DOES THE LINK BETWEEN MARKETING ORIENTATION AND INNOVATION LEAD TO SUCCESS? A SURVEY BASED ON SEM IN TURKEY
Abstract
Innovation has been long discussed to be an important element for sustaining a competitive advantage. The relationship between market orientation and innovation has not been argued enough in literature. Innovation can be defined as firms gain position through an introduction of new technologies, production processes, and products in the market place. According to the Schumpeterian view (1934) to take a competitive advantage, firms should link between marketing and innovation orientation. However, Drucker (1954) defines that the two basic elements, of the firms’ are marketing and innovation, so that innovation concept fits on the centrality of market orientation. The purpose of this study is to investigate the impact of innovation on a firm's performance in the context of product and marketing innovation among over 10.000 firms, the data of which were provided by the Turkish Statistical Institute. It examines the relation between firm innovation and financial performance as a firm performance criterion. Structural Equation Modeling has used to analyze the possibility of a marketing/innovation effect on performance model, as the basis of the Community Innovation Statistics questionnaire survey.
Keywords
References
- Akova, B., Ulusoy, G., Payzın, E. & Kaylan, A. R. (1998). New product development capabilities of the Turkish electronics industry. In: Proceedings of the Fifth International Product Development Management Conference (pp. 863–876), Como, Italy,.
- Atuahene-Gima, K. (1996). Market orientation and innovation. Journal of Business Research, 35, 93-103.
- Ayyagari, M., Demirgüç-Kunt, A. & Maksimovic, V. (2011). Firm innovation in emerging markets: The role of finance, governance, and competition. Journal of Financial and Quantitative Analysis, 46(6), 1545-1580.
- Banbury, C. M. & Mitchell, W. (1995). The effect of introducing important incremental innovations on market share and business survival. Strategic Management Journal, 16, 161−182.
- Berry, L. L. (2002). Relationship marketing of services perspectives from 1983 and 2000. Journal of Relationship Marketing, 1(1), 59-77.
- Berthon, P., Hulbert, J. M. & Pitt, L. F. (1999). Brand management prognostications. Sloan Management Review, 40(2), 53-65.
- Brown, S. L. & Eisenhardt, K. M. (1997). The art of continuous change: linking complexity theory and timepaced evolution in relentlessly shifting organizations. Administrative Science Quarterly, 42, 1–34.
- Calantone, R. J. & di Benedetto, C. A. (1988). An integrative model of the new product development process: An empirical validation. Journal of Product Innovation Management, 5(3), 201–215.
Details
Primary Language
Turkish
Subjects
-
Journal Section
Research Article
Publication Date
October 1, 2014
Submission Date
November 10, 2013
Acceptance Date
-
Published in Issue
Year 2014