Analyzing the Mediating Effect of Learning Orientation on the Relationship of Market Orientation and Company Performance in Times of Turbulence

Abstract

The marketing concept postulates that to achieve a competitive advantage firms should identify and satisfy customer needs more effectively than their competitors (Day 1994) and much of the extensive market orientation literature examines the extent to which firms adhere to this (Kohli et al. 1990, Narver et al. 1990). Much research has investigated the direct impact of market orientation on company performance and the majority of these studies indicate that market orientation is positively associated with company performance (Cano et al. 2004, Ellis 2006, Vieira 2010). Only few studies display negative or non-significant findings (Agarwal et al. 2003, Bhuian 1997, Sandvik et al. 2003). However, despite these relatively consistent, positive findings, there is little understanding of how market orientation should be deployed to achieve a competitive advantage (Han et al. 1998, Morgan et al. 2009).