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Article
Publication date: 1 April 2003

Jay Weerawardena

It has been argued that a firm's capacity to learn from its market is a source of both innovation and competitive advantage. However, past research has failed to…

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6180

Abstract

It has been argued that a firm's capacity to learn from its market is a source of both innovation and competitive advantage. However, past research has failed to conceptualize market‐focused learning activity as a capability having the potential to contribute to competitive advantage. Prior innovation research has been biased toward technological innovation. However, there is evidence to suggest that both technological and non‐technological innovations contribute to competitive advantage reflecting the need for a broader conceptualization of the innovation construct. Past research has also overlooked the critical role of entrepreneurship in the capability building process. Competitive advantage has been predominantly measured in terms of financial indicators of performance. In general, the literature reflects the need for comprehensive measures of organizational innovation and competitive advantage. This paper examines the role of market‐focused learning capability in organizational innovation‐based competitive strategy. The paper contributes to the strategic marketing theory by developing and refining measures of entrepreneurship, market‐focused learning capability, organizational innovation and sustained competitive advantage, testing relationships among these constructs.

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European Journal of Marketing, vol. 37 no. 3/4
Type: Research Article
ISSN: 0309-0566

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Article
Publication date: 5 May 2015

Yusif Baba

Many changes taking place in the nonprofit sector have created an environment in which organizational learning could be regarded as representing a high-profile notion with…

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1094

Abstract

Purpose

Many changes taking place in the nonprofit sector have created an environment in which organizational learning could be regarded as representing a high-profile notion with strategic importance for nonprofit organizations (NPOs), but its application in the nonprofit sector has not received adequate research attention. The purpose of this paper is to present an empirical test of the relationship between learning orientation and NPO performance.

Design/methodology/approach

Literature on organizational learning is briefly reviewed and a marketing-focussed perspective on learning is adopted. Then drawing from resource-based theory and relationship marketing, a conceptual model is developed that links learning orientation to NPO performance, predicting that noneconomic performance would mediate between learning orientation and economic performance. Using Baron and Kenny’s mediation regression procedure, this prediction is subjected to an empirical test with survey data collected on 118 NPOs operating in Ghana.

Findings

The paper finds a general support for the view that noneconomic performance is the primary organizational feature that drives economic performance and that learning orientation is an outgrowth of this characteristic.

Originality/value

This study addresses the important question of whether paying attention to their mission helps NPOs acquire critical resources from their funding entities, discussing this issue in the context of organizational learning to respond to RBT scholars’ call for more research that highlight the underlying processes through which strategic resources (such as organizational learning) contribute to the organization’s financial outcomes.

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Leadership & Organization Development Journal, vol. 36 no. 3
Type: Research Article
ISSN: 0143-7739

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Article
Publication date: 8 February 2019

Babak Taheri, Umit Bititci, Martin Joseph Gannon and Renzo Cordina

This study aims to examine how comprehensive performance measurement systems (CPMS) influence entrepreneurial orientation, market-focussed learning (MFL) and employees…

Abstract

Purpose

This study aims to examine how comprehensive performance measurement systems (CPMS) influence entrepreneurial orientation, market-focussed learning (MFL) and employees’ perceptions of firm performance within a service-provision context. It also considers the moderating effect of low and high levels of perceived market-turbulence (low-turbulence environments [LMT] vs highly turbulent environments [HMT]) on the relationships between these concepts.

Design/methodology/approach

PLS-SEM was used to test the hypothesised relationships using survey responses from 198 employees of a leading multi-branch travel agency in Iran.

Findings

The findings demonstrate that CPMS positively influence MFL and, in doing so, have a positive effect on perceptions of firm performance. However, the findings also suggest that CPMS negatively influence entrepreneurial orientation, and therefore can also negatively influence perceptions of firm performance. Further, the relationships between CPMS, entrepreneurial orientation, MFL and firm performance are stronger for HMT when compared to LMT for all relationships.

Practical implications

Industry managers should adapt their CPMS to include measures specific to intra-organisational entrepreneurship and innovation and should pursue greater understanding of changing customer preferences.

Originality/value

This study highlights the importance of MFL as a means of avoiding the negative impact of underdeveloped market research on performance in the turbulent Iranian context. Contrary to previous literature, it provides an example of how CPMS can negatively influence entrepreneurial orientation in such environments.

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International Journal of Contemporary Hospitality Management, vol. 31 no. 3
Type: Research Article
ISSN: 0959-6119

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Article
Publication date: 2 September 2014

Itzhak Gnizy, William E. Baker and Amir Grinstein

Although small and medium sized enterprises (SMEs) account for a significant portion of international trade, little is known about the role of strategic orientation…

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3825

Abstract

Purpose

Although small and medium sized enterprises (SMEs) account for a significant portion of international trade, little is known about the role of strategic orientation culture in improving their foreign launch success. Three orientations – market, entrepreneurial, and learning are all related to organizational learning priorities and reflect a higher order dynamic capability (DC), proactive learning culture (PLC). The authors assert that PLC is particularly important to SMEs whose lack of market power and resources render them vulnerable in risky foreign market launch. Marketing program adaptation and local integration are examined as behavioral mediators of the impact of PLC on foreign market launch success. The paper aims to discuss these issues.

