Studying Influence of Market Orientation on Market Function of SMEs with Media-tion of Innovation Capabilities

Authors

Abstract

Managers need to specially regard marketing and its modern approaches in order to succeed in today competitive environment. Market orientation is one of the new approaches of marketing in which customer is supposed to be center and ultimate goal of business so provides premier performance via innovative mechanisms. So this survey aims to study influence of market orientation on market function of SMEs with mediation of innovation capabilities. Statistical population in this paper is companies of industrial zones in Western Gilan. Questionnaires were designed and distributed among managers of companies. Totally, 200 companies were identified and sample size was 122 companies by Cochran method. Structure equation modeling technique with minimum minor squares approach was used for data analysis. Findings show mediator role of innovation in influence of market orientation on market function. Also market orientation has positive and significant influence on innovation while innovation and market orientation have positive influence on market function.

Keywords