Abstract
Today’s organizations need market orientation practices to strive and generate superior performance and competitive advantage in the modern turbulent marketplace. Thus, this research inspects the respective links between the dimensions of (a) competitor orientation and (b) customer orientation and performance in the context of hotels in Malaysia. Data were gathered through self-administrated mail questionnaires directed to the top- and middle-level managers of three- to five-star-rated hotels in Malaysia. The findings indicated that hotels in Malaysia practiced competitor orientation and customer orientation as their core marketing strategy. Specifically, both competitor orientation and customer orientation positively linked to organizational performance. Few studies have investigated the practices and effects of market orientation on performance in the Malaysian hotel setting. Therefore, this study provided new insights into the understanding of market orientation practices in the hotel industry, particularly in Malaysia. In addition, the significance of this study, potential limitations, and future examination directions are highlighted.
Highlights
In today’s highly competitive global market, top managers strive to improve their organizational effectiveness through execution of organizational strategies or capabilities that are linked to better performance (Okumus, 2003)
The findings show that both competitor orientation and customer orientation have a positive link with performance, with B = 0.645, p < .01 and B = 0.665, p < .01, respectively
This matches with prior findings that proposed that customer orientation appears to be the main element for reaching competitive advantage in the service industry (Zhou et al, 2009)
Summary
In today’s highly competitive global market, top managers strive to improve their organizational effectiveness through execution of organizational strategies or capabilities that are linked to better performance (Okumus, 2003). Market orientation is considered as a marketing concept as well as a management strategy (Mokhtar, Yusoff, & Ahmad, 2014; Ramayah, Samat, & Lo, 2011). Numerous scholars, practitioners, and researchers have acknowledged that market orientation assists in developing marketing knowledge, superior performance, and competitive advantage (Ellis, 2006; Kirca, Jayachandran, & Bearden, 2005). According to Julian, Mohamad, Ahmed, and Sefnedi (2014), market orientation could be considered as a predominant marketing strategy that can improve organizational performance
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