“Market orientation and organizational performance in telecommunication: The moderating role of strategic marketing”
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Date
2024-08-19
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BUSINESS PERSPECTIVES
Abstract
The study examines the influence of market orientation on the performance of mobile
operators in the telecommunication industry and the moderating effect of strategic
marketing on the relationship. Based on a cross-sectional survey of 286 management
staff of the four largest mobile operators in Nigeria (MTN, Glo, 9Mobile, Airtel), an
empirical evidence was established. The data were analyzed using descriptive statistics
and Structural Equation Modeling (SEM). The SEM outlined the connection between
the dimensions of market orientation and organizational performance. The findings
revealed that inter-functional coordination (β = 0.485, t = 2.542, p = 0.013 < 0.05) and
customer orientation (β = 0.245, t = 2.043, p = 0.038 < 0.05) significantly influence
organizational performance, while competitor orientation (β = 0.159, t = 1.870, p =
0.065 < 0.05) has no discernible effect. It was also found that strategic marketing has
a major impact on organizational performance (β = 0.466, t = 4.175, p = 0.000 < 0.05),
but it has no moderating influence on the relationship between market orientation
and organizational performance (β = 0.032, t = 0.445, p = 0.665 > 0.05). This implies
that strategic marketing has a direct effect on organizational performance and not a
moderating effect. Therefore, the study recommends that market orientation especially
customer orientation and inter-functional coordination, as well as strategic marketing,
should become a culture in the telecommunication industry.