Design/methodology/approach

The DC framework guides the study. The authors employ a model with a higher order PLC, two mediating behaviors, and firm foreign market launch success to report on an empirical study of US SMEs that operate in foreign markets. The authors used hierarchical regression analysis and extensive post hoc analyses/robustness checks.

Findings

Consistent with the DC framework, SMEs’ foreign launch success is driven by higher and lower order behaviors. The impact of the higher order PLC construct was mediated by two lower order behaviors, marketing program adaptation and local integration. Notably, PLC's influence is stronger than the influence of any subset of its one/two/three first order components.

Practical implications

SMEs need to pay attention to an array of organizational learning processes that combine to engender a PLC, which help optimize the deployment of more tangible, lower order behaviors required for foreign launch success.

Originality/value

Introducing PLC as a DC that enables firms to proactively develop market-oriented, innovative capabilities using a knowledge-based approach. The elements of PLC reflect a more complete view of the role of learning in driving the assembly of lower order behaviors in foreign market launch, which requires both a market-oriented approach and the ability to innovate under conditions of uncertainty. While each element of PLC is valuable, the higher level impact of all three facilitates a more effective culture for those firms, which choose to enter new markets.

Details

International Marketing Review, vol. 31 no. 5
Type: Research Article
ISSN: 0265-1335

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Article
Publication date: 1 March 2002

Robert E. Spekman, Joseph Spear and John Kamauff

Supply chain management has received in recent years a great deal of attention by practitioners and academics alike. The benefits that accrue to firms that effectively…

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7004

Abstract

Supply chain management has received in recent years a great deal of attention by practitioners and academics alike. The benefits that accrue to firms that effectively manage their supply chain partners range from lower costs to higher return on investment (ROI), to higher returns to stockholders. Yet, effective management of one’s supply chain is not easily accomplished. In this paper, we develop this capability as a core skill that will ultimately separate the winners from the losers. We develop the concept of supply chain competence and use learning as a proxy. We explore the pre‐conditions for learning to emerge and the impact of learning on supply chain performance. A number of factors that affect partner‐like behavior also affect learning. Also, learning appears to have a positive impact on performance measures relating to end‐customer satisfaction and being a more market‐focused supply chain. Learning does not appear to affect supply chain performance related to cost.

Details

Supply Chain Management: An International Journal, vol. 7 no. 1
Type: Research Article
ISSN: 1359-8546

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Article
Publication date: 29 February 2020

Xiaoning Liang and Yuhui Gao

Driven by the growing pressure to justify the contributions of marketing activities, marketers have shown considerable interest in improving their marketing performance…

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1215

Abstract

Purpose

Driven by the growing pressure to justify the contributions of marketing activities, marketers have shown considerable interest in improving their marketing performance measurement systems (MPMSs). The purpose of this study is to examine the neglected mediating effect of marketing capabilities on the MPMS–firm performance relationship and to focus on specific aspects of MPMSs that have been largely omitted in the prior research, namely, the comprehensiveness and uses of MPMSs.

Design/methodology/approach

A survey was conducted with marketing and senior managers from 210 Irish-based companies. The proposed research model was tested by using the SPSS Process macro and structural equation modeling in AMOS 24.

Findings

The three characteristics of MPMSs influence firm performance in different manners: while the diagnostic use of MPMSs hinders the development of market-linking capability and thus negatively influences firm performance; the comprehensiveness of MPMSs positively influences firm performance through its impact on architectural marketing capability; and the interactive use of MPMSs via externally focused learning and market-linking capabilities.

Research limitations/implications

Although this study used objective firm performance data to validate subjective data, the use of single-informant and self-reported measures may still be a concern, as the strong relationships between variables may be because of single-informant bias.

Practical implications

This study provides insights into how companies can use a comprehensive MPMS to cultivate specific crucial marketing capabilities and thereby enhance firm performance.

Originality/value

This study contributes to the marketing performance measurement literature by proposing and empirically validating the mediating effect of marketing capabilities on the MPMS–firm performance relationship.

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Article
Publication date: 9 August 2011

Natasha Evers

Drawing on the dynamic capabilities perspective and the resource‐based view (RBV) of the firm, this paper seeks to further understanding of international new ventures…

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2813

Abstract

Purpose

Drawing on the dynamic capabilities perspective and the resource‐based view (RBV) of the firm, this paper seeks to further understanding of international new ventures (INVs) operating in a traditional low technology sector – an understudied context in international entrepreneurship.

Design/methodology/approach

Exploratory research merited qualitative research as the chosen methodology. Multiple case study design and critical incident technique were the main qualitative techniques employed.

Findings

The case entrepreneurs' objective and subjective capabilities emerge as a critical key resource for strategically managing and developing the dynamic capabilities of the firm in areas of research and development (R&D), logistics and production. The firms' capability to adapt and renew themselves through product diversification strategies was also critical for sustainable competitive advantage in a highly turbulent and competitive sector of seafood.

