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Questions and Answers
What is market orientation primarily concerned with?
What is market orientation primarily concerned with?
What is the primary purpose of market intelligence generation in an organisation?
What is the primary purpose of market intelligence generation in an organisation?
In which type of markets is a higher level of market orientation required?
In which type of markets is a higher level of market orientation required?
What is a limitation of the market orientation approach?
What is a limitation of the market orientation approach?
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What is the optimal level of market orientation according to Cadogan?
What is the optimal level of market orientation according to Cadogan?
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When can companies afford to have less market orientation?
When can companies afford to have less market orientation?
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In a turbulent market, what is the likely impact on market orientation?
In a turbulent market, what is the likely impact on market orientation?
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What is the purpose of vigilant market learning?
What is the purpose of vigilant market learning?
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Why do companies need to find the right dose of market orientation?
Why do companies need to find the right dose of market orientation?
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What is the primary benefit of adaptive market experimentation?
What is the primary benefit of adaptive market experimentation?
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What is a limitation of the market orientation approach, as mentioned in The Innovator’s Dilemma?
What is a limitation of the market orientation approach, as mentioned in The Innovator’s Dilemma?
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What is the role of open marketing in market orientation?
What is the role of open marketing in market orientation?
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What is the primary purpose of understanding customer needs?
What is the primary purpose of understanding customer needs?
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When is it likely that companies can afford to have less market orientation?
When is it likely that companies can afford to have less market orientation?
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What is the likely outcome of combining market orientation with entrepreneurship, innovativeness, and organisational learning?
What is the likely outcome of combining market orientation with entrepreneurship, innovativeness, and organisational learning?
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What is the concept of value primarily concerned with?
What is the concept of value primarily concerned with?
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What is the primary goal of relationship marketing?
What is the primary goal of relationship marketing?
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What is the primary focus of market orientation?
What is the primary focus of market orientation?
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What is a key aspect of organisational responsiveness?
What is a key aspect of organisational responsiveness?
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What is the purpose of performance evaluation in a market-oriented organisation?
What is the purpose of performance evaluation in a market-oriented organisation?
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What is a key aspect of customer needs analysis?
What is a key aspect of customer needs analysis?
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What is the primary goal of response design in a market-oriented organisation?
What is the primary goal of response design in a market-oriented organisation?
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What is the primary focus of market intelligence generation in an organisation?
What is the primary focus of market intelligence generation in an organisation?
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What is response design in the context of market orientation?
What is response design in the context of market orientation?
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What can hinder the generation and dissemination of market intelligence in an organisation?
What can hinder the generation and dissemination of market intelligence in an organisation?
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How does an organisation's response to customer needs affect its performance?
How does an organisation's response to customer needs affect its performance?
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What is the primary goal of analysing customer needs in an organisation?
What is the primary goal of analysing customer needs in an organisation?
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How does an organisation's performance evaluation system affect its market orientation?
How does an organisation's performance evaluation system affect its market orientation?
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What is the outcome of organisational responsiveness to customer needs?
What is the outcome of organisational responsiveness to customer needs?
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What can lead to information hoarding and barriers to information dissemination in an organisation?
What can lead to information hoarding and barriers to information dissemination in an organisation?
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Study Notes
Market Orientation
- Recognizes current and future customer needs, acquires knowledge about competitors, disseminates information across departments, and responds to the organization based on this information
- A business culture that creates the behaviors necessary to offer superior value to customers
- Indicates superior skills in understanding and satisfying customers
Implementing Market Orientation
- Organisation-wide generation of market intelligence
- Dissemination of the intelligence
- Organisation-wide responsiveness
Relationship between Market Orientation and Performance
- Needed more in turbulent markets
- Needed more in competitive markets
- Needed more when working with established technologies to compete
- Less needed when working with new, rapidly changing technologies
- Companies should find the right dose of MO, not maximize it (Cadogan)
Criticisms of Market Orientation
- Does not allow firms to understand latent or future needs, thus missing the source of innovation
- Only focuses on expressed needs, limiting innovation
Criticisms of Market Orientation (MO)
- MO approach has limitations, as it only considers expressed needs, missing latent or future needs, which are often the source of innovation.
- Leading US firms have lost industry leadership due to relying too heavily on customer feedback, which can restrict strategic moves.
Market Orientation Explained
- MO is defined as:
- Organisation-wide generation of market intelligence on current and future customer needs
- Dissemination of intelligence across departments
- Organisation-wide responsiveness to it
- MO consists of response design (planning) and response execution (implementation)
Antecedents and Consequences of MO
- MO has been linked to financial, market growth, and innovation performance
- Antecedents and consequences of MO have been established in various contexts
Organisational Factors Affecting MO
- Top-down signals, risk-taking, and a 'safe' environment can foster MO
- Tension, conflicts, and information hoarding can hinder MO
- Formalization and centralization can hinder intelligence generation and dissemination, but aid execution
- Performance evaluation and reward systems within organisations can impact MO
The Impact of MO
- MO's impact varies in different markets, with more MO needed in turbulent or competitive markets
- MO is more important in established technologies, but less so in new, rapidly changing technologies
Links between MO and Performance
- The link between MO and performance is stronger when combined with entrepreneurship, innovativeness, and organisational learning
- Companies should not maximize MO, but find the right balance
- MO can be achieved through vigilant market learning, adaptive market experimentation, and open marketing
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Description
This quiz covers the concept of market orientation, including recognizing customer needs, acquiring knowledge about competitors, and disseminating information across departments. It also explores the implementation of market orientation in an organization.
