Is market orientation affected by the product life cycle?
Document Type
Journal article
Source Publication
Journal of World Business
Publication Date
6-1-2007
Volume
42
Issue
2
First Page
145
Last Page
156
Publisher
Pergamon Press
Keywords
Market orientation, Product life cycle, Business performance
Abstract
Considerable scholarly interest has been shown in the relationship between market orientation and business performance. Although a number of environmental moderators have been postulated to influence the market orientation-performance link, extant findings are inconclusive. This study takes a different approach by conceptualizing product life cycle stages in terms of variations in competitive intensity, market and technological turbulence. Data collected in Hong Kong reveal that Atuahene-Gima's [Atuahene-Gima, K. (1995). An exploratory analysis of the impact of market orientation on new product performance: A contingent approach. Journal of Product Innovation Management, 12: 275-293] product life cycle measure successfully discriminates stages in terms of market and technological turbulence, but fails to capture variation in competitive intensity. Market orientation is also found to be more highly valued by firms in growing and mature markets than firms in introductory and declining markets. Finally, the link between market orientation and firm performance is found to be strongest for firms in the growth stage and weakest for firms in the introductory stage of the product life cycle.
DOI
10.1016/j.jwb.2007.02.001
Print ISSN
10909516
E-ISSN
18785573
Publisher Statement
Copyright © 2007 Elsevier Inc
Access to external full text or publisher's version may require subscription.
Full-text Version
Publisher’s Version
Language
English
Recommended Citation
Wong, A. H. K., & Ellis, P. D. (2007). Is market orientation affected by the product life cycle? Journal of World Business, 42(2), 145-156. doi: 10.1016/j.jwb.2007.02.001