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Considering strategic proactiveness within a market knowledge diffusion framework

Morgan, Robert E, Kouropalatis, Yiannis and Hughes, Paul 2006. Considering strategic proactiveness within a market knowledge diffusion framework. [Working Paper]. Cardiff Business School Working Paper Series, Cardiff, UK: Cardiff Business School. Available at:

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Market orientation remains the focus of extensive research, reflecting a consensus for its centrality and importance pertaining to organizational outcomes. Aiming to extend our understanding of the concept, we investigate market orientation in the context of organizational learning and adopt a broader perspective by engaging proactive strategic orientation when considering knowledge diffusion effects on organizational performance. To that end, we initially examine organizational learning effects on both reactive market orientation and strategic proactiveness. We subsequently investigate the relationships between these constructs and business performance when moderated by effective strategic market planning. We approached this study by generating data from 149 European high technology firms, targeting the SBU level. Our methodology included structural equation modeling as a means to test our hypotheses and our results provide contributions in 3 main areas: (i) According to our findings, market orientation and strategic proactiveness are significantly affected by organizational learning. (ii) Business performance is not directly affected by strategic proactiveness but there is an indirect effect when that path is mediated by market orientation. Finally, (iii) effective strategic market planning acts as a moderator between market orientation and business performance.

Item Type: Monograph (Working Paper)
Date Type: Publication
Status: Published
Schools: Business (Including Economics)
Subjects: H Social Sciences > H Social Sciences (General)
Uncontrolled Keywords: Market orientation, Organizational learning, Knowledge diffusion, Strategic proactiveness, Strategic market planning effectiveness
Publisher: Cardiff Business School
Date of First Compliant Deposit: 30 March 2016
Last Modified: 05 Feb 2020 03:27

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