Since the importance of market orientation as an implementing strategy of the marketing concept has been raised at early 1990`s, many studies have shown a causal relationship between market orientation and performance. However, there have been only a ...
Since the importance of market orientation as an implementing strategy of the marketing concept has been raised at early 1990`s, many studies have shown a causal relationship between market orientation and performance. However, there have been only a few studies which try to investigate variables mediating the relationships between market orientation and performance. This paper proposes employees satisfaction, customer satisfaction, and corporate image mediate this relationship. A structural model and several hypotheses were developed regarding the relationships. Based on the collected data from 171 domestic firms(businesses), the structural model was analyzed with Lisrel 8.12. The results can be summarized as follows. First, the greater the market orientation, the greater the (1) employees satisfaction, (2) customer satisfaction, and (3) corporate image. Second, the greater the customer satisfaction, the greater the performance. Finally, the higher employees satisfaction brings about higher customer satisfaction, and higher customer satisfaction again results in higher corporate image. At the end of the paper, managerial implications and future research directions are discussed.