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Market orientation, innovation commercialization capability and firm performance relationships: the moderating role of supply chain influence

Jeen-Su Lim (Department of Marketing and International Business, College of Business Administration, The University of Toledo, Toledo, Ohio, USA)
William K. Darley (Faculty of Economics and Administration, King Abdulaziz University, Jeddah, Saudi Arabia)
David Marion (College of Business, Ferris State University, Big Rapids, Michigan, USA)

Journal of Business & Industrial Marketing

ISSN: 0885-8624

Article publication date: 7 August 2017

Abstract

Purpose

The study aims to explore supply chain influence (SCI) on the linkages among market orientation, innovation capabilities and firm performance (FP), using the resource-based view as a theoretical backdrop.

Design

Survey data from 182 top managers who are involved in strategy formulation and innovative direction of their companies was collected and analyzed using moderated multiple regression analysis.

Findings

Results revealed a moderating role of the SCI in that the proactive market orientation (PMO) and FP relationship is stronger when SCI is high, and innovation commercialization capability (ICC) and FP relationship is stronger when SCI is low.

Practical implications

Firms pursuing high PMO strategy must collaborate with supply chain function to achieve the full effect of PMO. Additionally, as supply chain is critical to meeting customers’ needs, these firms should allow supply chain to exert greater influence to enjoy the positive effects of PMO in addition to ensuring full integration into marketing strategy implementation. Also, firms with high ICC need to limit SCI to maximize the benefit of ICC on FP, just as innovation management needs to be cognizant of other functional areas.

Originality/value

The study investigates the potential moderating role of SCI on the relationships among market orientation, ICC and FP. The study fills a gap in the understanding of the nature and role of supply chain in the marketing–supply chain interaction, and the impact on FP.

Keywords

Citation

Lim, J.-S., Darley, W.K. and Marion, D. (2017), "Market orientation, innovation commercialization capability and firm performance relationships: the moderating role of supply chain influence", Journal of Business & Industrial Marketing, Vol. 32 No. 7, pp. 913-924. https://doi.org/10.1108/JBIM-10-2016-0238

Publisher

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Emerald Publishing Limited

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