration of a philosophical perspective. In other words, they proposed that market orientation was a culture that presumed the market to be the principal stakeholder. They also stated that market orientation was a behavioral perspective of the generation of customer value, via response to superordinate information regarding customers and competitors.

The extant literature on the measurement of market orientation tends to be vast. Scholars, like Cervera, Lafferty, Gray, and Esteban have made available summaries, in a tabular form, regarding the literature pertaining to market orientation. These scholars have also described the development of market orientation over the previous half-century and examined the principal perspectives underlying the several definitions of market orientation.

In the main, market orientation has been ascribed a definition that is based on cultural terms. Thus, Slater and Narver have described market orientation as a culture that accords the highest priority to the profitable creation and maintenance of superior customer value. Whilst doing so, it takes into account the interests of the other stakeholders and furnishes the standards of conduct relating to responsiveness and organizational development of market information.

In addition, market orientation has been defined by Slater and Narver as an organizational culture that results in the required conduct for generating superior value for customers. In addition, this process should be completed in a manner that is most efficient and effective.

History of Market Orientation

Contemporary marketing has been undergoing a slow transformation. A business perspective that rests solely upon maximizing profits with scant regard for the customer, tends to be regarded as undesirable. A need has been felt to concentrate upon the customer.

Shapiro, in the year 1988, defined several distinguishing features of market orientation. This marketing luminary defined a market-oriented company as an organization distinguished by the features described in the sequel. First, an organization, wherein, crucial information relating to the various factors that affect the market and customer buying process permeates every function and duty of the company.

Second, a market-oriented company is one, in which tactical and strategic decisions are taken between organization units and departments. Third, in such companies, a strong commitment is discernible with regard to implementing strategic and tactical decisions between departments and organization units.