Employee’s Market Orientation Behavior and Firm’s Internal Marketing Mechanism: A Multilevel Perspective of Job Performance Theory

Eldon Y. Li and Shu-Fen Ko
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Eldon Y. Li: Department of Information Management, National Chung Cheng University, Chiayi 621301, Taiwan
Shu-Fen Ko: Department of Management Information Systems, National Chengchi University, Taipei 11605, Taiwan

Sustainability, 2021, vol. 13, issue 12, 1-25

Abstract: The competition in today’s market is increasingly intensive. Employees’ market orientation behavior (MOB) is crucial for a firm to respond to market changes and attain its business performance goal. Moreover, a firm must exercise the internal marketing mechanism (IMM) to prepare employees for providing superior service to satisfy internal and external customers’ needs. This study aims to examine how the IMM works with knowledge integration (KI), relationship quality (RQ), relational bond (RB), and organizational citizenship behavior (OCB) to influence MOB. A total of 471 valid responses from employees of 47 banks were collected. The Hierarchical Linear Model is used to analyze the IMM’s effects (as the organizational-level variable) on MOB (as the outcome variables) and the relationships between the other variables (as the individual-level variables) and MOB. The results show that all predictor variables have significant and direct effects on MOB. The IMM’s moderating effects are significant when it interacts with OCB and RB, but not RQ. The negative interaction effect of IMM and OCB offers a caveat to corporate management in balancing OCB activities among the employees.

Keywords: internal marketing mechanism; knowledge integration; relationship quality; relational bond; organizational citizenship behavior; market orientation behavior; job performance theory; multilevel model (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2021
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