The effects of industry type on the market orientation-performance relationship: Evidence from Chinese firms

In the past ten years, a steady stream of research has focused on the relationship between market orientation and performance. Many empirical studies have shown that market orientation is positively related to performance. However, the question whether the positive market orientation-performance relationship is robust across different contexts is not clear. Prior empirical research has been mixed and equivocal on the role that environmental variables play in moderating the relationship between market orientation and performance. This study empirically tests the role of industry type as moderator of the market orientation-performance relationships using samples of Chinese firms The findings suggest that the market orientation-performance relationship is stronger in manufacturing firms than in service firms. Based on the findings, the authors conclude with a discussion of the implications for practice and further research.