The Mediation Effect of Female Customer Orientation on the Relationship between Womenomics and Product Sales

Abstract

Purpose The purpose of this paper is to investigate whether the expansion of female participation affects product sales and how female workers can enhance female customer orientation related to product sales. It sheds light on market orientation to comprehensively understand the impact of womenomics from the two perspectives of the labor force and consumers. Design/Methodology/Approach Using longitudinal data from the Korean Women Manager Panel Survey conducted by Korean Women’s Development Institute from 2016-2018, the study examined the effect of womenomics on product sales and the mediation effect of female customer orientation on the relationship. Findings Results indicate that a female CEO, the ratio of female directors, and the educational background of female employees did not positively affect product sales. Only the ratio of female full-time employees was positively associated with product sales. The level of identifying women’s needs and reflecting them in strategies fully mediated the relationship between the ratio of female full-time workers and product sales. Research Implications Increasing female employees may enhance female customer orientation by improving products/services or better fulfilling customer needs If such market orientation is not guaranteed, the effect of womenomics is limited. The findings contribute to establishing corporate cultures for gender equality and strategic management orientation.