IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v13y2021i12p6972-d579017.html
   My bibliography  Save this article

Employee’s Market Orientation Behavior and Firm’s Internal Marketing Mechanism: A Multilevel Perspective of Job Performance Theory

Author

Listed:
  • Eldon Y. Li

    (Department of Information Management, National Chung Cheng University, Chiayi 621301, Taiwan
    School of Economics and Management, Tongji University, Shanghai 201900, China)

  • Shu-Fen Ko

    (Department of Management Information Systems, National Chengchi University, Taipei 11605, Taiwan)

Abstract

The competition in today’s market is increasingly intensive. Employees’ market orientation behavior (MOB) is crucial for a firm to respond to market changes and attain its business performance goal. Moreover, a firm must exercise the internal marketing mechanism (IMM) to prepare employees for providing superior service to satisfy internal and external customers’ needs. This study aims to examine how the IMM works with knowledge integration (KI), relationship quality (RQ), relational bond (RB), and organizational citizenship behavior (OCB) to influence MOB. A total of 471 valid responses from employees of 47 banks were collected. The Hierarchical Linear Model is used to analyze the IMM’s effects (as the organizational-level variable) on MOB (as the outcome variables) and the relationships between the other variables (as the individual-level variables) and MOB. The results show that all predictor variables have significant and direct effects on MOB. The IMM’s moderating effects are significant when it interacts with OCB and RB, but not RQ. The negative interaction effect of IMM and OCB offers a caveat to corporate management in balancing OCB activities among the employees.

Suggested Citation

  • Eldon Y. Li & Shu-Fen Ko, 2021. "Employee’s Market Orientation Behavior and Firm’s Internal Marketing Mechanism: A Multilevel Perspective of Job Performance Theory," Sustainability, MDPI, vol. 13(12), pages 1-25, June.
  • Handle: RePEc:gam:jsusta:v:13:y:2021:i:12:p:6972-:d:579017
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/13/12/6972/pdf
    Download Restriction: no

