Market Orientation

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International Journal of Marketing Studies

Vol. 4, No. 3; June 2012

The Effect of Alternative Market Orientation Strategies on Firm Performance
Eric T. Micheels (Corresponding author)
Assisstant Professor, Department of Bioresource Policy, Business & Economics
University of Saskatchewan, Canada
E-mail: [e-mail]
Hamish Gow
Professor of Agribusiness, College of Business, Massey University, New Zealand
E-mail: [e-mail]
Received: February 6, 2012 doi:10.5539/ijms.v4n3p2 Accepted: March 6, 2012

Published: June 1, 2012

URL: http://dx.doi.org/10.5539/ijms.v4n3p2

Abstract
Research studies have differed over the importance of the relative emphasis of a customer versus competitor orientation in the development of a market orientation (Slater & Narver, 1994; Tajeddini, 2010). In this study, we assess whether the emphasis of one component over another of a market orientation is an important determinant of firm performance within the Illinois beef industry, specifically the cow-calf sector. Using a series of OLS regressions, we examine the importance of a market orientation, relative emphasis, learning, innovativeness, and a cost focus on firm performance in a sample of 269 beef farms. Our results suggest that firms should invest equally in awareness of both customer demands and competitor responses as opposed to a singular focus on one or the other. This result corroborates the findings of Slater and Narver (1994), while examining the relationship within a highly competitive, homogeneous market. Implications and directions for future research are also discussed.
Keywords: Agriculture, Innovation, Market orientation, Relative emphasis, Value discipline strategies
1. Introduction
It has been suggested that firm performance is a function of market structure and the behavior of firms within the competitive landscape. Schumacher and Boland (2005) find that firm performance is largely dictated by industry choice while

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