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Journal of the Academy of Marketing Science

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01.10.2011 | Original Empirical Research

Implementation of market orientation in the subsidiaries of global companies: the role of institutional factors

verfasst von: Ahmet H. Kirca, William O. Bearden, Kendall Roth

Erschienen in: Journal of the Academy of Marketing Science | Ausgabe 5/2011

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Abstract

Drawing upon the market orientation literature and institutional theory, this study examines the factors that affect the implementation of market orientation in the subsidiaries of global companies, using data gathered from multiple informants and multiple sources in 79 subsidiaries located in 45 countries. Findings indicate that the market orientation of subsidiaries is positively related to the legal institutions, local competition in the host country market, and the market orientation of headquarters. The findings also indicate that the headquarters’ market orientation has more pronounced effects on the implementation of market orientation for subsidiaries that strongly identify with headquarters. Moreover, the study demonstrates that cultural distance between home and host countries of the subsidiary strengthens the positive effects of competitive intensity on market orientation implementation. As such, this research addresses an important concern among researchers and managers that is related to how to increase the market orientation and, thereby, the performance of their subsidiaries located in foreign countries.

Vorheriger Artikel When salespeople develop negative headquarters stereotypes: performance effects and managerial remedies

Nächster Artikel Integrating marketing and information services functions: a complementarity and competence perspective

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The countries and the number of subsidiaries from each country included in the final sample were as follows: Argentina (2), Australia (5), Austria (1), Belgium (2), Brazil (1), Bulgaria (1), Canada (2), China (3), Colombia (1), Czech Republic (3), Denmark (3), Ecuador (1), Finland (1), France (1), Germany (4), Greece (1), Hong Kong (1), India (1), Indonesia (1), Ireland (2), Italy (2), Jamaica (1), Japan (1), South Korea (1), Lithuania (1), Malaysia (2), Netherlands (1), Norway (2), Philippines (1), Poland (2), Portugal (3), Romania (1), Russia (3), Singapore (2), Slovakia (1), Slovenia (1), South Africa (2), Spain (1), Sweden (2), Switzerland (2), Taiwan (1), Thailand (2), Turkey (3), United Arab Emirates (1), United Kingdom (3).

We would like to thank an anonymous reviewer for pointing out this issue.

Responses of informants from subsidiaries were deleted only when average deviation indices were above critical values for more than two scales.

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Titel: Implementation of market orientation in the subsidiaries of global companies: the role of institutional factors
verfasst von: Ahmet H. Kirca
William O. Bearden
Kendall Roth
Publikationsdatum: 01.10.2011
Verlag: Springer US
Erschienen in: Journal of the Academy of Marketing Science / Ausgabe 5/2011
Print ISSN: 0092-0703
Elektronische ISSN: 1552-7824
DOI: https://doi.org/10.1007/s11747-010-0234-1

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