    File URL: https://www.mdpi.com/2071-1050/13/12/6972/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Bruce Kogut & Udo Zander, 1992. "Knowledge of the Firm, Combinative Capabilities, and the Replication of Technology," Organization Science, INFORMS, vol. 3(3), pages 383-397, August.
    2. Lettice, Fiona & Tschida, Markus & Forstenlechner, Ingo, 2014. "Managing in an economic crisis: The role of market orientation in an international law firm," Journal of Business Research, Elsevier, vol. 67(1), pages 2693-2700.
    3. Alvarez Bassi, Daniel & Lado, Nora & Duque, Lola C., 2010. "Current marketing practices and market orientation in the context of an emerging economy : the case of Uruguay," DEE - Working Papers. Business Economics. WB wb104207, Universidad Carlos III de Madrid. Departamento de Economía de la Empresa.
    4. Slater, Stanley F. & Narver, John C., 2000. "The Positive Effect of a Market Orientation on Business Profitability: A Balanced Replication," Journal of Business Research, Elsevier, vol. 48(1), pages 69-73, April.
    5. Williams, Jerome D. & Han, Sang-Lin & Qualls, William J., 1998. "A Conceptual Model and Study of Cross-Cultural Business Relationships," Journal of Business Research, Elsevier, vol. 42(2), pages 135-143, June.
    6. Kenneth Wilburn Green & Lisa C. Toms & James Clark, 2015. "Impact of market orientation on environmental sustainability strategy," Management Research Review, Emerald Group Publishing Limited, vol. 38(2), pages 217-238, February.
    7. Youn Kue Na & Sungmin Kang & Hye Yeon Jeong, 2019. "The Effect of Market Orientation on Performance of Sharing Economy Business: Focusing on Marketing Innovation and Sustainable Competitive Advantage," Sustainability, MDPI, vol. 11(3), pages 1-19, January.
    8. Morten T. Hansen, 2002. "Knowledge Networks: Explaining Effective Knowledge Sharing in Multiunit Companies," Organization Science, INFORMS, vol. 13(3), pages 232-248, June.
    9. Boso, Nathaniel & Story, Vicky M. & Cadogan, John W., 2013. "Entrepreneurial orientation, market orientation, network ties, and performance: Study of entrepreneurial firms in a developing economy," Journal of Business Venturing, Elsevier, vol. 28(6), pages 708-727.
    10. Chiu, Hung-Chang & Hsieh, Yi-Ching & Li, Yu-Chuan & Lee, Monle, 2005. "Relationship marketing and consumer switching behavior," Journal of Business Research, Elsevier, vol. 58(12), pages 1681-1689, December.
    11. Linda Argote & Bill McEvily & Ray Reagans, 2003. "Managing Knowledge in Organizations: An Integrative Framework and Review of Emerging Themes," Management Science, INFORMS, vol. 49(4), pages 571-582, April.
    12. Robert M. Grant, 1996. "Prospering in Dynamically-Competitive Environments: Organizational Capability as Knowledge Integration," Organization Science, INFORMS, vol. 7(4), pages 375-387, August.
    13. Neil A. Morgan & Douglas W. Vorhies & Charlotte H. Mason, 2009. "Market orientation, marketing capabilities, and firm performance," Strategic Management Journal, Wiley Blackwell, vol. 30(8), pages 909-920, August.
    14. Gounaris, Spiros P., 2006. "Internal-market orientation and its measurement," Journal of Business Research, Elsevier, vol. 59(4), pages 432-448, April.
    15. Hanisch, Bastian & Wald, Andreas, 2014. "Effects of complexity on the success of temporary organizations: Relationship quality and transparency as substitutes for formal coordination mechanisms," Scandinavian Journal of Management, Elsevier, vol. 30(2), pages 197-213.
    16. Sasser, W. Earl & Arbeit, Stephen P., 1976. "Selling jobs in the service sector," Business Horizons, Elsevier, vol. 19(3), pages 61-65, June.
    17. Conduit, Jodie & Mavondo, Felix T., 2001. "How critical is internal customer orientation to market orientation?1," Journal of Business Research, Elsevier, vol. 51(1), pages 11-24, January.
    18. Bruce Kogut & Udo Zander, 1996. "What Firms Do? Coordination, Identity, and Learning," Organization Science, INFORMS, vol. 7(5), pages 502-518, October.
    19. Henry Kaiser, 1970. "A second generation little jiffy," Psychometrika, Springer;The Psychometric Society, vol. 35(4), pages 401-415, December.
    20. Henry Kaiser, 1974. "An index of factorial simplicity," Psychometrika, Springer;The Psychometric Society, vol. 39(1), pages 31-36, March.
    21. Richard A. Bettis & Michael A. Hitt, 1995. "The new competitive landscape," Strategic Management Journal, Wiley Blackwell, vol. 16(S1), pages 7-19.
    22. Tomkins, Cyril, 2001. "Interdependencies, trust and information in relationships, alliances and networks," Accounting, Organizations and Society, Elsevier, vol. 26(2), pages 161-191, March.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Dinur, Adva & Hamilton III, Robert D. & Inkpen, Andrew C., 2009. "Critical context and international intrafirm best-practice transfers," Journal of International Management, Elsevier, vol. 15(4), pages 432-446, December.
