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Market Orientation
Dr. Dennis Pitta
University of Baltimore
“Market orientation" = the
implementation of the
marketing concept
What is the marketing
concept?
An example….
Of what value are dogs?
Dogs are...
________________
________________
________________
________________
________________
________________
Why would Pitta want a dog?
Market wants are….
Diverse
Can be really unique
Not always identified easily
Great - great motivators
The result…..
Two just to be sure!!
What should marketers focus
on?
It depends on their orientation.
Production Orientation
Production emphasized
Company focus
Consumer often ignored
Sales Orientation
Company Focus
Sales (volume) Emphasized
Stress on Selling Tactics
Marketing Orientation
Focus: the Consumer
Profit Orientation
Integration of the Firm
(coordination within the firm)
More on “Marketing Orientation”
Operationalizing the Marketing
Concept
Intelligence generation
Intelligence dissemination
Responsiveness
Integration
Intelligence generation
the collection and assessment of customer
needs/preferences
and the forces (i.e., task and macro
environments) that influence the development
and refinement of those needs.
Multiple departments should engage in this
activity because each has a unique market
lens.
Intelligence dissemination
the process and extent of market
information exchange within a given
organization
should be balanced between both the
horizontal (i.e., interdepartmental) and
vertical transmission of marketplace
information
dissemination of intelligence occurs both
formally and informally
Responsiveness
action taken in response to intelligence
that is generated and disseminated
focuses on the degree to which
marketplace needs influence the
assessment of market segments and
development of marketing programs
speed and coordination critical
Integration
(1) an expanded focus on market rather
than customer intelligence,
(2) an emphasis on a specific form of
interfunctional coordination with
respect to market intelligence, and
(3) a focus on activities related to
intelligence processing rather than the
effects of these activities
How does one measure Marketing
Orientation?
Using the MARKOR scale
How does one use the MARKOR
instrument?
20-item, MARKOR measure could
initially be used to establish a baseline
level of market orientation within an
SBU.
As intervention programs are
implemented, the organization could
quantitatively chart its progress.
Why use the MARKOR instrument?
There is a link between MO and
company success
The relationship has been found in nonprofits; manufacturing firms; service
firms; established economies;
developing economies