The influence of employee characteristics on market orientation

Abstract

This research‐based paper considers the application of market orientation in the context of the mortgage division of a large Dutch bank. Various definitions from the literature are considered in relation to market orientation. Antecedents to market orientation are highlighted as being senior management influences, interdepartmental dynamics and the organizational system. Customer, competitor and inter‐functional issues in particular are emphasised as being useful areas for investigation in relation to how market orientation affects an organization. Implications of market orientation are examined in relation to business performance, the micro‐market environment, leadership styles and employees. At an internal company level, inter‐departmental dynamics are considered in terms of conflict and connectedness. Research is then considered in the light of the above, and action‐based research is argued as being the most appropriate vehicle for data collection. The research base is drawn from members of the account management department, the sales support department and the acceptance department, as well as the autonomous marketing department within the mortgage division of the Dutch bank. It became quickly apparent that intelligence generation and its dissemination were virtually non‐existent and that the bank did not consider market orientation as a priority. A total of 22 members took part in the research project that involved four separate meetings over a period of six months as well as meetings during intervening periods. A consultant (the second named author) led group meetings in this action‐based research project and acted as the facilitator. Results of the research and subsequent application of its findings are reported. A significant observation was that the personal benefits of market orientation might not be the result of its application, but rather the result of interventions leading to market orientation.

Citation

Lancaster, G. and van der Velden, H. (2004), "The influence of employee characteristics on market orientation", International Journal of Bank Marketing, Vol. 22 No. 5, pp. 343-365. https://doi.org/10.1108/02652320410549656