Impact of market orientation, learning orientation, and supply chain integration on product innovation

Abstract

In this research, we have identified and tested important drivers of product innovation. Our study has analysed two important drivers: organisational orientation (learning and market) and SCI [supply chain integration η internal integration and external integration (supplier and customer)]. The study was conducted among 202 manufacturing companies in Malaysia. The structural model was tested using structural equation modelling (SEM). The key findings of our research are: 1) learning orientation and market orientation synergistically drive internal integration and customer integration; 2) internal integration drives external integration and product innovation; 3) customer integration drives supplier integration and product innovation; 4) internal integration mediates the relationship between organisational orientation and product innovation; 5) customer integration mediates the relationship between organisational orientation and product innovation. This research has been able to explain the process of product innovation by analysing the direct and indirect effects of market and learning orientations and SCI.