MARKET-ORIENTED SEARCH IN DIFFERENTIATED INDUSTRIES

How is the success of a firm's market-oriented activities influenced by the marketing mix? This paper contributes to existing marketing research by advancing our understanding of the process by which market orientation transforms into superior performance. This process is investigated on the basis of appropriate organizational search models drawn from the behavioral theory of the firm. Specifically, we draw on the NK model to develop testable propositions that substantiate and extend prior theoretical market orientation research. Our results provide new insight into organizational characteristics and consequences of responsive and proactive marketing behaviors, as well as the allocation of attention towards customers and competitors.