Research limitations/implications

The study is sector‐specific and, while the sample size is small, findings are consistent. The paper presents a conceptual research framework for exploring further dynamic capabilities theory across diverse empirical high and low‐tech industry contexts.

Practical implications

Low technology sectors are considered a “forgotten sector” of innovation policies in small‐developed economies. Findings from this study identify a number of important implications of relevance to policy‐makers and managers.

Originality/value

This study contributes to the knowledge and understanding of how INVs in traditionally low‐tech sectors develop competitive advantage on international markets. The study presents an entrepreneurial perspective to the dynamic capabilities theory of the firm and presents a conceptual research framework to further understanding on INVs.

Details

Journal of Small Business and Enterprise Development, vol. 18 no. 3
Type: Research Article
ISSN: 1462-6004

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Article
Publication date: 2 September 2013

Dennis Herhausen and Marcus Schögel

– This study aims to examine the direct and moderating effects of generative learning on customer performance.

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4761

Abstract

Purpose

This study aims to examine the direct and moderating effects of generative learning on customer performance.

Design/methodology/approach

The authors test the relationships between customer relationship management (CRM) capabilities, generative learning, customer performance, and financial performance with a cross industry survey of CEOs and senior marketing executives from 199 firms. Partial least squares are used to estimate the parameters of the resulting model.

Findings

The results reveal that generative learning affects customer performance directly. Moreover, the interaction of CRM capabilities and generative learning contributes to customer performance. This finding suggests that firms need a well-developed generative learning orientation to fully benefit from translating new insights resulting from CRM capabilities into establishing, maintaining, and enhancing long-term associations with customers, and vice versa.

Research limitations/implications

The main limitations are those that typically apply to cross-sectional surveys. Although several steps were taken to reduce the concern of key informant bias and common method variance, dependent and independent variables were collected from the same source at a single moment in time.

Practical implications

Ceteris paribus, an increase of generative learning orientation by one unit (seven-point scale) can command an increase of up to 7 percent of the average customer performance due to its direct and interaction effect. Because even small changes in customer performance have a strong impact on financial performance, this finding indicates a remarkable and substantial result for managers.

Originality/value

Though previous research provides evidence of the adaptive learning consequences of CRM, a review of the literature reveals a lack of studies that analyze the importance of generative learning orientation for successful CRM.

Details

Management Decision, vol. 51 no. 8
Type: Research Article
ISSN: 0025-1747

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Article
Publication date: 20 September 2018

Emilio Domínguez-Escrig, Francisco Fermín Mallén Broch, Rafael Lapiedra and Ricardo Chiva

The purpose of this paper is to provide empirical evidence of the relationship between end-user computing satisfaction (EUCS) and radical innovation, using organizational…

Abstract

Purpose

The purpose of this paper is to provide empirical evidence of the relationship between end-user computing satisfaction (EUCS) and radical innovation, using organizational learning as an explanatory variable.

Design/methodology/approach

An empirical study was conducted in a population of 402 Spanish companies. A sample of 251 valid questionnaires was obtained. Structural equations were used to validate the proposed hypotheses.

Findings

Organizational learning capability fully mediates the relationship between EUCS and radical innovation.

Research limitations/implications

The sample of companies is heterogeneous in terms of size, sector, age and market share. The study uses single informants.

Practical implications

Results highlight the need to implement adequate information systems to promote radical innovation. In addition, it is necessary to facilitate organizational contexts that encourage dialogue, experimentation, risk-taking, participative decision-making and openness to the external environment.

Originality/value

This research contributes to the study of alternative antecedents of radical innovation by highlighting the importance of EUCS.

Details

Industrial Management & Data Systems, vol. 118 no. 8
Type: Research Article
ISSN: 0263-5577

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Article
Publication date: 26 April 2011

Ilker Murat Ar and Birdogan Baki

The main purpose of this paper is to investigate the relationships between seven antecedent factors (R&D strategy, top management support (TMS), customer focus (CF)…

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4833

Abstract

Purpose

The main purpose of this paper is to investigate the relationships between seven antecedent factors (R&D strategy, top management support (TMS), customer focus (CF), organizational learning capability (OLC), creative capability (CC), organizational collaboration (OC), and supplier relationship (SR)), two innovation types (product and process), and firm performance (FP).

Design/methodology/approach

The paper formulates 16 hypotheses from the literature review. These hypotheses are tested using structural equation modeling with data collected from 270 managers of small and medium‐sized enterprises (SMEs) located in Turkish science and technology parks (STPs).

Findings

The findings indicate that both of product and process innovation have a strong and positive association with FP. While antecedents such as R&D strategy, TMS, CF, CC, and SR have significant impact on product innovation, other antecedents such as OLC and OC have a significant and positive impact on process innovation.

Practical implications

The results of this study could be used by any managers of SMEs located in STPs to improve successful innovation projects. The results also provide companies operating in Turkish STPs with useful information on how their policies and actions might affect firm innovation.

Originality/value

The paper provides a clarification of the reasons that may be behind a positive, a negative, or a non‐significant effect of the many antecedents on the product and process in SMEs located in Turkish STPs.

Details

European Journal of Innovation Management, vol. 14 no. 2
Type: Research Article
ISSN: 1460-1060

Keywords

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