Market Orientation in Emerging Firms: Towards a More Rigorous Understanding of Entrepreneurial Marketing

Malte Brettel, Andreas Engelen, Florian Heinemann and Andreas Kessell
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Malte Brettel: RWTH Aachen, Germany
Andreas Engelen: RWTH Aachen, Germany
Florian Heinemann: RWTH Aachen, Germany
Andreas Kessell: RWTH Aachen, Germany

International Journal of E-Entrepreneurship and Innovation (IJEEI), 2010, vol. 1, issue 4, 1-21

Abstract: Most studies on the effect of market orientation in established and young companies have indicated a positive influence on firm performance. Whether and in what form this effect can also be found empirically in emerging firms – despite their numerous particularities – is still a largely unexplored issue. Applying rigorous procedures in the development of the measurement instrument and using a unique sample of 141 young companies, the authors confirm that market orientation does also have a significant and positive effect on the performance of emerging firms. However, results indicate significant differences to established firms regarding two aspects: (1) the items included in the measurement instrument diverge considerably from the established scales in this area, adding behavioral aspects characteristic for emerging firms and leaving aside items specific to larger organizations; (2) firms do not show a single consistent pattern of market-oriented behavior contributing to company success. Therefore, founders of emerging firms should pursue an individual way of market-oriented behavior that seems most appropriate when considering the company-specific liabilities.

Date: 2010
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