Search results

Building upon the firm market orientation theories, this study aims to examine the individual and synergistic effects of the firm inside-out and outside-in marketing capability on its incremental and radical product innovation outcomes.

By collecting cross-sectional data from 203 manufacturing firms in Pakistan, confirmatory factor analysis in AMOS and hierarchical multiple regression analysis in SPSS are performed to validate the study measurement models and test the hypothesized relationships, respectively.

The findings of this study suggest both inside-out and outside-in marketing capability critical for incremental and radical product innovation. Specifically, inside-out marketing capability is found positively associated with incremental product innovation and non-linearly (inverted U-shaped) associated with radical product innovation. Conversely, outside-in marketing capability is found positively associated with radical product innovation but non-linearly (inverted U-shaped) associated with incremental product innovation. However, the results indorse that developing synergy between the inside-out and outside-in marketing capability positively impacts both incremental and radical product innovation.

Drawing from the firm inside-out and outside-in market orientation theories, the study extends the existing research on product innovation outcomes from the marketing capabilities perspective. Previous literature highly recognized the value of the firm market orientation and being market-driven in market-based product innovations. However, there was a lack of understanding of how the firm marketing capabilities facilitate incremental and radical product innovation. This study provides a novel understanding of the firm inside-out and outside-in marketing capability role in inducing incremental and radical product innovation which enrich and extend the current literature on firm capabilities and product innovations from a marketing perspective.

The purpose of the study is to develop, measure and empirically validate marketing capabilities (MARKCAPB) scale in banking sector.

Data are collected from a branch manager and three next senior managers of 144 branches of 21 public and 7 private banks operating in Jammu city, North India.

The study finds that marketing capabilities are of multi-dimensional scale, comprising three dimensions – outside-in, inside-out and spanning. Further, the study results demonstrate that all three dimensions are significantly related to marketing capabilities; with outside-in capabilities to be most strongly associated with marketing capabilities development followed by inside-out and spanning dimensions.

The study focused on only operational perspective of marketing capabilities to develop a reliable and valid measurement scale. Hence, developing marketing capabilities scale from remaining three perspectives – intellectual capital, marketing mix and competition would prove to be an interesting line of future research. Second, as marketing capabilities scale is developed and tested in banks, that too, in a single city of a country (India), it becomes important to examine whether the same scale can be applied to different sectors and countries. Moreover, future research could be carried on at identifying various antecedents that facilitate the development of marketing capabilities.

This is the first study of this type that contributes to the development of multi-dimensional scale of marketing capabilities in banking sector in Indian context. The study provides banks’ managers with the deeper understanding of how to develop and establish marketing capabilities in an organisation. Besides, it also put light on the significant role of outside-in, inside-out and spanning capabilities that facilitate the managers in enhancing financial performance by focusing on varied sub dimensions such as relationship, regularity, communication (outside-in), Web technology and employee bonding (inside-out), advertising, pricing and product/service skills (spanning).

This study aims to build a theoretical model including intermediate-level outside-in marketing capabilities (ILOIMC), radical and incremental technological innovations and management innovation.

This research used 272 pairs of survey questionnaires from Chinese firms’ managers to examine the hypotheses.

The results indicate that ILOIMC enhance management innovation by stimulating radical technological innovation. Furthermore, the mediating effect of incremental technological innovation depends on technological turbulence.

This study may have several limitations which future research could try to overcome: cross-sectional data, Chinese samples, exclusive focus on ILOIMC, sociotechnical approach to innovation typology and measuring ILOIMC as a first-order variable.

ILOIMC can significantly improve innovations in technology and management systems by using customer value and market information.

This study proposes a new taxonomy to classify marketing capabilities into lower-level inside-out marketing capabilities, ILOIMC and higher-level outside-in marketing capabilities. It also provides an explicit discussion and examination of the influence of ILOIMC on technological and management innovations and the contingency effect of technological turbulence. Thus, it responds to Musarra and Morgan’s (2020) call for more research into the mechanism that explains when (the conditions under which) and how (the process by which) outside-in marketing capabilities could contribute to firm innovation.

This study aims to offer and validate an integrated marketing capability-product innovations framework. Particularly, it aims to examine the role of adaptive marketing capability in enabling market ambidexterity and incremental as well as radical product innovation. Also it intends to investigate the moderating role of transformational leadership between adaptive marketing capability and market ambidexterity.