    2. Walter, Jorge & Lechner, Christoph & Kellermanns, Franz W., 2007. "Knowledge transfer between and within alliance partners: Private versus collective benefits of social capital," Journal of Business Research, Elsevier, vol. 60(7), pages 698-710, July.
    3. Liao, Chechen & Chuang, Shu-Hui & To, Pui-Lai, 2011. "How knowledge management mediates the relationship between environment and organizational structure," Journal of Business Research, Elsevier, vol. 64(7), pages 728-736, July.
    4. Linda Argote & Ella Miron-Spektor, 2011. "Organizational Learning: From Experience to Knowledge," Organization Science, INFORMS, vol. 22(5), pages 1123-1137, October.
    5. Samina Karim & Aseem Kaul, 2015. "Structural Recombination and Innovation: Unlocking Intraorganizational Knowledge Synergy Through Structural Change," Organization Science, INFORMS, vol. 26(2), pages 439-455, April.
    6. Latukha, M. & Veselova, A. & Selivanovskikh, L. & Artukh, E. & Mitskevich, E., 2016. "Re-thinking the role of talent management in a firm’s performance: Talent management practices and absorptive capacity," Working Papers 6442, Graduate School of Management, St. Petersburg State University.
    7. Frank T. Rothaermel & Maria Tereza Alexandre, 2009. "Ambidexterity in Technology Sourcing: The Moderating Role of Absorptive Capacity," Organization Science, INFORMS, vol. 20(4), pages 759-780, August.
    8. Vishal K. Gupta & Gizem Atav & Dev K. Dutta, 2019. "Market orientation research: a qualitative synthesis and future research agenda," Review of Managerial Science, Springer, vol. 13(4), pages 649-670, August.
    9. Renzl, Birgit, 2008. "Trust in management and knowledge sharing: The mediating effects of fear and knowledge documentation," Omega, Elsevier, vol. 36(2), pages 206-220, April.
    10. Gounaris, Spiros P., 2006. "Internal-market orientation and its measurement," Journal of Business Research, Elsevier, vol. 59(4), pages 432-448, April.
    11. Kyle J. Mayer & Deepak Somaya & Ian O. Williamson, 2012. "Firm-Specific, Industry-Specific, and Occupational Human Capital and the Sourcing of Knowledge Work," Organization Science, INFORMS, vol. 23(5), pages 1311-1329, October.
    12. Michailova, Snejina & Minbaeva, Dana B., 2012. "Organizational values and knowledge sharing in multinational corporations: The Danisco case," International Business Review, Elsevier, vol. 21(1), pages 59-70.
    13. Ya-Feng CHANG, 2017. "A critical account of intra -and inter- organizational knowledge management: Diversity, relationship making, and paradoxes," Turkish Economic Review, KSP Journals, vol. 4(4), pages 429-436, December.
    14. Dedy Dewanto, 2022. "The characteristic of leader innovativeness, a case in Indonesian’s construction industry," International Journal of Research in Business and Social Science (2147-4478), Center for the Strategic Studies in Business and Finance, vol. 11(8), pages 153-165, November.
    15. Michailova, Snejina & Mustaffa, Zaidah, 2012. "Subsidiary knowledge flows in multinational corporations: Research accomplishments, gaps, and opportunities," Journal of World Business, Elsevier, vol. 47(3), pages 383-396.
    16. Jamal Shamsie & Michael J. Mannor, 2013. "Looking Inside the Dream Team: Probing Into the Contributions of Tacit Knowledge as an Organizational Resource," Organization Science, INFORMS, vol. 24(2), pages 513-529, April.
    17. Tatiana Beliaeva & Galina Shirokova & William Wales & Elena Gafforova, 2020. "Benefiting from economic crisis? Strategic orientation effects, trade-offs, and configurations with resource availability on SME performance," International Entrepreneurship and Management Journal, Springer, vol. 16(1), pages 165-194, March.
    18. Filipe M. Santos & Kathleen M. Eisenhardt, 2005. "Organizational Boundaries and Theories of Organization," Organization Science, INFORMS, vol. 16(5), pages 491-508, October.
    19. Gressgård, Leif Jarle & Hansen, Kåre, 2015. "Knowledge exchange and learning from failures in distributed environments: The role of contractor relationship management and work characteristics," Reliability Engineering and System Safety, Elsevier, vol. 133(C), pages 167-175.
    20. Henk W. Volberda & Nicolai J. Foss & Marjorie A. Lyles, 2010. "PERSPECTIVE---Absorbing the Concept of Absorptive Capacity: How to Realize Its Potential in the Organization Field," Organization Science, INFORMS, vol. 21(4), pages 931-951, August.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:13:y:2021:i:12:p:6972-:d:579017. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.