Effects of industry forces, market orientation, and marketing capabilities on business performance: An empirical analysis of Japanese manufacturers from 2009 to 2011

Research output: Contribution to journalArticle

11 Citations (Scopus)

Abstract

This study examines the stability and relative importance of the effects of industry forces, market orientation, and marketing capabilities on business performance through partial least squares structural equation modeling (PLS-SEM) analysis of survey data (n = 568) from Japanese manufacturers over the course of three years (2009–2011). The findings indicate that the direct effect of marketing capabilities on performance is stable over the three years investigated. The results also suggest that marketing capabilities are the most important driver of performance, followed by industry forces, specifically, competitive rivalry and power of suppliers, and market orientation. Furthermore, market orientation has an indirect effect on performance through marketing capabilities. Marketing capabilities have a stronger effect on performance in cases of high competitive rivalry compared with those of low competitive rivalry. Within the different marketing capabilities, new product development and pricing are the primary factors. Channel management is more important in cases of high competitive rivalry.

Original languageEnglish
Pages (from-to)5611-5619
Number of pages9
JournalJournal of Business Research
Volume69
Issue number12
DOIs
Publication statusPublished - 2016 Dec 1

Fingerprint

Marketing capabilities
Market orientation
Empirical analysis
Business performance
Industry
Competitive rivalry
Structural equation modeling
Survey data
Factors
Direct effect
Indirect effects
Partial least squares
Suppliers
Relative importance
Channel management
Product pricing
New product development

Keywords

  • Business performance
  • Industry forces
  • Market orientation
  • Marketing capabilities
  • PLS-SEM

ASJC Scopus subject areas

  • Marketing

Cite this

@article{fa36a010a0b24883969d2c6bf6b84ba1,
title = "Effects of industry forces, market orientation, and marketing capabilities on business performance: An empirical analysis of Japanese manufacturers from 2009 to 2011",
abstract = "This study examines the stability and relative importance of the effects of industry forces, market orientation, and marketing capabilities on business performance through partial least squares structural equation modeling (PLS-SEM) analysis of survey data (n = 568) from Japanese manufacturers over the course of three years (2009–2011). The findings indicate that the direct effect of marketing capabilities on performance is stable over the three years investigated. The results also suggest that marketing capabilities are the most important driver of performance, followed by industry forces, specifically, competitive rivalry and power of suppliers, and market orientation. Furthermore, market orientation has an indirect effect on performance through marketing capabilities. Marketing capabilities have a stronger effect on performance in cases of high competitive rivalry compared with those of low competitive rivalry. Within the different marketing capabilities, new product development and pricing are the primary factors. Channel management is more important in cases of high competitive rivalry.",
keywords = "Business performance, Industry forces, Market orientation, Marketing capabilities, PLS-SEM",
author = "Hidesuke Takata",
year = "2016",
month = "12",
day = "1",
doi = "10.1016/j.jbusres.2016.03.068",
language = "English",
volume = "69",
pages = "5611--5619",
journal = "Journal of Business Research",
issn = "0148-2963",
publisher = "Elsevier Inc.",
number = "12",

}

TY - JOUR

T1 - Effects of industry forces, market orientation, and marketing capabilities on business performance

T2 - An empirical analysis of Japanese manufacturers from 2009 to 2011

AU - Takata, Hidesuke

PY - 2016/12/1

Y1 - 2016/12/1

N2 - This study examines the stability and relative importance of the effects of industry forces, market orientation, and marketing capabilities on business performance through partial least squares structural equation modeling (PLS-SEM) analysis of survey data (n = 568) from Japanese manufacturers over the course of three years (2009–2011). The findings indicate that the direct effect of marketing capabilities on performance is stable over the three years investigated. The results also suggest that marketing capabilities are the most important driver of performance, followed by industry forces, specifically, competitive rivalry and power of suppliers, and market orientation. Furthermore, market orientation has an indirect effect on performance through marketing capabilities. Marketing capabilities have a stronger effect on performance in cases of high competitive rivalry compared with those of low competitive rivalry. Within the different marketing capabilities, new product development and pricing are the primary factors. Channel management is more important in cases of high competitive rivalry.

AB - This study examines the stability and relative importance of the effects of industry forces, market orientation, and marketing capabilities on business performance through partial least squares structural equation modeling (PLS-SEM) analysis of survey data (n = 568) from Japanese manufacturers over the course of three years (2009–2011). The findings indicate that the direct effect of marketing capabilities on performance is stable over the three years investigated. The results also suggest that marketing capabilities are the most important driver of performance, followed by industry forces, specifically, competitive rivalry and power of suppliers, and market orientation. Furthermore, market orientation has an indirect effect on performance through marketing capabilities. Marketing capabilities have a stronger effect on performance in cases of high competitive rivalry compared with those of low competitive rivalry. Within the different marketing capabilities, new product development and pricing are the primary factors. Channel management is more important in cases of high competitive rivalry.

KW - Business performance

KW - Industry forces

KW - Market orientation

KW - Marketing capabilities

KW - PLS-SEM

UR - http://www.scopus.com/inward/record.url?scp=84989816042&partnerID=8YFLogxK

UR - http://www.scopus.com/inward/citedby.url?scp=84989816042&partnerID=8YFLogxK

U2 - 10.1016/j.jbusres.2016.03.068

DO - 10.1016/j.jbusres.2016.03.068

M3 - Article

AN - SCOPUS:84989816042

VL - 69

SP - 5611

EP - 5619

JO - Journal of Business Research

JF - Journal of Business Research

SN - 0148-2963

IS - 12

ER -