Manufacturing firms in Pakistan, an emerging economy, are taken as the context for this study. A designed survey questionnaire is used for data collection. Partial least square technique is employed to empirically validate and test the hypothesized model with a sample of 192 manufacturing firms. Particularly, the two-stage approach in SmartPLS is used to validate measurement models, and structural equation modeling technique is used to test the proposed hypothesis.

The findings not only confirm that adaptive marketing capability is instrumental to both incremental and radical product innovations but also reveal that adaptive marketing capability serves an important antecedent to market ambidexterity shedding new lights on its mediating role in the relationship of adaptive marketing capability with incremental and radical product innovations. Moreover, the results find that the effectiveness of adaptive marketing capability to support market ambidexterity may involve a possible trade-off between exploitation and exploration when the leaders exhibit a low or high level of transformational leadership behavior.

This study contributes to outside-in strategic perspective and contextual ambidexterity literature by revealing the role of adaptive marketing capability as an important enabler of market ambidexterity which, in turn, allows the firm to simultaneously introduce incremental and radical product innovations. In this way, this study advances the current understanding of the antecedents and consequences of contextual ambidexterity. Also, this study provides insight into the types of capabilities needed for the firm's contextual and employees' behavioral adaptation to simultaneously manage exploitation and exploration within the same business unit which was lacking in the previous literature. Further, this study also offers a novel understanding of the conditional role of transformational leadership between adaptive marketing capability and market ambidexterity.

Proposes that firms of different Miles and Snow strategic types will have different bundles of firm‐level capabilities; that is, certain capabilities will be more important to certain strategic types. Specifically, proposes that prospectors have greater relative inside‐out capabilities and information technology capabilities, while defenders have greater relative outside‐in capabilities and marketing capabilities. Empirically tests, and finds support for, the propositions using a data set of 245 Chinese firms, comprised mostly of state‐owned enterprises. Understanding the Chinese business environment is of importance to businesses around the world as the Chinese economy undergoes rapid expansion and decentralization of strategic decision making to the level of the state‐owned enterprise. As the central government takes on a lesser role in the management of enterprises, and Chinese enterprise managers become more responsible for their own strategic decision making, a clear understanding of the enterprise's specific capabilities and advantages is required in order to achieve sustained competitive advantage. Concludes by discussing managerial implications.

This paper aims to explore how manufacturing firms pursue business model innovation (BMI) through their use of outside-in thinking.

Survey data were collected on 175 Chinese manufacturing firms. A regression model was used to verify the research results.

Manufacturing firms rely on outside-in thinking to develop BMI under different market and institutional environments. From a whole-value-chain perspective, interacting with customers and sharing information with suppliers are two key ways to develop BMI.

Firms focus on customer needs, sense the dynamics of external markets and technology and seize market opportunities to measure outside-in thinking. Empirical results suggest using other measures of outside-in thinking. BMI itself can be multidimensional, so scholars could consider BMI’s diverse dimensions and measurements, which may demand different kinds of outside-in thinking.

Manufacturing firms can use outside-in thinking to overcome inertia and rigidity and increase their knowledge, information and technology. Managers should develop outside-in thinking to respond quickly to emerging economies. Managers should use value chain collaboration and improve the firm’s capacity to interact with customers and suppliers to apply the benefits of outside-in thinking to their BMI.

The study explores how outside-in thinking is a key driver of BMI. Applying the whole-value-chain view, it finds that interacting with customers and suppliers connects outside-in thinking with BMI. It also highlights the effects of intense market competition and volatile government regulation on BMI.

Firm’s operating contexts and asymmetric perspectives of success versus failure outcomes are two essential features typically absent in research on firms’ implemented strategies. The study here describes and provides examples of formal case-based models (i.e., constructing algorithms) of firms implemented strategies within several of 81 potential context (task environments) configurations – large vs small, service vs production orientation, low vs high competitive intensity, low vs high technological turbulence, and ambiguous settings for each. The study applies the tenets of complexity theory (e.g., equifinality, causal asymmetry, and single causal insufficiency). The study proposes a meso-theory and empirical testing position for solving “the crucial problem in strategic management” (Powell, Lovallo, & Fox, 2011, p. 1370) – firm heterogeneity – why firms adopt different strategies and structures, why heterogeneity persists, and why competitors perform differently. A workable solution is to identify/describe implemented executive capability strategies that identify firms in alternative specific task environments which are consistently accurate in predicting success (or failure) of all firms for specific implemented capabilities/context configuration. The study shows how researchers can perform “statistical sameness testing” and avoid the telling weaknesses and “corrupt practices” of symmetric tests such as multiple regression analysis (Hubbard, 2015) including null hypothesis significance testing. The study includes testing the research issues using survey responses of 405 CEO and chief marketing officers in 405 Hungarian firms. The study describes algorithms indicating success cases (firms) as well as failure cases via deductive, inductive, and abductive fuzzy-set logic of capabilities in context solutions.

