The Relationship Among Market Orientation, Market Turbulance And Performance

The most important factor of success of a business is to develop and maintaim sustainable competitive advantages, while the the key to competitive advantages is to continuously create and deliver value for customers. Marketing literature has evidenced that one of the most important antecedents of creating and delivering customer value is adoption of market orientation (Kohli and Jaworski 1990; Narver and Slater 1990; Ruekert 1992; Gray, Matear et al. 2002). The research based on the western context has got a relative consisted conclusion, that is,the market orientation has a posive effect on the firm performace. However, due to the differences between countries and disparity in culture, market environments, and economic development stages, market orientation shows different effect on firm performance. Furthmore The moderating effect on the relationship between market orientation and firm performace should be validated.The analisis model comprised of three constructs.The first part is market orientation. In the base of the Gray, Matear, et al scale, this construct concludes four dimensions, that is customer orention, competive orientation, interfunctional coordination, and profit emphasis based on customers. The second part is firm performance.This construc comprised of fiscal performance and marketing performance. The third part is market environment. This construct consist of market turbulence and technological turbulence.The objects of this datathesis is to validate the relations between market orientation and its dimensions and firm performance; to validate the relations between market orientation and ite dimensions and fiscal performance;to validate the relations between the market orientaton and its dimensions and marketing performance.to validate the moderating effect of market turbulence and technological turbulence on the relations between market oriention and its dimensions and firm performance.The main conclusions of this study included:First, market orientation has positive impact on firm business performance.tenological turbulence has a negative on the relations between market orientation and business performace, while the market turbulence's effect is not significance. Customer orientation, competitor orientation, and profit emphase has a positive effect on business performance, inerfuctonal coordination's impact is not significance. The research demonstrated that martet environment does not has significance impact on the relations between four dimensions of market orientation and business performance.Second, market orientation has positive impact on fiscal performance. Competiver oriention and profic empasis'gain partial surported. Customer orientation and interfunctonal coordination has not significant impact on fiscal performance. Market turbulence has a positive moderating effect on the relations between interfunctioal coordination and fiscal, while technological turbulence has a negative morderating effct on relations between competitor orientation and fiscal performance.Third, market orientation has a positive impact on marketing performance. Technological turbulence has a negative morderating effect on the relaion between market orientation and marketing performance. Customer orientation, nerfuctional coordination and competitor orientation has positive impact on marketing performance, while profit emphasis's influence is not significant.Fourth, market orientation has more impact on marketing performance than fiscal performance.Although our research has therietical and managerial implications,there still exist many shortcoming: the insufficient of sample size. The sample size is 485, compared with the the whole nation, the sample size is not sufficient. The problem of measured scale.our research applied Gray, Matear, et al (1998, 2002)scale, in the Chinese context,there may be some problems.for example,the responsiveness to customer is not pass the reliability test.the morderating effect test may be uncorrect.we know that the market turbulence must has an impact on business performance, but which not pass the statistical test in our study.the environment that the market orientation is applied is not idientified.we should give more insight into this aspect.Finally, we proposed some suggestions for future research:First, enlarge investigation scope and increase sample size a,so that our study can present the polulation well. The status in the china context is complexity, doing so is necessary.Second, develop a better scale of market orientation in china. Although we can use scale in western country, but there are many difference in culture, development stage etc, so we should develop a better scale of market orientationin it will help us to understand market orientation for Chinese company better.Third ,we should extend our research to the fit among market orientation, stategy and other variables.the market orientation has a posive impact on the business performance ,but its influence level is not the same dut to different enviromnet and stategy,so we shoule find a appropriate fie amont thest variables.Forth, strength the research of the relations between the dimensions of market orientation and other variables.every dimensions of market orientation has different impact on the performance, identifying its influence can help us to examine the effect facors among thest dimensions.