Market orientation, organizational innovation and business performance

In recent years there has been an increased focus on the relationship between market orientation and business performance. Studies of this issue have generally demonstrated that market orientation has a positive impact on firm performance. On the basis of theoretical framework of resources-activities-position-performance which can account for performance differentials, it can be concluded that as a kind of firms' resource, market orientation can enhance efficiency of organizational innovation, bring about positional advantage and differentiated competitive advantage, and ultimately lead to satisfactory performance result.