The resource-based view (RBV) emphasises the importance of resources for firm performance. However, recent research argues that the focus on firm performance should also be based on inside-out (IO) and outside-in (OI) capabilities. Specifically, we study the importance of resources on product development (an IO) and market driving (an OI) entrepreneurial marketing capabilities on entrepreneurial firm performance in an emerging market. The study further investigates the moderating effects of marketing agility on the relationship between resources and capabilities.

The study is based on survey data of a multi-industry sample of 102 entrepreneurial firms in Pakistan.

The results show that marketing agility moderates the relationship between resource-mix flexibility on product development and market driving capabilities, but it only positively moderates the relationship between resource-mix inimitability and product development capability. Marketing driving and product development capabilities play a role as parallel mediators between resources and firm performance.

The study lies at the intersection of marketing and entrepreneurship literature by (1) providing a nuanced understanding of marketing agility as a boundary spanning factor for IO and OI entrepreneurial marketing capabilities; (2) integrating the resource types and product development from IO and market-driving from OI capabilities perspectives; (3) identifying the effects of IO and OI on firm performance providing guidance for entrepreneurs seeking improved firm performance.

Drawing on the resource-based view, dynamic capabilities and exploration literatures, the purpose of this paper is to simultaneously investigate the impact of outside-in (OI) and inside-out (IO) strategic approaches on international strategic performance.

A survey-based quantitative study was used. The final sample consisted of 202 internationally active SBUs of Israeli firms. Data were analyzed using structural equation modelling.

OI approach to strategy enhances international performance more than IO does. OI is antecedent of exploratory marketing capabilities (MCs), while IO is antecedent of exploratory technological capabilities (TCs). The direct positive effect of exploratory MCs on performance is twice as strong as exploratory TCs are. Additionally, exploratory MCs positively impact performance through product adaptation.

To enhance international performance, managers should devote attention to an OI approach by incorporating a market orientation with responsive flexibility. Managers should be aware that exploratory MCs are more important in an international context than exploratory TCs are. Stakeholders such as venture capitalists can use the OI–IO model to predict which international venture is more promising.

This paper contributes to the international marketing field by shedding light on the OI–IO debate, its transformation into exploratory capabilities and how it relates to the standardization–adaptation debate. New and broad OI–IO’s conceptualizations are developed and new viewpoints for understanding how international marketing should work and what motivates firms to adapt are offered. Overall, an OI–IO typology helps to bring order to an otherwise confusing conceptual landscape.

This study aims to conduct a thorough literature review to map current studies on international marketing capabilities (IMCs) applying dynamic capabilities view (DCV). The aim of this study is to increase the chances for more conceptual and terminological rigor in future research in this particular research area.

This is a systematic literature review following the established review process of reviews in leading (international) marketing journals. A multilevel analytical approach was adopted, combining inductive coding with deductive coding and following the logic of antecedents-phenomena-consequences.

Synthesis of 20 rigorously selected previous empirical studies on IMCs applying DCV reveals that academic interest in these capabilities is well justified and growing and there are some well researched antecedents to focal capabilities (e.g. inter-organizational capabilities, outside-in market orientation) as well as their prevalent consequences (e.g. export and innovation performance). There is little knowledge of moderators to these links, especially with regard to consequences. This review illustrates that the current research lacks consistency in how key constructs are defined and measured, provides the guide to future conceptualization and measurement of so-called International Dynamic Marketing Capabilities (IDMCs) and proposes some concrete research directions.

The authors extend prior research in the investigated topic by critically evaluating prior works, providing improved conceptualization of IDMCs as well as concrete research agenda for IDMCs structured along recommendations for Theory, Context and Methods (TCM framework).